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Dialup Internet is now history in India: TRAI

Context: Telecom Regulatory Authority of India (TRAI) is to repeal ‘Regulation on Quality of Service of Dial-up and Leased Line Internet Access Service, 2001’. This is because the last dial-up Internet connection was switched off in India in March 2021 and India has no dial-up users now. 

Dial-up Internet

  • Dial-up Internet access uses the facilities of the Public Switched Telephone Network (PSTN) to establish a connection to an Internet service provider (ISP) by dialling a telephone number on a conventional telephone line.
    • Dial-up Internet access operates through a standard telephone line. 
    • By running the telephone line to a modem device in the computer and configuring it to dial a specific phone number, the computer can connect to the Internet. 
  • Dial-up Internet speeds are theoretically capable of reaching a maximum speed of 56 kilobits per second.
  • This connection type is usually inexpensive, but slow and has less available bandwidth. They may not be adequate for users who use the web for multimedia and other high-bandwidth applications.

Arctic scientists race to preserve ‘ice memory’

Context: Arctic scientists are set to start drilling to save samples of ancient ice for analysis before the frozen layers melt away due to climate change.

Major Highlights

  • Italian, French and Norwegian researchers have set up camp in Norway’s Svalbard archipelago to preserve crucial ice records for analysing past environmental conditions.
  • They will extract ice in a series of tubes from 125 metres below the surface, containing frozen geochemical traces dating back three centuries.

Key Facts

  • Human-caused carbon emissions have warmed the planet by 1.1 degrees Celsius since the 19th century.
  • The Arctic is warming between two and four times faster than the global average.

Global Report on Sodium Intake Reduction

Context: World Health Organization (WHO) has recently published the ‘Global Report on Sodium Intake Reduction,’ which sheds light on the progress of its 194 member states towards reducing population sodium intake by 30% by 2025. Excessive sodium intake contributes to the rise of hypertension, heart disease, and stroke.

Major Highlights

  • The WHO devised a sodium score, ranging from 1 (least implementation) to 4 (highest implementation), for each member state based on factors such as the extent of implementation of sodium reduction and other related measures. 
  • India has got a score of 2 which signifies the presence of at least one voluntary policy, emphasising the need for more rigorous efforts to address this health concern.
    • An average Indian’s sodium consumption is more than double the physiological need and dramatically exceeds WHO’s recommended daily intake of <5 g of salt for adults. 

Government Initiatives

India has enacted voluntary measures to decrease sodium in the food supply and promote healthier food choices. 

  • Food Safety and Standards Authority of India (FSSAI) has implemented the ‘Eat Right India’ movement, which strives to transform the nation’s food system to ensure secure, healthy, and sustainable nutrition for all citizens. 
  • FSSAI launched a social media campaign called ‘Aaj Se Thoda Kam.’ However, the average Indian’s sodium intake remains alarmingly high (approximately 11 grams).

India, Russia to build BrahMos hypersonic version

Context: In the recent meeting of the National Security Advisors of India and Russia, the possibility of joint development of the hypersonic version of BrahMos or BrahMos-II missile was discussed. 

Hypersonic Weapon Systems (HWS)

  • Hypersonic weapon systems are advanced military technologies that can travel at extremely high speeds, typically defined as Mach 5 or higher (five times the speed of sound).
  • These weapons are designed to be extremely manoeuvrable, able to change course quickly during flight and evade enemy defence systems.
    • They are different from ballistic missiles, which can also travel at hypersonic speeds (of at least Mach 5) but have set trajectories and limited manoeuvrability.
  • There are two main categories of hypersonic weapons: hypersonic glide vehicles and hypersonic cruise missiles.
    • Hypersonic glide vehicles are launched from a rocket. The glide vehicle then separates from the rocket and “glides” at speeds of at least Mach 5 toward a target.
    • Hypersonic cruise missiles are powered by high-speed, air-breathing engines.
  • HWS are capable of carrying out launches from a variety of platforms, including ground-based systems, aircraft, and submarines.
  • They are typically designed to carry conventional or nuclear warheads and are seen as a potential game-changer in military operations, particularly in terms of their speed, range, and ability to penetrate enemy defences.
    • The United States, Russia and China are developing hypersonic weapons. 
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BrahMos-II Missile

  • BrahMos-II is a hypersonic cruise missile currently under joint development by India's Defence Research and Development Organisation and Russia's NPO Mashinostroyenia, which have together formed BrahMos Aerospace Private Limited.
  • BrahMos-II is expected to be capable of travelling at speeds of over Mach 7 (possibly reaching Mach 8) and has a range of around 620 miles (1000 kms).
  • It is being designed to be launched from multiple platforms, including land, air, and sea.
  • It is likely to have the same characteristics as Russia's Tsircon missile.
brahmos: India, Russia to build BrahMoS hypersonic version - The Economic Times

Key Facts

  • India is a party to the Missile Technology Control Regime (MTCR), which allows the country to develop a missile with a range of over 300 km and weighing more than 500 kg but not to export it to other countries.
  • The export version of BrahMos is capped at 290 km to comply with the MTCR restrictions of 300 km.

Restructured PM SVANidhi Scheme for Street Vendors

Context: The Union Cabinet has approved the restructuring and extension of the Prime Minister Street Vendor’s AtmaNirbhar Nidhi (PM SVANidhi) scheme, extending the lending period from December 31, 2024 to March 31, 2030 with a total outlay of ₹7,332 crore. 

Relevance of the Topic: Prelims: Key facts about PM SVANidhi Scheme for Street Vendors.

Restructured PM SVANidhi Scheme for Street Vendors

  • The lending period has now been extended until March 31, 2030. 
  • Total outlay for the scheme is ₹7,332 crore. 
  • The restructured scheme aims to benefit 1.15 crore beneficiaries including 50 lakh new beneficiaries.  
  • Implementation of the scheme: Joint responsibility of Ministry of Housing & Urban Affairs (MoHUA) and Department of Financial Services (DFS). DFS will be responsible for facilitating access to loan/ credit cards through banks/financial institutions and their ground level functionaries. 

Key features of Restructured PM SVANidhi Scheme for Street Vendors: 

  • Enhanced loan amountacross first & second tranche:
    • First tranche loans have increased up to ₹15,000 (from ₹10,000)
    • Second tranche loans increased up to ₹25,000 (from ₹20,000)
    • Third tranche remains unchanged at ₹50,000 
  • Provision of UPI-linked RuPay Credit Card for beneficiaries who have repaid the second loan. UPI-linked RUPAY Credit Card would provide immediate access of credit to street vendors to meet any emergent business and personal requirements. 
  • Digital cashback incentives to the street vendors up to ₹1,600 on making retail & wholesale transactions. 
  • Scheme’s coverage is being expanded beyond statutory towns to census towns, peri-urban areas etc. in graded manner. 
  • Monthly Lok Kalyan Melas: To ensure holistic welfare & development of street vendors and their families, the ‘SVANidhi se Samriddhi’ component will be further strengthened.
  • Standard hygiene and food safety training for street food vendors, in partnership with FSSAI. 
  • Capacity-building measures such as entrepreneurship, financial literacy, digital skills, and marketing will be converged with other government initiatives. 

Achievements of PM SVANidhi Scheme: 

  • As of July 2025, over 96 lakh loans exceeding ₹13,700 crores have been disbursed to more than 68 lakh street vendors. 
  • Nearly 47 lakh digitally active beneficiaries have conducted transactions worth over ₹6.09 lakh crore. 

About PM SVANidhi (Prime Minister Street Vendor’s AtmaNirbhar Nidhi)

  • It is a micro-credit scheme
  • It was launched in 2020 as a central sector scheme fully funded by the Ministry of Housing and Urban Affairs.
  • It provides handholding support to street vendors to tide over pandemic-induced economic stress.
  • It facilitates collateral-free loans of ₹10,000, of one-year tenure with subsequent loans of ₹20,000 and ₹50,000 with a 7% interest subsidy
  • The Scheme has a provision of Graded Guarantee Cover for the loans sanctioned, to be administered by the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE)
  • The Town Vending Committee (TVC) plays a very important role in the identification of beneficiaries under this scheme.

Objectives of PM SVANidhi

  • To facilitate working capital loan up to `10,000
  • To incentivize regular repayment; and
  • To reward digital transaction

Eligibility Criteria

The PM SVANidhi scheme is available to all street vendors engaged in vending in urban areas before March 24, 2020. The eligible vendors are identified as per the following criteria:

  • Street vendors in possession of Certificate of Vending/Identity Card issued by Urban Local Bodies (ULBs)
  • The vendors, who have been identified in the survey but have not been issued a Certificate of Vending/Identity Card; Provisional Certificate of Vending would be generated for such vendors through an IT-based Platform. ULBs are encouraged to issue such vendors the permanent Certificate of Vending and Identification Card immediately and positively within a period of one month
  • Street Vendors, left out of the ULB-led identification survey or who have started vending after completion of the survey and have been issued a Letter of Recommendation (LoR) to that effect by the ULB/Town Vending Committee (TVC)
  • The vendors of surrounding development/peri-urban/rural areas vending in the geographical limits of the ULBs have been issued a Letter of Recommendation (LoR) to that effect by the ULB/TVC.

Eligibility of States/UTs

  • The Scheme is available for beneficiaries belonging to only those States/UTs which have notified Rules and Scheme under the Street Vendors (Protection of Livelihood and Regulation of Street Vending) Act, 2014.
  • Beneficiaries from Meghalaya, which has its own State Street Vendors Act may, however, participate

Who can lend

  • Scheduled Commercial Banks
  • Regional Rural Banks (RRBs)
  • Small Finance Banks (SFBs)
  • Cooperative Banks
  • Non-Banking Finance Companies (NBFCs)
  • Micro Finance Institutions (MFIs) and
  • SHG Banks established in some States/UTs e.g., Street Nidhi etc.

The lending institutions will be encouraged to use their network of field functionaries i.e. Business Correspondents (BCs) / Constituents/ Agents extensively to ensure maximum coverage of the scheme

Oil surges as OPEC+ surprise output cuts shake markets

Context: Globally oil prices surged, posting the biggest daily rise in nearly a year, after a surprise announcement by OPEC+ to cut more production jolted markets.

The Organization of the Petroleum Exporting Countries and their allies including Russia shook markets by announcing further production cuts of about 1.16 million barrels per day (bpd).

How this price is being raised?

Through intentional cut in the oil supplies by the OPEC+ members.

About Organisation of the Petroleum Exporting Countries (OPEC)

  • OPEC is a permanent intergovernmental organisation of 13 oil-exporting developing nations that coordinates and unifies the petroleum policies of its Member Countries.
  • In economics terms, OPEC is a cartel (A cartel is an organisation created from a formal agreement between a group of producers of a good or service to control supply or to regulate or manipulate prices).
  • OPEC provides more than 70% of the world's oil requirements.

History

It was created at the Baghdad Conference on September 10–14, 1960, by Iran, Iraq, Kuwait, Saudi Arabia and Venezuela.

Objective

To coordinate and unify petroleum policies among Member Countries, in order to secure fair and stable prices for petroleum producers; an efficient, economic and regular supply of petroleum to consuming nations; and a fair return on capital to those investing in the industry.

  • The OPEC Secretariat is the executive organ of the Organization. Located in Vienna (previously in Geneva), it also functions as the Headquarters of the Organization, in accordance with the provisions of the OPEC Statute. It is responsible for the implementation of all resolutions passed by the Conference and carries out all decisions made by the Board of Governors. It also conducts research, the findings of which constitute key inputs in decision-making.
  • OPEC publications: World Oil Outlook and Annual Statistical Bulletin.
  • OPEC+ is a group of non-OPEC member countries that also participate in the organisation's initiatives such as voluntary supply cuts in order to further bind policy objectives between OPEC and non-OPEC members. This loose grouping of countries, known as OPEC+, includes Azerbaijan, Bahrain, Brunei, Kazakhstan, Malaysia, Mexico, Oman, Russia, South Sudan and Sudan.

Lithium find in J&K: Chile, with most reserves, ready to share know-how

Context: Chile, the country endowed with most lithium reserves and home to SQM, the second largest global lithium producer, is keen to partner with India on tapping into the lithium value chain. This includes potentially extending technical expertise in exploiting the newly established “inferred” lithium resources of 5.9 million tonnes in Salal-Haimana area of Reasi district in Jammu and Kashmir.

More on news: 

  • Currently we have an agreement on trade of goods. And of course, we want to improve our exchange by adding services and investment in a Comprehensive Economic Partnership Agreement.  
  • There is a possibility of tapping the expertise of Chilean lithium mining specialists being on the cards, and that companies such as SQM (a private company with the experience in lithium extraction) are likely to be open to transfer of technology to help in the exploitation of the white alkali metal, a vital ingredient of the lithium-ion rechargeable batteries that power electric vehicles (EVs), laptops and mobile phones.
  • Even though the lithium found in India is of mineral type unlike salt pans in Chile, the Chilean company would have no problem in transferring technology to do other kinds of exploitations given that Australia, the country where it already has a joint venture, also holds lithium in mineral form.

Lithium reserve in the world

Lithium is a highly valuable and sought-after metal that is used in a variety of applications, including batteries, ceramics, and pharmaceuticals.

The majority of the world's lithium reserves are located in a few countries, with the top three accounting for the vast majority of the world's supply. Here is an overview of the distribution of lithium reserves in the world:

CountryPercentage of World Lithium Reserves
Chile53.8%
Australia16.9%
Argentina13.8%
China9.4%
United States5.0%
Others7.5%
  • Chile: Chile is by far the largest producer of lithium in the world, with approximately 8.6 million metric tons of lithium reserves. Most of Chile's lithium is found in the Atacama Desert, which is one of the driest regions on Earth. 
  • Australia: Australia is the second-largest producer of lithium in the world, with approximately 2.7 million metric tons of lithium reserves. Most of Australia's lithium is found in Western Australia, where companies such as Pilbara Minerals and Galaxy Resources have large mining operations.
  • Argentina: Argentina is the third-largest producer of lithium in the world, with approximately 2.2 million metric tons of lithium reserves. Most of Argentina's lithium is found in the Salinas Grandes salt flats, which are located in the northwest of the country.
  • Other countries: While the top three countries account for the vast majority of the world's lithium reserves, there are several other countries that also have significant reserves. These include China, which has approximately 1.5 million metric tons of lithium reserves, and the United States, which has approximately 800,000 metric tons of lithium reserves.

Lithium reserves in India

  • The ancient igneous rock deposits in the Karnataka’s Mandya district holds the first traces of Lithium ever to be discovered in India. But it is merely 1,600 tonnes.
  • But in a big development, recently 5.9 million tonnes of lithium reserves found for the 1st time in Jammu and Kashmir.
  • India currently imports all of its lithium batteries.  

India's steps

  • In March 2019, India signed a MoU with Bolivia to explore and extract Lithium. 
  • India has also signed bilateral agreement with Argentina for securing strategic minerals, which will be operationalized via KABIL’s contract with three state-owned organizations in Argentina. 
  • India and the US are also looking at setting up an alternative supply chain for lithium.
  • Lithium plant: India’s first Lithium plant has been set up at Gujarat in 2021, where a private company has planned investment of Rs 1000 crore to set up a refinery. The refinery will use Lithium ore to produce base battery material. 
  • KABIL is also exploring the direct purchase of cobalt and lithium.
    • A PSU to ensure a consistent supply of critical and strategic minerals to Indian domestic market. 
    • It would carry out identification, acquisition, exploration, development, mining and processing of strategic minerals overseas. 
    • India has also signed Critical Mineral Investment Partnership with Australia primarily for supply of lithium and cobalt.

China's dominance 

  • China contributes to 60% of global production of rare earth elements.
  • China’s share of refining is around 35% for nickel, 50-70% for lithium and cobalt, and nearly 90% for rare earth elements.
  • China has a huge head start on India in terms of securing lithium deposits.
  • Around 3/4th of battery cell manufacturing capacity is in China.
  • China has heavily invested in mines of both Australia and Latin America to ensure an overall command of lithium supply chain.
  • It also controls cobalt mines in the Democratic Republic of Congo, from where 70% of this mineral is sourced.

LITHIUM-ION BATTERY

PRINCIPLE

  • Lithium, as you can see in the table above, has the highest electrochemical potential. 
  • It wants to lose electrons readily which makes it very reactive. That’s why you don’t get lithium in free form.
  • However, when mixed with metal oxide lithium sits very stably.
  • Thus, if we use this ability of lithium to be very unstable by itself to becoming very stable in metal oxide, we can derive electricity. This is what happens in a Li-ion battery. 

WORKING OF A LI-ION BATTERY

  • Lithium is mixed in metal oxide (typically cobalt, nickel, or manganese)) is used as cathode.
  • Graphite is use as a place to hold Li-ions which becomes an anode. 
  • As we have seen Lithium in metal oxide is very stable. 
  • In Li-ion battery we separate Lithium from metal oxide by pulling out its constituent electrons and ion forcefully by applying energy. 
  • The electrons and ions of Lithium are then given separate paths namely a metallic wire and an electrolyte. 
  • This is called charging as it required external energy to separate electrons and Li-ions from Lithium metal oxide.
  • The li-ions moving through electrolyte and electrons moving through the wire then recombine at anode which is graphite. 
  • Once all the electrons and ions are pulled out the battery is completely charged.
  • The lithium ions and electrons that is sitting between graphite sheets are unstable and wants to go back to metal oxide. If we again give separate paths to electrons and ions we can derive electricity.
  • Thus Li-ion battery is used to store energy by shuttling lithium ions back and forth between the anode(Li-ion in graphite) and cathode(Lithium in metal oxide).

Advantage Of Li-Ion Batteries

  • Light weight: Lithium being lightest metal.
  • High Energy Density
    • Lithium having highest electrochemical potential has very high energy density.
    • A typical automobile lead-acid battery weighs 6 kilograms more to store the same amount of energy than a lithium-ion battery.
    • In consumer electronics like mobile, laptops, camera etc I kilogram of Nickle cadmium batteries stores typically 60 to 70 watt-hours.
    • A typical lithium-ion battery can store 150 watt-hours of electricity in 1 kilogram of battery.
  • Minimum losses: A lithium-ion battery pack loses only about 5 percent of its charge per month, compared to a 20 percent loss per month for Ni-Cd batteries.
  • Low Maintenance: Lithium-ion batteries can handle hundreds of charge/discharge cycles.

disadvantages of li-ion batteries

  • Faster discharge: While quick discharge is an advantage in electric vehicle and consumer electronics applications, it is not suitable to store energy for longer than 4 hours.
  • Thus, it is not suitable for grid-level storage which is necessary for renewable energy like solar which suffer from intermittency problem.
  • Ageing: Li-ion batteries suffer from ageing at room temperature. Therefore, in a consumer electronic, batteries need to be partially charged for longer life.
  • Transportation: Another disadvantage of li-ion batteries is that there can be certain restrictions placed on their transportation, especially by air to protect against short circuits.
  • Cost: Lithium-ion batteries are around 40% more costly to manufacture than Nickel cadmium cells owing to high cost of lithium refining, cobalt and nickel.

A "seed bank" of Aravallis-native plants is located at the Asola Bhatti sanctuary

Context:  After several years of efforts to gather seeds from all over the city and other states, a "seed bank," which gathers and stores seeds of species of plants that are native to the Aravallis, is gradually taking shape at a nursery at the Asola Bhatti Wildlife Sanctuary.

More about news:

  • It began in 2015 to provide saplings that are native to the city and bring back species that are now difficult to find in the city.
  • The project being implemented jointly by the Forest Department and the Bombay Natural History Society (BNHS).
  • For this project, seeds have been drawn from parts of Delhi, Rajasthan, Madhya Pradesh, Uttar Pradesh, Uttarakhand, Haryana, and Bihar.
  • Species that are specific to the Aravallis are identified by studying model sites that have intact forests with very little disturbance, like Mangar Bani in Faridabad. Efforts are then made to replicate these old-growth forests.
  • Among the additions to the seed bank are seeds of trees like salai and phalsa- species that are difficult to find in Delhi. These seeds were brought from Rajasthan and Haryana.

About Asola Bhatti Wildlife Sanctuary

Location

  • It covers area on the Southern Delhi Ridge of Aravalli hill range on Delhi-Haryana border lies in Southern Delhi as well as northern parts of Faridabad and Gurugram districts of Haryana state.
  • It is the part of the Northern Aravalli leopard wildlife corridor, an important wildlife corridor which starts from the Sariska National Park in Rajasthan, passes through Faridabad and Gurugram districts of Haryana and ends at Delhi Ridge.

Fauna

  • This is an important habitat for the Indian leopard, blackbuck striped hyena, jungle cat, golden jackal, Indian hare, Indian boar, black buck, sambar deer, spotted deer and hog deer among others. Endangered species in the sanctuary include red-headed vulture and egyptian vulture. Near-threatened species include painted stork, white-faced ibis and european roller. 

Indian Seed Vault

  • It is a secure seed bank located in a high-altitude mountain pass on the Chang La in Ladakh, India. 
  • It was built in 2010 jointly by the Defence Institute of High-Altitude Research and the National Bureau of Plant Genetic Resources.
  • It is the second largest seed bank in the world.

ICCR to build ambassador programme among foreign students in India

Context: By drawing on the experiences of foreign students who are currently studying here, the Indian Council for Cultural Relations (ICCR) aims to increase the country's artistic and creative influence throughout the world. 

More about news

  • The council expects that more than 48,000 foreign students who are now enrolled in Indian Universities will work as brand ambassadors for India's culture, history, tourist destinations, textiles, yoga, ayurveda, and handicrafts.
  • The ICCR will launch E3, or exit engagement nights: With foreign students starting three to four months before they complete their coursework. 
  • Visits to national monuments are part of the engagements. As students return to their home countries, this "soft diplomacy" is supposed to help spread the word about India.
  • The Indian Tourist Development Corporation, the Khadi Commission, and the Department of Ayush have been chosen by the ICCR to host these evenings. 
  • Aim: In addition to retaining their ties to India, the aim is that they bring some business back to India.
  • India Alumni Portal, 2022: To communicate with the international students from all around the world who have studied in India. 

INDIAN COUNCIL FOR CULTURAL RELATIONS

  • Founded in 1950 by Maulana Abul Kalam Azad, the first Education Minister of independent India. 
  • It is an autonomous organisation that comes under the Ministry of Culture.
  • The council's headquarters are in New Delhi, and it also operates through worldwide missions. 

Organization

  • To facilitate its operations, the Council may establish sections at its headquarters, regional offices in different parts of India, and cultural centres and offices overseas. 
  • The Council shall be a corporate body, shall have a permanent seal, and may be sued in its corporate name. 

Objectives 

  • Fostering and strengthening cultural ties and mutual understanding between India and other countries; 
  • Promoting cultural exchange with other countries and peoples;
  • Developing relationships with national and international organisations in the field of culture;
  • Taking part in the formulation and implementation of policies and programmes relating to India's external cultural relations.

Activities

  • The council administers several scholarship initiatives each year and provides scholarships to international students from over 180 different nations under 21 distinct programmes. 
  • Six of these 21 programmes are supported by ICCR through its funding, while the remaining 19 are managed on their behalf by the Ministries of External Affairs and Ministry of Ayush. 
  • As part of its efforts to promote "Digital India," ICCR created the "Admissions to Alumni (A2A) Portal" to simplify the application process. The portal includes names of Indian universities as well as any pertinent information on scholarship programmes. 
  • With a wide range of initiatives, the Council carries out its role of cultural diplomacy. The ICCR promotes individual artists in the performing arts and the visual arts in addition to organising cultural festivals both domestically and abroad. It also provides financial support to a number of cultural organisations in India.

Note: 

Soft Diplomacy/ Soft Power

  • The phrase "soft power" was first used by Joseph Nye. The ability to influence other countries by persuasion and appeal rather than coercion or force is known as soft power. Education diplomacy, science diplomacy, public diplomacy, and digital diplomacy are a few of the diplomatic strategies used to develop soft power.
  • Indian example: India has been utilising yoga diplomacy as a strategy for cross-cultural dialogue and global collaboration.  Its centrepiece event is International Yoga Day (June 21 since 2015). It has been celebrated across the world annually on June 21 since 2015, following its inception in the United Nations General Assembly in 2014.

Difference between hard and soft power:

  • Hard power is the tactic of influencing another state's behaviour by coercion, military force, or economic force.
  • The use of culture, values, and ideas to influence the preferences of others is known as "soft power. 
  • By instilling a desire for the aims of the power holder, soft power tries to exert indirect  influence, whereas hard power uses coercion to accomplish its goals.

Several examples in which soft power tools are utilised in global politics and international 

Relations: 

1.E-diplomacy It involves influencing public opinion and intercultural dialogue through the use of websites, blogs, and social media. Social media's significance during the Arab Spring encouraged the use of Twitter and Facebook diplomacy. 

2.Cultural diplomacy Developing relationships with other groups and promoting understanding of a nation's values and culture. Festival and exhibition planning, artist exchanges, and financial assistance for artistic endeavours are examples of cultural diplomacy. 

3.Public Diplomacy

Public diplomacy is used to build relationships with individuals around the globe and project a positive image.  It is a key component of soft power. Countries strengthen ties, advance their foreign policy goals, and boost their influence in the world through public diplomacy.

4.Sports diplomacy

Soft power is increasingly including sports diplomacy as a key component. 

The FIFA World Cup and other events that Qatar has hosted have enhanced its reputation. 

Countries make a lot of lobbying efforts to host sporting events like the Olympics, World Cup,  because of the importance of these events for soft power. 

5.Economic diplomacy

The "Marshall Plan" was employed to build the European Union's economy after World War II. It also influenced the interests of society and culture in Europe. Another example of something that impacts more than just infrastructure and economic development is China's Belt and Road Initiative.

China Bhutan Border Talks

Context: Bhutan’s fifth King Jigme Khesar Namgyel Wangchuck is set to arrive in India at the invitation of President Droupadi Murmu, all eyes will be on his talks with Prime Minister Narendra Modi, and any possible discussions on the progress in Bhutan-China border talks.

This will be the first such high-level meeting between the two leaders since Bhutan and China’s talks on their boundary made rapid progress. Mr. Modi and Bhutan’s PM Lotay Tshering have spoken often on the phone, but last met for bilateral talks in Thimphu in August 2020.

The leaders were expected to discuss India’s support to Bhutan for its five year plans. At present, the Indian government’s assistance towards Bhutan’s 12th five year plan (2018-23) amounts to ₹4,500 crore.

Cause of concern

In October 2021, Bhutan and China signed a Memorandum of Understanding for a “three-step roadmap” to expedite border resolution talks.

The discussion centres on two valleys to Bhutan’s north and the Doklam area to the west of Bhutan, close to the trijunction with India, which was the site of a stand-off between Indian and Chinese forces in 2017.

India has been particularly watchful of any possibility of a “swap agreement” between the two countries that could affect its security at the trijunction.

In January 2023, Bhutan and China held talks in Kunming, and reached a “positive consensus” on how to move forward with the talks. 

Earlier Bhutanese PM has in an interview to a Belgian newspaper has explained that he hoped to complete boundary demarcation talks on disputed areas in the next “one or two more meetings” and that a visit by a Chinese “technical team” was expected shortly in Bhutan.

The Bhutanese PM’s comments on discussing the Doklam trijunction dispute “trilaterally”, with Bhutan, India and China as “equal” interlocutors, set off a storm in Delhi

Border Dispute between Bhutan and China

Disputed region between Bhutan and China

Like the Sino-Indian border, the entire 477-km Bhutan-China border is also disputed. Significant Chinese claims range from three areas in western Bhutan, including Doklam, three regions in the north

Border talks between the two sides(Bhutan and China) began in 1984, and from the seventh round in 1990,China has continued to push a “package proposal”, which would see it concede its northern claims with an area of 495 sq km, in exchange for Bhutan agreeing to China’s western claims, including 89 sq km of Doklam.

Why China is pushing for Package Deal

There were two reasons for this.

  • First, adding territory in the west would help enlarge the narrow and strategic Chumbi Valley.
  • Second, possession of Doklam would give it a military advantage over India. The Doklam area is not of particular strategic significance for Bhutan, but it is important for India since it gets the Chinese to the Zompelri (Jampheri) ridge, which gives them a commanding view of India’s Northeastern jugular, also known as the Siliguri Corridor.

Breakdown of Talks

  • The two sides were very near for the finalisation of deal during the 10th round of talks, however when the two sides met for their 11th round in November 1996, Bhutan backed off, and many believe that India played a role in this. So in 1998, China and Bhutan signed an agreement to freeze the border as of 1998, pending further talks
  • The problem for the tiny Himalayan kingdom is that, unlike, its neighbourhood, it is not very populous, with just some 750,000 people in an area of 38,000 sq km — a little smaller than Denmark but with one-seventh of its population. Its capacity to police its disputed borders is limited, as has been evident over the years that it has dealt with China.
  • In Asia, China sees Bhutan, where it does not yet have an embassy, as the last frontier. Having made inroads into Indian pre-eminence in Nepal, Sri Lanka and Bangladesh, Beijing would like to challenge New Delhi’s special relationship with Bhutan as well. Recent events, including Doklam and the revival of its claim in the eastern region, can be seen as systematic Chinese pressure to push the Bhutanese to comply with its demands.
  • Beijing's surprise move came during a virtual conservation meeting in June, when it laid claim for the first time to Sakteng Wildlife sanctuary, which spans about 740 sq km (285 sq miles) in eastern Bhutan. Chinese foreign ministry explained that "the boundary between China and Bhutan is yet to be demarcated, and the middle, eastern and western section of the border are disputed". The eastern section was an obvious reference to the Sakteng reserve.
  • Scholars believe that inclusion of Sakteng as a disputed territory by China, was an effort by the Chinese diplomacy to strong arm Bhutan, to bring it back on negotiation table and the diplomatic effort has yield a positive result for China.

The relationship between India and Bhutan

History of relationship between India and Bhutan

  • Ancient kingdom of Bhutan was originally the State of Monyul  and also as the country of Drukpas or the ‘land of thunder dragons’.
  • India’s relations with Bhutan go back to 747 AD when a Buddhist monk Padmasambhava went from India to Bhutan and led the Nyingmapa sect of Buddhism India contributed to the cultural growth of Buddhism in Bhutan. 
  • Among India’s South Asian neighbours, India’s relations with Bhutan remain a model worthy of emulation
  • The trust deficit shown by other South Asian neighbours is not visible in Bhutan’s attitude towards India.
  • Both have historically shared a very close relationship with each other.
  • A trusted partner: India Bhutan ties are governed by 1949 Friendship Treaty (amended in 2007)

1949 : India-Bhutan treaty of friendship & co-op : treaty’s origin can be traced to treaty of punakha.

  • When India became independent in 1947, Nehru went on a horseback to Bhutan to build relations and advised King J D Wangchuk to build relations with India.
  • Bhutan also preferred India over China as, in 1949, when China took over Tibet, it did create tensions and fears of annexation in Bhutan.
  • In 1949, India and Bhutan concluded a Treaty of Friendship.
  • Treaty stated Bhutan and India are natural partners with inseparable future.

The features of the treaty are :

  • Art. 1: India-Bhutan friendship is for all times to come.
  • Art. 2: Suggests that Indian government shall not interfere in the internal affairs of Bhutan, in return Bhutan gave an undertaking, that it would be guided by India in context of its external affairs.
  • Treaty provided for other special provisions like visa free travel, national treatment of goods etc.
  • states that both countries will ensure perpetual peace, friendship and protect each other’s national interests.
  • As per the precepts of national treatment, Indian citizens have same right for employment in Bhutan as Bhutani nationals do in India. The treaty has a special mention of a clause of extradition.

The 2007 Treaty : India’s Bhutan friendship treaty from a guiding role in Bhutan’s modernization, India & Bhutan moved forward now standing as “close friends” & the “equal partner” in the global arena.

  • Following Bhutan’s insistence, the 1949 treaty was revised. The article-2 of 1949 treaty was replaced. 

Article-2 of 2007 treaty : replaced art-2 of 1949 which had replaced Bhutan would be guided by India in context of its external affairs/foreign policy matters.

  • Now it states : India and Bhutan shall co-op closely with each other on issues relating to their national interests/security. Neither govt shall allow the use of its territory for activities harmful to the national security & interest of the other.

Significance of revision of treaty

The 2007 treaty addressed any fears among Bhutanese Elite, against the possibility of India unfairly holding people hostage for its own geopolitical interests.

India anyways had never invoked article 2 of 1949 treaty in the past. If anything, the clause had been a Burden, for if allowed Indian adversaries to Accuse it of having hegemonic and expansionist ambitions.

Changing Dynamics of relationship between India and Bhutan

  • Friendship under strain: Though the friendship treaty is the bedrock of relationship it is ironical that Bhutan takes it with the pinch of salt. India’s big brotherly attitude in its neighbourhood is not taken well even by Bhutan. Though Doklam was a diplomatic victory but some political analysts branded it as India’s self-image as a protectorate.
  • Also, the political meddling, regime management and economic arm twisting (blockade in 2013) increases Bhutan’s mistrust for India’s intention
  • Biased strategic approach: Bhutan has often accused India of India first approach rather than a bilateral one. Bhutan sees itself a sovereign and often India’s sovereignty comes first anytime when there is instability in the neighbourhood. E.g. To India the most immediate concern is Chinese increasing incursion in the trijunction area in general and its physical presence in Chumbi valley in particular. Chumbi valley is very close to the Siliguri corridor (Chicken neck) to which if China gets complete access from Bhutan and its contested territory settlement; it can give a strategic edge to China threatening Indian sovereignty once and for all. That is why India held its ground during Doklam.
  • Also, China is expanding through Belt Road Initiative (BRI) a mega connectivity project with strategic implication for India particularly. The western contested China-Bhutan territory is essential for the project i.e. for the railway line from Lhasa-Shigatse to Nepal and later to Bhutan. Therefore, China is keen to swap northern part for territories in western Bhutan.
  • India sees Bhutan from a Chinese prism, increasing sensitivities on the Bhutanese side. Doklam upstanding of India was seen by many to protect its own interest not the territorial interest of Bhutan. Bhutan has become sceptical of India protecting its national interest as China looms larger in the region due to its growing military and economic prowess.
  • Economic Drift: India Bhutan economic ties are stronger but Bhutan now sees itself as a self-reliant economy which is being thwarted due to one sided Indian commercial policy. According to Bhutanese analysts, Bhutan’s economy has become auxiliary to India’s economic intervention model. The study has found that over 60% of government expenditure goes into the import of goods from India. Further, 75 per cent of the country's external debt is accounted by hydropower loans and India accounts for 80 per cent of Bhutan's exports.
  • India’s stranglehold over Bhutan’s economy along with unfair business practices often leads to economic crisis such as the debt and rupee crunch. The fundamentals of economic dependency including the hydropower projects are becoming subjects of debate, with the unfair tariff rates, time runs and a jobless growth.
  • The remedy they see lies in diversifying its economy from a hydropower based economy to Multi-diverse one and China has a great role to play in this diversification being an economic powerhouse.

Current issues: Bhutan has raised with India at the highest level, several issues related to the hydropower projects. They are:

  • New projects finalised as joint-venture with India have stringent financing terms (high interest rates) i.e. a 70:30 loan grant ratio.
  • India has become a power surplus country and questions have been raised in Bhutan about the availability of India's market for Bhutan's power exports.
  • Delay in execution of projects, issues related to Settling tariff rates and impact of GST, all such concerns need to be addressed at the earliest.
  • The 1200 MW Punatshangchhu-I , the 1020 Punatshangchhu-2 and 720 MW Mangdechhu project need to be completed at the earliest.
  • The Indian side witnessed massive flooding in the downstream state of Assam in 2014. Bhutan alleges today that due to hydro cooperation with India, there is a dominance of Indian firms in Bhutan.
  • It feels that an overwhelming presence of Indian firms in Bhutan has restricted the space of growth for the Bhutanese corporate sector. 
  • The Indian firms end up recruiting cheap Bangladeshi labour, as a result of which Bhutanese don’t stand to benefit from the diplomacy.

Suggestions

  • Recalibrating the friendship: India should take Bhutan’s perspective of India’s dominant status in south Asia for a balanced approach in implementing the friendship treaty
  • It has to build Bhutan’s trust on India’s intention by following the treaty in letter and spirit and not on a chose and pick basis. The carrot and stick policy should be abandoned to rebuild the faith in the friendship treaty.
  • Strategic balancing: Bhutan and India, bilaterally should look at all matters of territorial incursions. India needs to develop a standalone Bhutan policy that is independent of Chinese lens.
  • Regional grouping: India-Bhutan should cooperate and coordinate their national interests. The BRI of China can have huge implication for sovereignty and security of both countries therefore both needs to connect by lessening the barriers.
  • The operationalisation of BBIN motor vehicle agreement (Bhutan Bangladesh India Nepal) can be good for starters.
  • Inclusive Economic ties: India has to make efforts to reduce Bhutan’s debt fears. Operationalisation of the pending projects can reduce the fears.
  • There is no harm in diversifying one’s economy and India should see it as a new opportunity to partner with Bhutan and help diversify its economy. It should transform its relation from an aid provider to an investment led developer. Skilling Bhutan’s youth, developing a bilateral tourism policy and increasing private investment can be helpful for both.

Way forward for India

  • Bhutan has supported the Indian stance on most issues except for a few affirmations of independent strategic policy making on a few occasions
  • Bhutanese politics, despite the transition to democracy, respect the monarchy heavily. For India, this is a major pivot to ensure continuity in India-Bhutan relations and mutually arrived at geopolitical stances
  • With our longstanding relationship with Bhutan, the Indian focus needs to be on contributing in areas that affect the populace more and in areas that are a priority for the man on the street
  • Such issues include education, healthcare, agriculture, development of the tourism industry
  • India already purchases hydropower from Bhutan and is committed to constructing additional hydropower projects in Bhutan
  • In fact, the sale of power to India is Bhutan’s biggest foreign exchange earner
  • India-Bhutan relationship has a huge ancient cultural linkage which needs to be leveraged. The revered Guru Padmasambhava associated with Vajrayana Buddhism that has a huge following in Bhutan was from India
  • The Indian approach to Bhutan has necessarily to be tailored while being sensitive to the growing Bhutanese aspirations of being considered as an equal.

India to become a $1-tn tourism economy by 2047

Context: Central Government at the second G-20 Tourism Working Group meeting in Siliguri, West Bengal has envisioned making India a $1 trillion tourism economy with 100 million international visitors by 2047.

  • The vision of the second G-20 TWG meeting was to project domestic tourism in a mission mode to maximise tourism potential in India. 

Tourism Sector in India

  • The tourism industry in India accounts for roughly 5% of the country's gross domestic product (GDP).
  • in the financial year 2019-2020, the travel and tourism sector in India employed nearly 80 million people and accounted for about 15.3% of overall jobs in the country. 
  • In 2021, India has ranked 54th in the World Economic Forum's (WEF) Travel and Tourism Development Index, down from 46th in 2019, but still, India remains at the top within South Asia.
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Benefits of development of the Tourism Sector

  • Economic growth: Tourism can contribute significantly to the country's economic growth, as it generates earnings and creates employment opportunities for people in various sectors.
  • Increased foreign exchange earnings: Tourism can be a major source of foreign exchange earnings for India, as it attracts a large number of foreign tourists who spend money on accommodations, food, transportation, and other travel-related expenses.
  • Infrastructure development: Development of tourism sector can lead to the construction and improvement of infrastructure, such as roads, airports, and other transportation facilities, which can benefit other sectors as well.
  • Preservation of culture and heritage: Tourism can help preserve and promote the rich culture and heritage by encouraging the preservation of monuments, art, and traditions.
  • Improve standards of living: Lead to the development of local economies and improve the standard of living of the people. Also, it helps to renew the sense of pride and responsibility, especially among the local population.
  • Increased awareness and understanding: Help promote understanding and awareness of different cultures, traditions, and ways of life. 
  • International recognition: Help raise India's international profile and reputation, which can initiate a cultural exchange, increases soft power, promote cultural diplomacy and have positive effects on various other sectors of the economy. 

Types of Tourism in India

  • Religious and Cultural tourism: India offers a rich cultural heritage with religious and historical monuments. Prominent sites include- Ajanta & Ellora caves (Maharashtra), Mahabalipuram (TamilNadu), Hampi (Karnataka), Taj Mahal (Uttar Pradesh), Hawa Mahal (Rajasthan), Char Dham (Uttarakhand), Sanchi Stupa (Madhya Pradesh) etc.Various fairs and festivals include Pushkar fair (Rajasthan), Taj Mahotsav (Uttar Pradesh), and Suraj Kund mela (Haryana). 
  • Adventure tourism: It offers opportunities for exploration of remote areas and exotic locales and engaging in various activities. The activities may include- trekking, Skiing facilities in the Himalayas, Paragliding, Ropeway, etc. 
  • Beach Tourism: India’s vast coastline and islands provide ample opportunities for beach tourism. E.g., Blue flag beaches of Odisha, the backwaters of Kerala, Water sports in Goa, Scuba-diving in Andaman & Nicobar Islands and coral watching in Lakshadweep islands etc.
  • Eco-tourism: India has the potential to become a competitive ecotourism destination due to its abundant natural wealth (vast variety of flora & fauna) and wetlands. E.g., Thenamala (Kerala), Kaziranga National Park (Assam), Sundarbans. 
  • This would ensure the socio-economic development of local communities while also entails the sustainable preservation of a naturally endowed area and its biodiversity.
  • Wildlife tourism: India has a rich forest cover and exotic species of wildlife which can boost wildlife tourism in India. E.g., Sariska Wildlife Sanctuary (Rajasthan), Corbett National Park (Uttarakhand).
  • Medical tourism: India avails cost-effective but superior-quality healthcare in terms of surgical procedures, general medication and Ayurvedic treatment and Yoga. E.g., Chennai (Tamil Nadu) attracts around 45% of medical tourists from foreign countries, Rishikesh (Yoga capital of World)
  • Rural Tourism: India offers a vast potential for rural tourism that focuses on exploring and experiencing the rural lifestyle and culture and participating in various activities such as farming, handicrafts, farm tourism and village walks etc.

Challenges of the Tourism Sector in India

  • Infrastructure: Inadequate infrastructure and connectivity in terms of transportation, accommodation, and tourist facilities is a major challenge for India's tourism industry, especially for remote destinations and hilly areas. E.g., Absence of basic amenities like clean drinking water, clean toilets, first aid and good public transport facilities. 
  • Seasonality: India's tourism sector is highly seasonal, with most tourists visiting the country between October and March. This seasonal nature of tourism creates a challenge for the industry to maintain stable employment throughout the year.
  • Lack of skilled workforce: India's tourism sector faces a shortage of skilled workers, particularly in areas such as hospitality and tourism management which hampers quality service delivery to tourists.
  • Safety and security: Tourists may face risks of theft, harassment, and racial attacks in some parts of the country. 
  • Environmental sustainability: Rapid growth of tourism in India has put significant pressure on the country's natural resources and environment. Lack of sustainable practices in the tourism industry has led to pollution (like plastic pollution in mountains), overuse of water resources, and damage to natural habitats. 
  • Cultural sensitivity: India's diverse cultural heritage is one of its greatest attractions for tourists. However, the lack of sensitivity and understanding of cultural differences among tourists can lead to misunderstandings and conflicts.
  • Bureaucratic hurdles: Bureaucratic processes involved in obtaining permits, licenses, and other necessary paperwork can be time-consuming and challenging. E.g., Despite the introduction of the e-visa facility, visitors find the process for application cumbersome.

GOI has taken some critical steps to develop the Indian tourism industry

In the Union Budget 2023, for the promotion of tourism into mission mode, the Ministry of Tourism was allocated Rs 2,400 crore and a slew of measures were announced.

  • Focus on promoting domestic tourism: Initiatives like 'Dekho Apna Desh,' 'Swadesh Darshan Scheme,' and 'Vibrant Villages Programme - to encourage tourism in border villages' are launched to promote tourism within the country. These schemes focus on encouraging middle-class citizens to travel within the country instead of going overseas. 

Also, under these schemes, the government aims to develop theme-based tourist circuits and better tourism infrastructure in remote parts of India.

  • Visit India Year 2023: The government has launched Visit India Year 2023 as India is heading G20 in 2023. It is a programme which invites the world to explore India and gives impetus to the tourism sector. Under the initiative, more than one lakh foreign delegates who will visit India in 2023 will be showcased the entire gamut of India's Culture, including monuments and festivals.
  • Boost to Adventure Tourism: To achieve the target of 1 trillion tourism economy, the focus is being put on various government-led initiatives under Public-Private Partnership (PPP) mode. Major push is being given to make India an ideal destination for sustainable adventure tourism. 

Priority is given to green tourism, digitalisation, skilling, tourism MSMEs and destination management. The Ministry is working with States and industries for the development of the two mega-adventure tourism trails that would be launched in the Himalayas and the Ganga in 2023. These trails would be followed by others like the Narmada trail from Amarkantak in Madhya Pradesh to the Arabian sea, the Cauvery river trail, the West Coast trail from Kutch to Kanyakumari, and the East Coast trail from West Bengal to Kanyakumari. 

  • Develop 50 new tourist destinations: Government would develop 50 new tourist destinations to attract more tourists across India. The new destinations will be selected through 'challenge mode' considering critical factors like connectivity to the destination, tourists' security, etc., and the focus will be on developing a complete package keeping in mind the needs of Indian and foreign tourists.
  • Promote eco-tourism: A new scheme, 'Amrit Dharohar,' has been announced to enhance biodiversity and support the optimum use of wetlands.
  • Starting Unity Malls: Apart from promoting domestic tourism, to promote local handicraft products, all the states are encouraged to build 'Unity Malls' at all prominent locations. These malls will act as a place to display and sell the state's local speciality products manufactured and made by local artisans.
  • Building new airports and improving railway connectivity: To promote and develop the Indian tourism industry further, Budget 2023 announced that India would develop 50 new airports, water aerodromes, and heliports to improve connectivity within the cities and smaller towns. Also, a budget has been allocated to develop railways in India. 

Way Forward

  • Unlocking India’s immense tourism potential requires a comprehensive strategy that addresses the six key pillars of planning, place, people, policy, process, and promotion. The “6Ps” cover destination planning and management, infrastructure development, sustainability and safety, development of human capital, policy and process interventions to align the Centre and states as well as promoting the narrative of Indian tourism. 
  • Presently, Tourism is a state subject. The central tourism department has been batting for it to be moved to the concurrent list, which can allow policy-making both at the Central and the State level. 
  • Granting tourism infrastructure status will provide further impetus to the growth of the sector. Some Indian states have already provided industry status to tourism, a key demand of the sector for decades now. 
  • Artificial Reality/Virtual Reality can help travellers explore destinations before they even arrive, providing virtual tours and simulations of famous landmarks, historical sites, and cultural experiences. AI-powered chatbots and digital assistants can help travellers plan their trips, recommend personalised activities, and offer real-time assistance while travelling.

Mahila Samman Savings Certificate, 2023 (Mssc)

Context: Union Budget 2023-24 announced  a one-time new small savings scheme, Mahila Samman Savings Certificate which will be made available for a two-year period up to March 2025. This will offer deposit facility up to Rs 2 lakh in the name of women or girls for a tenor of 2 years at fixed interest rate of 7.5% with partial withdrawal option. To operationalise this scheme, Department of Economic Affairs has now notified the Mahila Samman Savings Certificate Scheme. 

About Mahila Samman Savings Certificate

  • Application for opening an account: Application for opening an account under MSSC Scheme shall made by a woman for herself, or by the guardian on behalf of a minor girl on or before 31st March, 2025. The account will be single holder type account.
  • Deposits: A maximum limit of two lakh rupees can be deposited in an account or accounts held by an account holder. An individual may open any number of accounts subject to maximum limit for MSSC and time gap of three months shall be maintained between existing account and opening another account. Minimum amount for opening is an account is thousand rupees and any sum in multiples of one hundred rupees and no subsequent deposit shall be allowed in that account. 
  • Interest: Deposits made under this scheme shall bear interest rate of 7.5% per annum compounded on quarterly basis. 
  • Payment of maturity: Deposit shall mature on completion of two years from the date of deposit.
  • Withdrawal from account: Account holder shall be eligible to withdraw maximum up to 40% of Eligible Balance once after expiry of one year from the date of opening of account but before maturity of the account. 
  • Premature closure of account: The account can be closed prematurely only after completion of 6 months since the opening of account in the following cases:
    • Death of account holder.
    • If post office or bank concerned is satisfied, in cases of extreme compassionate grounds such as medical support in life threatening diseases, death of guardian. 
  • Administrative control of the scheme: Department of Economic Affairs under Ministry of Finance has notified Mahila Samman Savings Certificate Scheme, 2023 under the Government Savings Promotion Act, 1873.