1.

Gujarat Bill an undeclared Emergency: activists

Activists and members of civil society have flagged the draconian provisions of the Gujarat Control of Terrorism and
Organised Crime Bill 2015 which was passed by the State Assembly on Tuesday.
This is an undeclared Emergency intended to muzzle dissent in the State. The government wants to spread fear and
terror among activists, NGO workers and civil society persons with its stringent provisions. If there is no bail and
period of probe is lengthened, it effectively means that a person can be detained for 180 days merely on the basis of
phone records, Gautam Thaker, general secretary, Peoples Union for Civil Liberties (PUCL), Gujarat, told The
Hindu .
The draconian provisions of the Bill include Clause 16 that stipulates that a confession made by a person before a
police officer not below the rank of Superintendent of Policeshall be admissible in the trial of such accused, coaccused, abettor or conspirator.
The Bill also provides for extension of the period of investigation from the stipulated 90 days to 180 days.
No bail
Furthermore, the legislation makes offences under the Gujarat Control of Terrorism and Organised Crime Act, 2015,
non-bailable. Clause 20 (4) of the Bill states, Notwithstanding anything contained in the Code of Criminal Procedure,
no person accused of an offence punishable under this Act shall, if in custody, be released on bail or on his own bond.
The Bill makes evidence collected through the interception of wire, electronic or oral communication admissible in
the court.
It provides immunity to the State government from legal action. Clause 25 of the Bill states, No suit, prosecution or
other legal proceeding shall lie against the State government or any officer or authority of the State government for
anything which is in good faith done or intended to be done in pursuance of this Act.
Congress opposes
Strongly criticising the new Bill, Congress MLA Shaktisinh Gohil said the legislation went against nationally
applicable criminal laws such as the National Security Act, CrPC and the Indian Evidence Act. He said the State
government was not empowered to bring a law that contradicted national laws.
President Kalam had returned the Bill recommending the deletion of the clauses pertaining to confession in police
custody, tapping phone and online communication, period of investigation and non-grant of bail.
However, Gujarat again passed the same Bill in 2009 for the third time, which is now pending with the President. The
new Bill of 2015 retains the same provisions of GUJCOC.
The intention of the government is only to play politics in the name of terrorism, Mr. Gohil told The Hindu .

2.AERB should get regulatory independence by law

The draft report submitted by the Integrated Regulatory Review Service (IRRS) of the International Atomic Energy
Agency (IAEA) after reviewing legal and regulatory framework related to the safety of nuclear power plants and
projects within India, has recommended regulatory independence to the Atomic Energy Regulatory Board (AERB) by
law.
The previous United Progressive Alliance (UPA) government had introduced a Bill in the Lok Sabha to grant
regulatory independence to the AERB following the Fukushima nuclear disaster in Japan. However, following the
general election and constitution of new the Lok Sabha, the Bill lapsed and needs to be introduced again.

The Board is functionally independent from the Department of Atomic energy (DAE) as well as from the influence of
licensees, but theres scope for strengthening that independence by enacting an Act, said S. S. Bajaj, Chairman,
AERB, while addressing a press conference at Anushakti Bhavan in Mumbai.
Among other recommendations, the report has asked the Central government to promulgate a national policy and
strategy for safety and radioactive waste management strategy.
The AERB is working on a strategy to segregate high-level radioactive waste to make it benign sooner.
In India, we recycle the spent fuel and process the plutonium and other material and reuse them. The remaining
radioactive waste, mainly the actinides, is vitrified and stored at safe storage. We are now working on further
segregating these minor actinides, mainly responsible for the long shelf life of the radioactive waste, so that the
remaining waste will become benign in three hundred years, making storage easy, explained Mr. Bajaj.
The report, while acknowledging Indias comprehensive and well-established national educational and training
system that supports competence-building for its nuclear programme, has also suggested a number of vital initiatives
to the AERB.
IRRS, a peer review service of IAEA, made the recommendation

3. Govt. backtracks on pictorial warnings

The Union Health Ministry on Tuesday asserted that there was no change in the commitment to curb the
consumption of tobacco in all possible forms, even as it put in abeyance its earlier notification increasing the pictorial
warnings from 40 per cent to 85 per cent on the packages of tobacco products from April 1.
The Congress and the Trinamool Congress (TMC) have described the Ministrys decision following a
recommendation by a committee on subordinate legislation as appeasement of corporate lobbies.
The Ministrys explanation that it is merely following the committees recommendation to put the notification in
abeyance as all stakeholders have not been consulted has also been dismissed. TMC leader Dinesh Trivedi told The
Hindu that the committee does not have the power to make the government change the notification. The committee
has no power and no business to meddle in this. The government is bluffing, it shows their weakness. On the one
hand, we have Prime Minister Narendra Modi tweeting that by saying no to tobacco, we lay the foundation of a
healthy India, and then you have a party MP asking for evidence of cancer-tobacco link, Mr. Trivedi said.
Congress leaders also criticised the Ministry's decision, with Milind Deora tweeting: Sad day for Indias anti-tobacco
crusaders (including my late father, whose PIL led to the smoking ban in public places) & cancer survivors. Party
spokesperson Abhishek Manu Singhvi alleged that the NDA government seemed to be openly lobbying for corporates.
On the back foot over party MP Dilipbhai Gandhis remark, asking for research to prove the correlation between
cancer and tobacco, Union Environment and Forest Minister Prakash Javadekar said: Do not listen to these things.
Science is science. You cannot compromise on science.
While the social media was abuzz with criticism, Monica Arora of the Voluntary Health Association of India said an
earlier committee on subordinate legislation of the Rajya Sabha had recommended that pictorial warnings and rules
against tobacco advertisement should be made stronger. The committee, in 2013, observed that the pictorial warning
needs to be 90 per cent. So all those earlier reports have not been reviewed when this committee made its
recommendations, Dr. Arora pointed out.
Appeasement of corporate lobbies, says Opposition

4. Centre sets sights on doubling exports

The Modi government has set the yearly exports target at $900 billion by 2020, which is nearly twice the countrys
current export performance.
Announcing the much-delayed Foreign Trade Policy on Wednesday, the Centre said it aims to raise Indias share in
global trade over the five-year period of 2015-2020 to 3.5 per cent from the 2 per cent at present.
Releasing the policy document, Commerce and Industry Minister Nirmala Sitharaman said that it was aligned with
Prime Minister Narendra Modis pet initiatives, the Make in India, Digital India and Skills India.
To ensure stability and consistency, the Government gives its commitment that the five-year policy will not be
altered annually as has been the practice It will be evaluated through a mid-course review after two and half years,
Ms. Sitharaman said.
Commerce Secretary Rajeev Kher said that the tariff cuts being announced for some raw material and intermediary
product imports would appear threatening to Indian players in those areas but lower tariffs were essential for
intermediate goods so that Indian manufacturing can become more competitive and further integrate with global
supply chains.
He also said that for the first time the countrys position on global trade pacts was being addressed in the policy.
India has not been invited to join pacts such as the U.S.-led 12 country Trans-Pacific Partnership (TPP) and is not in a
position to join, partly because tariffs are not competitive, he said.

5.Around half of Indian kids under 5 are stunted

A major project that aims to map global malnutrition trends has found that while India is home to third-highest
number of obese people after the U.S. and China, 48 per cent of women of reproductive age and 59 per cent of
children under the age of five are anaemic, and close to 48 per cent of children under the age of five are stunted.
Leading up to World Health Day on April 7, the Global Alliance for Improved Nutrition (GAIN) in partnership with
Amway has launched the Malnutrition Mapping Project, which they describe as A new education and advocacy tool
that shows the multiple impacts of malnutrition around the world using global data from 30 low-, middle- and highincome countries.
The aim of the study is to raise awareness of malnutrition in all its forms in the hope that that political, health and
business leaders could then discuss, develop and ultimately implement policy solutions for this preventable
problem. Delving deep into the data for India, the GAIN-Amway project found that the country has over 58 million
children under the age of five who were stunted and around 2.3 million children in the age cohort who were obese.
High among the causes of childhood malnutrition in India are vitamin and mineral deficiencies, as well as suboptimal breastfeeding practices.
According to the projects report, the high proportion of anaemic women of reproductive age is linked to 62 per cent
of children in the country showing insufficient vitamin A status, which raises the risk of decreased immune function,
increased morbidity and mortality and blindness. So far as breastfeeding was concerned, the project authors noted:
Exclusive breastfeeding for the first six months of life followed by continued breastfeeding until two years of age and
beyond gives babies the foundation for optimal health and development.
The GAIN-Amway project highlighted the deleterious effects of this malnutrition status, arguing that several noncomunicable diseases were associated with unhealthy diet, sedentary lifestyles and obesity in India, particularly
cardiovascular disease has apparently emerged as the biggest killer, attributed with 26 per cent of deaths. Further,

under-nutrition in the form of stunting was associated with increased risk of nutrition-related non-communicable
diseases when accompanied by excessive weight gain later in childhood, the report said. It is also linked to high blood
pressure, which is now a leading cause of death and a major risk factor for heart disease, according to the
malnutrition mapping project, roughly 21 per cent for men and women.

6.No non-lethal strategy on borders

Indicating a hardline approach in dealing with smuggling along the India-Bangladesh border, Union Home Minister
Rajnath Singh said here on Wednesday that there was no such thing as a non-lethal strategy in place for the Border
Security Force (BSF).
There is nothing like a non-lethal strategy. What is paramount is that our border needs to be protected. I cannot
allow [a situation in which] the jawans are attacked and they cannot fire in self-defence, Mr. Singh, who visited a
floating border outpost (BOP) of the BSF in West Bengals North 24 Parganas district, said.
During the United Progressive Alliance governments rule, the BSF was asked to adopt a non-lethal strategy on the
eastern border. The instruction was issued soon after reports of killings of Indian and Bangladeshi nationals by the
BSF surfaced. Those killed were allegedly trying to smuggle goods or illegally cross the border.
After touring the eastern border last August, BSF chief D.K. Pathak indicated that the force was keen to continue with
the non-lethal strategy. Bangladesh is a friendly neighbour and the policy to use non-lethal weapons on this
frontier should continue, Mr. Pathak had said, adding there is no need to review this arrangement for the time
being.
Describing such an approach as a myth, Mr. Singh said friendly ties with Bangladesh could not be at the cost of
jawans lives.
He clarified that he was not expressing any doubts over the intentions of the Bangladesh government but that the
sanctity of the border needed to be maintained.
According to BSF officials, at least three jawans have been killed and about 500 injured in South Bengal alone,
allegedly by smugglers, in the past three years.
Mr. Singh said the BSF had successfully reduced cattle smuggling. In the past three to four months, there has been a
decline in cattle smuggling. The prices of beef in Bangladesh have, therefore, increased by over 30 per cent.
The Home Minister said the government was expecting in a month a report of the review committee set up to tackle
issues like cattle smuggling and fake Indian currency along the India-Bangladesh border. He stressed on the need for
more floating BOPs to monitor the riverine borders and increased fencing along the border. On the grievances of BSF
personnel over delays in promotions and cadre review, the Minister said steps had been taken and more were in the
offing.
Sanctity of India-Bangladesh border needs to be maintained

7. Resolution adopted on re-naming Andhra capital

Hours after the government approved the first phase of the master plan of the new capital and decided to name it
Amaravati, Andhra Pradesh Chief Minister N. Chandrababu Naidu declared that his government was determined to
complete the initial phase of capital construction within four years.
Briefing the media on the cabinet decisions, Mr. Naidu said the Singapore government had presented the master plan
details of the first phase of capital construction on Tuesday.
It would furnish the entire capital city master plan details before May 15 and seed capital action plan by June
containing many more minute details. After that, the government will appoint a master developer who will bring in

global companies so that economic activity will pick up.The capital will be connected to satellite towns, while
Machilipatnam will be developed into a logistic hub.
There will be a 210-km outer ring road connecting Vijayawada and Guntur. Regional expressways, five bridges across
river Krishna, urban transportation, inland waterways from Kakinada to Pondicherry and also from Rajahmundry to
Bhadrachalam will be developed. The airport at Gannavaram in Vijayawada will be developed into an international
airport, while there is scope to develop another airport at Mangalagiri, he said.
The industrial corridors would be developed as also dedicated freight corridors to generate economic activity in the
capital region.
Mr. Naidu said the Cabinet had unanimously adopted a resolution on naming the capital as Amaravati.
It was felt that Amaravati was the appropriate name because of its historic, mythological and spiritual significance.

8.Health data of patients to be centralised

The Union Health and Family Welfare Ministry is mulling over centralising medical history of patients for easy access
of hospitals and laboratories through a new platform called the National eHealth Authority (NeHA). The initiative will
allow healthcare professionals access to complete and accurate health history for better diagnosis and treatment
without compromising on patient confidentiality.
In the concept note circulated, the Ministry pointed out that a major challenge faced by people is when they visit a
healthcare provider for examination and undergo some tests, and the care provider initiates a treatment plan, they
need to carry the whole history for their next visit.
If there is a subsequent need to visit another healthcare provider either within the same care setting or, as is more
often than not, a different one, he/she is likely to undergo the same process of repeating examination, testing and
treatment unless and until he carries around his medical records diligently irrespective of its size or form, the
Ministry noted.
Like the information systems developed by private hospitals, the government too wants to create a platform for
information saving that will allow continuity of care. The Ministry says the initiative will help meet the challenges
posed by the acute shortage of physicians and quality paramedics. As per the government data, there are seven
doctors per 10,000 population, way below the WHO recommendation of 23 per 10,000 population in rural areas.

9.Cities struggle to stay afloat

Indias biggest cities are simply unable to raise funds to sustain themselves, budgets presented over the past month
show. Major sources of revenue, including parking fees, go untapped.
Janaagraha, a non-profit organisation in Bengaluru, and The Hindu analysed data from municipal corporation
budgets presented in February and March. We studied 21 cities, including 18 State capitals last year, and found that
either own revenues as a percentage of total receipts are very low or total revenues themselves are very low compared
with the capital expenditure requirements, said Srikanth Viswanathan, coordinator for Advocacy, Research and
Capacity Building at Janaagraha. So both in terms of total revenues and in terms of own revenues, urban local bodies
are significantly under-resourced.
Mumbai is by far the richest city with its civic body proposing a total expenditure of Rs. 33,500 crore for the
upcoming year. Mumbais budget was more than that of the corporations of Delhi, Bengaluru, Hyderabad and
Chennai put together.
More than the sources of revenue they tap, the numbers tell a sorry tale of untapped potential. Chennai expects to
raise just Rs. 1 crore in parking fees despite 40 lakh vehicles on its streets. Despite owning prime property in the city,
Mumbai expects to raise less than Rs. 40 crore in rents. Bengaluru will raise less than Rs. 50 lakh in advertisement
charges.

10. Rajasthan brings Bill against witchcraft

Branding women as witches, witchcraft and such practices will soon become punishable offences in Rajasthan.
The Rajasthan Prevention of Witch-Hunting Bill, tabled in the Assembly, provides for life imprisonment if witchhunting causes death, and imprisonment up to five years and a fine for practising witch-hunting, witchcraft and so on.
At least 60 per cent of the fine will go to the victim for her treatment and rehabilitation.
Importantly, the Bill proposes to impose a collective fine on the inhabitants of a place who abet the crime, harbour
persons committing it, suppress evidence or fail to render all assistance in their powers to discover or apprehend the
offenders. The fine shall be spent on the rehabilitation and resettlement of the victim. The State government proposes
to roll out one or more schemes for the rehabilitation and resettlement of the victim and to conduct awareness
programmes on superstitions and such practices.
At present, there is no penal provision in the law to prohibit or punish those accused of witch-hunting and such
practices in the State. The Bill prohibits any acts derogatory to human dignity such as forcing a woman to drink or eat
any inedible or obnoxious substance or parading her naked or in scanty clothes or with painted face or body.
Displacing her from her house and other property will be a punishable offence.
In the Bill, the term witch is described as a woman, locally known as Dayan, Dakan or Dakin, who has been
identified by any person or persons believing her to be in possession of, or as having, any evil power for causing any
harm to any person or property. Witchcraft has been described in the Bill as use of supernatural or magical powers
with evil intention to call up a spirit or cast a spell or discover stolen goods. It includes such other practices which are
known as Tona-Totaka, Tantra-Mantra, Jadu-Tona and Jhad-Phunk. Witch doctor means a person who is
locally known as Gunia, Tantrik or otherwise and claims that he has supernatural or magical power to control or
cure a witch or performs any ritual purportedly to free a woman from evil spirit. Witch-hunting means any act or
conduct on the part of any person, identifying, accusing or defaming a woman as a witch or harassing, harming or
injuring such woman whether mentally or physically or by damaging her property.
To make branding of women as witches and such practices punishable offences

11. CAG reports pick holes in Gujarat model

Pointing to many lacunae in the development of social infrastructure, disturbing data on the status of the girl child,
poor fiscal health and growth claims made on questionable premises, a series of reports by the Comptroller and
Auditor-General of India have cast doubts on the Gujarat model of development.
The reports were tabled in the Assembly on Tuesday.
In an important observation, a report says Gujarat based its claim of higher average agriculture growth on the
Rashtriya Krishi Vikas Yojana, but evaluation studies of the schemes impact are absent.
During the 11th Five Year Plan (2007-2012), the average annual agricultural growth rate of Gujarat was 5.49 per cent,
which was higher than the national average of 4.06 per cent.
In the absence of relevant data or evaluation studies, the impact of the Yojana on agriculture and allied sectors and
the extent to which the programme facilitated the overall growth of agriculture in the State could not be assessed by
us. The government stated in March 2014 that RKVY funds helped to achieve the average growth rate in spite of
natural calamities. The evaluation of RKVY was stated to be in progress, the report said.
Furthermore, Gujarats GDP in agriculture recorded a negative growth at -7.17 per cent and -6.96 per cent in 2008-09
and 2009-12, respectively. The growth was again negative at -6.96 per cent in 2012-13, the first year of the 12th Five
Year Plan.
The State is in an unenviable fiscal position, with the fiscal deficit increasing from Rs. 15,153 crore in 2009-10 to Rs.
18,422 crore in 2013-14. The CAG noted that a portion of expenditure was wrongly budgeted under a different head,

resulting in understatement of revenue expenditure and overstatement of revenue surplus to the tune of Rs. 1,633.5
crore.
Social sector
The declining sex ratio, compounded by poor action against sex selection practices and a dearth of adoption centres,
raises serious concerns over Gujarats approach to gender equality.
Though Gujarat improved its child sex ratio marginally from at 890 girls per 1,000 boys (in the 0-6 age group) in
2001 to 919 by the 2011 Census, the figure remains below the national average. Urban areas have a poorer record on
child sex ratio than rural.
Though the overall infant mortality rate has come down, for both male as well as female child, the mortality of
female child as compared to male child remained higher during 2009-2013, the CAG notes.
Out of 681 cases of abandoned children registered during 2009-14, 216 baby girls were found dead. However, till last
September, Gujarat had not nominated a single special adoption agency as a cradle baby reception centre.
Adivasi welfare was given the short shrift in Gujarat. Funds released from the Centre and the State were diverted for
general utilisation and for the Tribal Sub Plan (TSP). However, audit of five Adivasi-dominated districts found that
no separate account of expenditure incurred under general and TSP [except for the mid-day meal scheme] were
maintained.
In two districts, Sarva Shiksha Abhiyan funds were diverted to ashram schools and Eklavya Model residential schools
of the Tribal Development Department.
In the five audited districts, the requisite teacher-student ratio was not maintained. School buildings were found to be
lacking in basic facilities, and computers in 1,368 schools were lying idle as teachers had not been appointed. Overall,
out of 43,176 schools in Gujarat, 64 with 5,698 students had no teachers and 874 had only one teacher as of March
2014.

12. Rain-hit areas to get NREGS boost

The Union government will increase the number of work days under the Mahatma Gandhi National Rural
Employment Guarantee Scheme from 100 to 150 in places where the recent unseasonal rain and hailstorms have
affected crops. The relief package will include cash compensation.
In addition, Prime Minister Narendra Modi has sought recommendations from NITI Aayog on how insurance can be
used to protect farmers from losses arising out of crop damage, Arvind Panagariya, Vice-Chairman of the
organisation, said.
The Finance Ministry and the Agriculture Ministry are readying a relief package that will include cash compensation
for damaged crops to farmers hit by the unseasonal rain and hailstorms, Dr. Panagariya told The Hindu . It will not
be possible for the Finance Ministry to provide funds to fully compensate farmers, but some cash relief will be
provided.
Union Food Minister Ram Vilas Paswan has proposed enhanced wheat allocations to the affected families under the
public distribution system. An inter-ministerial group, headed by Union Home Minister Rajnath Singh, deliberating
upon relief for farmers has, however, rejected the proposal. Agriculture Minister Radha Mohan Singh and Finance
Minister Arun Jaitley are the members of the group.
A source in the inter-ministerial group said the cash compensation would be paid out from the State Disaster Relief
Fund (SDRF) and the National Disaster Relief Fund (NDRF). Both also allow for food compensation in case of crop
damage That option is also available, the source said. The Centre allocates more funds to the States in case the
expenditure is more than the money available in the SDRF.

13.Changes planned in offset clauses

In line with the governments assurances to streamline defence procurements, the Defence Ministry is set to bring
about major changes in offset provisions in the new Defence Procurement Procedure (DPP) 2015, to be released in the
next two months.
Offset obligations were introduced in 2005 to develop the defence industrial base in the country. It stipulates that for
deals worth over Rs. 300 crore, the Original Equipment Manufacturer (OEM) has to reinvest 30 per cent of the
contract value in the country.
One of the key changes in the DPP will be an option to migrate from offset obligations to Buy and Make category,
sources said. Under the new provision, the value of Foreign Direct Investment by the OEM and the eligible products
being manufactured in India will be counted against offset obligations. This will provide a boost to Make in India
programme in defence and bring in greater FDI, sources said.
Of the 24 contracts signed between 2007 and 2013, total offset obligations were close to Rs. 30,000 crore. Ninety per
cent of them under-performed their targets and annual offset obligations remained unfulfilled, the sources observed.
In addition, the cost of contract goes up as OEMs charge for technology transfer and also significantly slowed the
procurement process while no meaningful technology was accrued.
Speaking at Aero India 2015 in Bengaluru, Prime Minister Narendra Modi stressed the importance of offsets and said,
I want our offsets policy not as a means to export low-end products, but to acquire state-of-the art technology and
skills.
He further added: We have introduced significant reforms in our offsets policy. I am acutely aware that it still needs
a lot of improvements. We will pursue them in consultation with domestic industry and our foreign partners.
Defence Minister Manohar Parrikar too had assured that the offset policy would be made more lucrative to derive
better value out of it.
However, noted defence analyst Brigadier (Retd.) Gurmeet Kanwal sounded a note of caution. At present our defence
industrys technological base is not of the level that we can absorb 50 per cent offsets of the project like the Rafale.
The proposed amendments to the policy are unlikely to change this substantially.
The industry responded positively. The new policy will help in getting work in India and technology which will
develop our manufacturing capability further, said Ashok Wadhawan, president, Manufacturing Business, Punj
Lloyd.
New Defence Procurement Procedure 2015 will be released in the next two months

14. Meet revisits judicial values, to review selection process

The Chief Justices Conference on Friday took an introspective turn with the highest judiciary making the need to reexamine judicial values a topic of discussion in the conclaves 25-point agenda.
The two-day conclave, led by the Chief Justice of India H.L. Dattu and two senior-most judges of the Supreme Court,
Justices T.S. Thakur and Anil R. Dave, has the Chief Justices of 24 High Courts in attendance, and is being held at the
Supreme Court after two years.
The judiciarys code of conduct was adopted 18 years ago, in May 1997 in a Full Court Meeting of the Supreme Court.
This document, the Restatement of Values of Judicial Life, serves as a guide to be observed by judges in the impartial
administration of justice.
This code was the outcome of a resolution passed in another Chief Justices Conference held way back in September
1992. The cardinal rule of the 1997 document is that justice must not merely be done but it must also be seen as

done. Its first tenet being that the behaviour and conduct of members of the higher judiciary must reaffirm the
peoples faith in the impartiality of the judiciary.
Clearing backlog
The conference would have the Chief Justices consider the need for a review of the selection process of judges and
judicial officers at all levels. They would also decide steps to be taken for capacity building and identification of
potential within the institution.
On the problem of case backlog, the Chief Justices would consider the establishment of an arrears committee at the
High Court level and create uniformity in giving the pendency figures. There are 2.64 crore undecided cases in the
subordinate courts and 42 lakh pending in the High Courts.
The conclave is proposing to make the High Courts financially independent and further increase the salaries,
emoluments and post-retirement benefits for High Court Chief Justices and judges.
Dissent note
Chief Justice Dattu decided to go ahead with the judicial conference despite objection from within his brethren about
it being held on Good Friday. Justice Kurian Joseph, a Supreme Court judge, has reportedly written to him taking
exception to hosting such an important conference on a day when some of the judges are otherwise engaged in
religious ceremonies and family obligations. The Chief Justice is reported to have replied that the conference was
scheduled to resolve immediate issues concerning the judicial institution and institutional interests overcame
individual interests.
On Sunday, Prime Minister Narendra Modi will inaugurate a joint conference of the Chief Justices of the High Courts
and the Chief Ministers.
Pendency of cases, capacity building discussed at
judges conclave

15. India hails Iran nuclear agreement

India hailed the agreement reached between Iran and the P5+1 group U.S., U.K., France, Russia, China and
Germany on Tehrans nuclear programme, calling it a significant step towards a comprehensive settlement. A
statement issued by the Ministry of External Affairs, after the agreement was announced in the Swiss town of
Lausanne on Thursday night, said: The announcement underlines the success of diplomacy and dialogue, which
India has always supported.
After several delays and an extended deadline, the Foreign Ministers of all the countries involved in what are called
the E3+3 (Europe 3+3 or P5+1 of the Security Council and Germany) group and Iranian Foreign Minister Javad Zarif
announced that they had a framework agreement to take forward their twin objectives of reducing Irans nuclear
capabilities for civilian use only, while lifting financial sanctions imposed by the U.N., the European Union and the
United States.
According to the draft agreement released by U.S. officials, Iran will reduce the number of installed centrifuges by
two-thirds, bring uranium stocks down from 10,000 kg to 300 kg LEU (low-enriched uranium) and turn its nuclear
facility in Fordow into an R&D facility for 15 years. All the excess stockpile and nuclear parts will be kept at an IAEAmonitored location, while the U.N., the U.S. and the EU will withdraw all sanctions that have crippled the Iranian
economy for years.
Indian officials were cautious about the completion of the final agreement, but say once the deal is finalised, India
could stand to benefit greatly. If there is a significant withdrawal of sanctions, that would benefit our economic
engagement greatly as even the most normal transactions had become very tedious for Indian businesses. From
insurance to raising capital, every deal faced international hurdles, a senior official told The Hindu .

India and Iran have an annual bilateral trade of about $14 billion, with an extremely high balance of trade problem, as
India has been unable to pay Iran about $8.8 billion for oil due to sanctions, according to Commerce Ministry figures.
The government has also had to bow to U.S. and international pressure on cutting its oil imports from Iran, and in
March 2015 halted oil imports altogether for the first time in more than a decade in order to keep its international
commitments.
Some are also warning that the Lausanne agreement could face a strain if the U.S. and the Iranian governments come
under pressure from their hardline domestic constituencies in the months ahead. Both sides are trying to play this as
a great win for domestic reasons, and say that they have taken the other side for a ride, explained former Indian
Ambassador to Iran K.C. Singh. With both President Rouhani and President Obama in weakened political positions
at home, neither can afford to be seen as a loser from the agreement, he told The Hindu .
If the Joint Comprehensive Plan of Action agreement is finalised as hoped, opinion is divided over how much India
will benefit. While economists are predicting India-Iran trade could double, given old business ties between the two
countries, officials concede that once sanctions are lifted on Iran, India would also have to compete with the U.S. and
European suppliers for the prosperous middle-class market that Iran represents. In the short run, the big advantage
for India could be a further reduction in the price of oil that India used to source at a much higher quantity pre-2012,
when Iran was Indias second biggest supplier.
Once the deal is finalised, India could stand to benefit greatly

16. Kurian says secularism is being tinkered with

Supreme Court judge Justice Kurian Joseph said his written objection to the Chief Justice of India holding the Chief
Justices Conference over the Good Friday weekend was an expression of his anguish at the way secularism is being
tinkered with.
This is my pain, anguish and concern about the way secularism is being tinkered with. Secularism practised in India
is unique in the world. A constitutional institution like the judiciary, expected to protect secular ethos, cannot even
remotely give any message otherwise, Justice Joseph told The Hindu on the phone on Saturday from Kerala where
he has gone to attend Easter services.
The former Chief Justice of India V.N. Khare told The Hindu that Justice Josephs position reflected the
apprehensions of religious minorities. The whole incident is very unfortunate. I see it in a broader perspective ... and
the broader perspective is that his [Justice Josephs] letters be seen in the context of the fears felt by the religious
minorities, he said.
Through another letter, Justice Joseph declined Prime Minister Narendra Modis invitation to a dinner on Saturday
for the judges attending the conference. He requested the Prime Minister to benevolently show equal importance
and respect to the sacred days of all religions which are also declared as national holidays while scheduling events.
Our religious and cultural festivals and hues, irrespective of caste and creed, have contributed to the vibrancy of our
rich pluralistic culture and ethos, Justice Joseph wrote to the Prime Minister.
Chief Justice H.L. Dattu refused to comment on the letter .

17. Evacuation plans may be hit

Increasingly worried by the deteriorating security situation in Yemen, the Union government is trying to step up
efforts to evacuate nearly 2,000 Indian nationals from the capital city of Sanaa and other places.
On Saturday, Air India planes were given clearance to conduct another rescue operation for another batch of 350
passengers, who will land in India overnight by the C-17 aircraft of the Indian Air Force from Djibouti.
Since Tuesday, when the Indian Navy and Air Force launched Operation Raahat to evacuate the remaining Indians
from Yemen, they have been able to bring 1,350 people to safety, the government says. Those numbers include 11

foreign nationals three Pakistanis, three Bangladeshis, two Nepalese, two Ugandan and one Djibouti national
who were working for an Indian company. India has also accepted the Sri Lankan governments request to evacuate
their nationals, but said they could only bring them from the point and time of evacuation when the opportunity
arises.
A difficult operation is under way to evacuate those stranded at Aden, after the port there was closed due to increased
fighting between groups, including Houthi rebels, government troops and even Al Qaeda fighters.
Fortunately, we have been able to maintain contact with the warring factions in control there, and Indians have not
been targeted, a senior government official said. Even so, with the port closed, officials have had to organise small
boats to take passengers out to the high sea where Indian ships are waiting to bring them to Djibouti. From the
passenger boats, they have to scale rope-ladders to a three-metre height, an arduous climb, especially for women and
children, officials said.
A majority of the stranded Indians remain in Sanaa where the airport was damaged by airstrikes launched by a
Saudi-led coalition. Even after repairs, only smaller planes can land. While the Saudi Arabian government has no
international mandate, it unofficially controls the Yemeni airspace, and Indian officials have to negotiate timings for
further missions into Sanaa on a day-by-day basis for verbal clearances, which considerably delays the planning
process.
The permissions for using the Sanaa airport, the only one working in Yemen, are also tenuous, as Houthi rebels
controlling the area keep moving their missiles around at night, making the flight path unsafe. A sand-storm
formation has been worrying pilots for the past two days.
Amid all the worries, including increased fighting, officials are hopeful of bringing out all the Indians registered for
evacuation in the next few days, if they continue to get permission to land Air India planes in Sanaa, while INS
Mumbai is docked off Aden waters and other passenger ships are hopeful of making another evacuation from Al
Hudaydah.
Arrangements are being made for road travel by others from smaller towns such as Al-Mukalla, Taizz, Ibb and
Hadhramaut. To boost the numbers of officials processing them in the neighbouring country of Djibouti, which is the
pivot of the Indian operations, External Affairs Ministry officials said six more officers were being sent to Djibouti on
Saturday.
Closed Aden port, damaged Sanaa airport and a possible sand-storm formation have complicated
the rescue operation

18. Every culprit entertains false hope

O my lord, forgive this man. He knows not what he does! Yakub Memon had screamed like a caged animal, his
angry eyes fixed on the judge when the Tada Court sentenced him to death in July 2007. The outburst stunned the
court room into silence, but Judge P.D. Kode remained unperturbed by the drama, and went on with his business
with the usual calmness associated with him.
Recalling the incident, Justice Kode, who retired last month after serving in the Bombay High Court, says Yakub
Memon, the younger brother of prime bombings conspirator Tiger Memon, has had several outbursts during the 14year long trial.
Anything that happens at the time of sentencing has to be ignored because nobody in this world readily accepts
punishment. Every culprit, till the last moment, entertains false hope that he may escape the consequences of his
actions, says Justice Kode in an exclusive chat his first after retirement withThe Hindu at his residence in
central Mumbai.
Yakub Memons review petition seeking the recall of the March 21 2013 apex court order upholding his death
sentence is presently before the Supreme Court which has stayed his execution.

Anyway, judicial certificates are not required from the culprits. The apex court is there for giving us certification.
Above all, it is also the society, the people of India who give us certification, he says, when asked about the
allegations made by the accused against the judiciary.
If they [Memons] felt they had not done anything wrong, why did they run away from the clutches of law? But when
they came back, they were given a fair opportunity to defend themselves. Eight of them were tried and those who had
no role to play were acquitted. Guilt of others has been established, he says. The 12 serial explosions on March 12,
1993 killed 270 people and injured 700 and is one of the biggest terror strikes before 9/11.
Given the sheer magnitude of the 1993 serial bombings case a 10,000 page chargesheet, 13,000 pages of oral
evidence, 7000 pages of documents and 6,700 pages of statements of accused, and over 120 accused it was a
daunting task for any judge. But, Justice Kode relentlessly pursued the case, not taking leave even when he lost his
parents or when his hand was fractured in an accident.
During the trial, Justice Kode also had to dwell on the question whether actor Sanjay Dutt was a terrorist. Sanjay
Dutt always maintained decorum in the court...After assessing the evidence, no guilt could be proved regarding his
involvement in terrorist act, and he was found to be guilty only for offences under the Arms Act. It was thus clarified
that he wasnt a terrorist, he says.
Asked about public prosecutor Ujjwal Nikams controversial revelation that he cooked up a story about Ajmal Kasab
asking for mutton biryani in jail to counter public sympathy towards him, Justice Kode says It is not the job of the
prosecutor to twist the real facts. Officers have to protect the interest of the society, including that of the accused. Mr.
Nikam also worked as the Special Public Prosecutor for the 1993 serial bombings case.

19. Trial in criminal cases will be completed in 5 years: CJI

Chief Justice of India H.L. Dattu said here on Sunday that the joint conference of Chief Ministers and Chief Justices
had decided to complete criminal trials in five years.
We have taken a decision to try our best that five year should be the maximum time to finish a case [at the district
level]. My priority is that it should not go beyond two years. But please keep in mind the judge-population ratio and
lack of infrastructure also, he said during an interaction with the media.
There are 2.64 crore undecided cases in the subordinate courts and 42 lakh pending in the High Courts. Earlier in the
inaugural session of the conference, the CJI said the current judge0population ratio of 1:61,865 was unacceptable.
On the delay in deciding the December 16 Delhi gang rape case, the CJI said the appeal filed by the four condemned
men came to the apex court only last year. There are already 23 death reference cases pending in the SC. It [Delhi
case] would certainly be decided on priority, if the matter is mentioned before the court, he said.
Chief Justice Dattu said the highest judiciary worked 24x7 during 190 working days, and spent court holidays writing
judgments.
It is not an easy-go life. Having 20 years experience as judge, I can say, we work 24x7, he said.
Law Minister D.V. Sadananda Gowda said that almost 96 per cent of the subordinate courts had been computerised.

20.Guard against 5-star activists: PM

Noting that the judiciary should attain perfection as it grows more powerful, Prime Minister Narendra Modi on
Sunday urged judges to evolve an in-built self-correction mechanism to prevent rot from within.
Speaking at the inaugural session of the Joint Conference of Chief Ministers and Chief Justices here, he said the
common mans expectations from the judiciary were huge. In fact, judges were considered divine by ordinary
citizens.

The credibility of the judiciary was so high in the public eye that even a condemned man came out thinking that the
judge had not wronged him, he said.
He said the political classes, besides being under public scrutiny 24 hours a day, had several checks, in the form of the
Election Commission, the Right to Information Act and now the Lokpal. But none of these applied to the judiciary.
Even the slightest wound to the judiciary, in the form of corruption, would endanger the image of the entire nation, he
said.
If the government commits a fault, we have you to correct us. But you cannot afford to be seen in the wrong, he said.
Mr. Modi said the judiciary should be cautious about delivering perception-driven verdicts, especially when
perceptions were sourced from five-star activists.
Earlier, Chief Justice of India H.L. Dattu described the relationship between the judiciary and the executive as that of
siblings who hold each others hands and correct each other when needed. The judiciary, he said, was open to
suggestions, change and dialogue to improve the administration of justice.
Even as the CJI laid emphasis on the governments cooperation to upgrade court infrastructure, the Prime Minister
expressed unhappiness over the existence of more than a 100 tribunals and the way they were eating into financial
resources.

21.Amend Mines Act to contain silicosis: Rajasthan HRC

The Rajasthan State Human Rights Commission (SHRC) has asked the government to take a fresh look at the Mines
Act, 1952 to contain the alarming spread of occupational diseases and effectively deal with violators.
The commission has recommended the constitution of an independent agency with adequate powers to deal with all
issues relating to occupational diseases and another panel to conduct studies and research.
In a special report on silicosis submitted to the government, the SHRC has said it should be made compulsory for
mine owners to use modern technology for extraction of sandstone and other dimensional stones.
Silicosis is an incurable respiratory disease caused by inhaling silica dust and is widespread among miners.
The problem will be prevalent among workers engaged in several other occupations such as stone crushers, quartz
mining and processing, foundries, sand blasting, ceramic industries, gem cutting and polishing, slate and pencil
industries, glass manufacturing, and construction workers, the report said.
Taking on the government for failing to launch a State-wide study on silicosis as recommended in the commission's
first special report on silicosis, the panel has said not even the terms of reference for the study had been framed after
15 months. The departments concerned also have not displayed any urgency or sensitivity in implementing the other
important decisions taken.
The majority of stone mines are in the unorganised and small-scale sector and provide employment to lakhs of people
living around the mines. Reliable data about these workers are not available since employment details are not
maintained, though rough estimates suggest that 25 lakh workers are engaged in mining operations in Rajasthan.
Roughly 57 silicosis deaths have been reported from the State since 2009-10 and over 891 cases detected. These
workers are among the poorest of the poor.
Working conditions in stone quarries are far from satisfactory. Most of the small mine operators are reluctant to
adopt safety and health measures and do not comply with the provisions of the Mines Act, 1952.
There is need to give identity cards to mineworkers. In view of the endemic nature of silicosis in the State and
widespread violation of provisions relating to record of employment and daily attendance, the identity card should be
a biometric one that contains the record of employment and medical history of the holder, the report said.

The commission is of the view the employment of workers, either regular or employed on contract/casual basis,
without identity cards and exposing them to occupational diseases, should be prohibited.
Medical exam:A medical examination at the time of employment and periodic medical examination prescribed
under the Mines Act and the Factories Act should be made mandatory for contract and casual labour in hazardous
occupations.
The commission has pointed out that the requirement of certification of silicosis by the Pneumoconiosis Board for
claiming compensation in the case of death and disability is a futile exercise as far as most of the mineworkers are
concerned since even the Board members do not have any expertise on the disease.
The panel has said the doctors in the districts with adequate training in pneumoconiosis may be appointed as
Certifying Physicians or a Pneumoconiosis Medical Board consisting of a group of doctors posted in the district may
be authorised to issue such certificates.
Most small mine operators are reluctant to adopt safety and health measures

22.Delhi air quality to be very poor over next few days

The air quality in Delhi and Mumbai will be very poor in the next few days, particularly on Tuesday and Wednesday,
due to a dust storm, which originated in the Gulf region last week.
According to System of Air Quality and Weather Forecasting and Research (SAFAR), a body under the Ministry of
Earth Science, this is mainly due to the remnants of a major dust storm, which was experienced in the Gulf region
early last week that has now crossed the Arabian Sea.
This has also disturbed the air quality in Delhi, which was categorised as good by SAFAR last week.
Air quality in Delhi is again going to become poor to very poor on Tuesday/Wednesday and PM2.5 is likely to touch a
value of 130-150 microgram/m3 as per the prediction made by the SAFAR model. The dust storm has disturbed the
wind patterns. And some parcels rich in pollution are likely to drift towards northern parts of India including Delhi.
But Mumbai will be the most affected, said Gufran Beig, Project Director, SAFAR at ESSO-IITM Pune, Ministry of
Earth Sciences.
PM2.5 is considered to be very dangerous as it affects lungs and enters the blood stream. The normal level of PM2.5
should be 60. PTI
Remnants of a major dust storm in the Gulf region that has now crossed the Arabian Sea has
disturbed Delhi air quality, said a weather body

23.Archaic laws contributing to backlog, says Modi

Chief Justice of India H.L. Dattu has said that judges should be consulted before budgetary allocations are made for
the judiciary.
He was speaking at the inaugural session of the Joint Conference of Chief Ministers and Chief Justices here on
Sunday.
Prime Minister Narendra Modi agreed with the Chief Justice that the judiciary could not solve pendency alone and a
coordinated effort was required.
Mr. Modi said pendency had been a constant refrain at joint conferences held in the past. He reminisced about being
a witness to threadbare discussions at earlier conferences, and pointed out that no solution had been arrived at so far.
Instead, he drew attention to how unnecessary and archaic laws had held up court proceedings, adding to pendency.

Courts take years to interpret these poorly drafted laws. This is a reason for pendency. Again, our justice delivery
system is caught up in a morass of unnecessary laws.
While Mr. Modi highlighted the need to sustain quality in the judiciary, Mr. Justice Dattu pointed out that the best
minds were hardly attracted to the judiciary. He pointed out that the judge-population ratio had dipped to 1:61,865.
The stark reality is that the salary of a judge is somewhat that of a fresh graduate working in a law firm. I fear for the
future, he said.
Union Law Minister D.V. Sadananda Gowda agreed that the judicial system was under strain.
Tribunals
Jayant Sriram reports:
Expressing concern over the low rate of case disposal by the countrys various tribunals, Mr. Modi said it should be
noted if these bodies were actually helping the functioning of the judiciary.
I want all seniors in the Supreme Court to contemplate if tribunals are actually helping in improving functioning of
judiciary as a lot of budget goes waste in tribunals and we need to rectify that in a positive way, Mr. Modi said.
The Prime Minister asked those present at the conference to consider if the expenditure incurred on tribunals could
be used to strengthen the court system if it was found they were not serving the purpose for which they were set up.
The Prime Ministers remarks come in the wake of recent efforts being made by the government to prune down the
number of tribunals in the country. The Department of Legal Affairs in the Law Ministry had recently written to all
Union Ministries and departments to furnish details of tribunals functioning under their administrative control and
explain the possibility of merging the functions of tribunals with some other tribunals.
The Law Ministry is of the view that there is a possibility that some of the tribunals can be converged/merged to
avoid overlapping/identical functions being discharged by them.
In February, a parliamentary standing committee also highlighted the high pendency of cases in tribunals, and said
the matter needed urgent attention. The committees report said that as on December 31, 2014, there were 1.55 lakh
cases pending at the Central Administrative Tribunal, 99,349 at the Income Tax Appellate Tribunal, 96,039 at the
Customs, Excise and Service Tax Appellate Tribunal and 44,756 cases at the Railway Claim Tribunal. The pendency
in those tribunals has defeated the purpose for which those tribunals have been created as parallel to high courts, the
report noted.

24. Govt. moves to clear the air

Amid growing concerns over deteriorating air quality in Indias major cities, the government on Monday launched the
National Air Quality Index (AQI) that will put out real time data about the level of pollutants in the air and inform
people about the possible impacts on health.
Launched by Prime Minister Narendra Modi during the two-day conference of Environment and Forest Ministers, the
new index will initially cover 10 cities Delhi, Agra, Kanpur, Lucknow, Varanasi, Faridabad, Ahmedabad, Chennai,
Bengaluru and Hyderabad each of which would have monitoring stations with AQI display boards. The aim was to
eventually deploy the index in all cities with a population of over one million.
The government has been under immense pressure to take a strong stand on air pollution after a World Health
Organization study of 1,600 cities released last year showed that Delhi was the worlds most polluted capital. Another
study, conducted by economists and public policy experts from the Energy Policy Institute at Chicago, Yale and
Harvard University, found that Indias poor air quality reduces the lifespan of the average citizen by 3.2 years.

The Air Quality Index may prove to be a major impetus to improving air quality in urban areas, as it will improve
public awareness in cities to take steps for air pollution mitigation, Environment Minister Prakash Javadekar said at
the conference.
The AQI is a global standard. It takes multiple data on pollution already available with the countrys Central Pollution
Control Board and presents them as a colour-coded scale with six levels.
Dark green, the first level, indicates good air quality while maroon at the other end indicates severe pollution. For
each category, the index identifies associated health impacts. For example, when the scale touches maroon, the
advisory reads: May cause respiratory impact even on healthy people, and serious health impacts on people with
lung/heart disease. The health impacts may be experienced even during light physical activity.
CPCB officials stress need for uniform air quality data
The new National Air Quality Index launched by Prime Minister Narendra Modi on Monday, gives current as well as
24-hour average data on particulate matter PM2.5 or very fine particles smaller than 2.5 micrometres in diameter,
and PM 10 which are less than 10 micrometers in diameter as well as other pollutants including nitrogen dioxide,
ozone and carbon monoxide. PM 2.5 levels are commonly used as the best indicator of severe air pollution, while PM
10 particles are also a cause of public health concern, but less lethal.
India now grades air quality along a colour-coded chart based on pollutant levels.
Officials from the Central Pollution Control Board warned that the quality of new monitoring stations was mixed
across the country, and said Delhi was likely to have the most rigorous data. There is still a lot of standardisation
work we need to do to get all cities and all monitoring stations comparable. The new index should be seen as
indicative, the official said, asking not to be named.
The Hindu analysed data from 17 location across the country based on this data and found that despite its reputation,
Delhi had better air quality that south Bangalore for the first week of April.
While comparable data for these 17 locations is available only for the last few weeks, particulate matter is heavily
influenced by weather patterns. Anumita Roychowdhury, head of the Centre for Science and Environments air
pollution and clean transportation programmes, compiled data for Delhi from October 2014 onwards. The data shows
that while there were moderate days in October, February and March, the second halves of November and
December, and the first half of January were consistently very poor.
Delhi the worst
In 2014, the World Health Organisation compiled average annual PM 2.5 numbers for over 1600 cities across the
world, including 124 from India. Delhi had the worst air quality in the world by that estimate, but 12 other Indian
cities were among the worlds worst 20 Patna, Gwalior, Raipur, Ahmedabad, Lucknow, Firozabad, Kanpur,
Amritsar, Ludhiana, Allahabad, Agra and Khanna.
The Centre for Science and Environment, which has for long advocated the adoption of the AQI, welcomed the
government's move For the first time, the government has taken the initiative to inform people about daily air
quality with simple descriptions that people can understand. This can help build public awareness as well as public
support for hard decisions needed to get cleaner air,said CSE's executive director Anumita Roychowdhury.
No preventives
However, in stark contrast with other countries that have air quality warning systems, India does not yet have a
mechanism or measures in place to bring down peak pollution levels. Beijing for instance, puts in motion a slew of
operations when the warning signal for severe pollution is issued. On such days kindergartens, primary and middle
schools close, there is a cap on the number of cars allowed on the roads and polluting factories either cut down
emissions or shut down completely. Similarly, when the air quality index rose in Paris recently, the city made public
transport free and removed almost 50 per cent of the vehicles off the road.

25. Need to relook law on juveniles: SC

The Supreme Court on Monday asked the government to re-visit the law so that a juvenile accused of rape and
murder cannot get away by claiming he is too young to understand the consequences of his crime.
In a written order, a Bench of Justices Dipak Misra and P.C. Pant observed it can no longer shut its eyes to the danger
posed to society by juveniles accused of heinous crimes like rape, dacoity, murder and drug-peddling.
The order comes even as Attorney General Mukul Rohatgi showed grave concern and admitted to an increase in
such crimes by juveniles.
Make them pay
Instead, the court asked the government to take action, and convince legislators to change the law and make juveniles
accountable.
There can be a situation where a commission of an offence may be totally innocuous or emerging from a
circumstance where a young boy is not aware of the consequences. But in cases of rape, dacoity, murder, which are
heinous crimes, it is extremely difficult to conceive that the juvenile was not aware of the consequences, Justice
Misra wrote in his order.
The court was hearing a plea by a murder accused, who claimed that he was less than 18 years old at the time of the
alleged crime in May 2000.
The order records Mr. Rohatgis statement that the rate at which juveniles are being involved in heinous crimes has
actually become a matter of grave concern for the government.

26.Ignoring SOPs reason for submarine mishaps: Parrikar

Defence Minister Manohar Parrikar claimed that recent accidents involving submarines were the result of not
following Standard Operating Procedures (SOPs).
Mr. Parrikar was speaking to the press at the Mazagon Dock Limited (MDL) after commemorating the undocking of
the first of class submarine of Project 75, named Kalvari, the Tiger Shark. It is the first of the six Scorpene submarines
in which DCNS of France is a collaborator with MDL as the builder.
Replying to the questions on the growing anxiety around safety of submarines, Mr. Parrikar said: Majority of
accidents are the result of relaxed attitude towards following SOPs. There would have been no accident had they acted
as per SOP. Now, we have asked the staff to follow SOP strictly, he said.
On the Scorpene submarines, Mr Parrikar said, India will fulfil its requirement of submarines to protect its sea waters
by 2022. We expect the rest of the construction to be completed as per the schedule. Any delay in achieving the
deadline will result in heavy penalty, he said.
Acknowledging the efforts of MDL in construction of this partially indigenous submarine, the Defence Minister said
the government had an ambitious plan to fulfil the requirements of the armed forces as per which all Public Sector
Undertakings would double their production in the next two years.
We want to build a Blue Water Navy which can survive despite operating across the deep ocean waters without any
problems. We will ensure that we become one such navy, he said.

On the rescue mission of stranded Indians from Yemen, Mr. Parrikar said almost all Indians would be evacuated by
Monday night.
Following the undocking of submarine on Monday, the launching of the submarine will take place in September 2015.
Till September 2016, it will undergo rigorous trials and tests, both in harbour and at sea, while on surface and
underwater. Thereafter it would be commissioned into the Navy as INS Kalvari.
Superior stealth
The state-of-the-art features of the Scorpene include superior stealth and ability to launch a crippling attack on the
enemy using precision guided weapons. The attack can be launched with torpedoes, as well as tube launched anti-ship
missiles, whilst underwater or on surface.
It is designed to operate in all theatres including the tropics. All means and communications are provided to ensure
interoperability with other components of a naval task force. It can undertake multifarious warfare, anti-submarine
warfare, intelligence gathering, mine laying, area surveillance etc.
Built from special steel capable of withstanding high yield stress and having high tensile strength, it can withstand
high hydrostatic force and enabling it to dive deeper.
The Scorpene is equipped with Weapons Launching tubes (WLT) and can carry weapons on board which can be easily
reloaded at sea.

27. Gulf storm haze triggers pollution fears in Maharashtra

Parts of Maharashtra continue to suffer low visibility due to the after-effects of last weeks major sandstorm in the
Gulf region.
The effects of the haboob (Arabic for intense dust storm) will be felt in the State for the next 48 hours, say
meteorologists. The haze seen over Mumbai, Pune and Nashik is the residual element of the Gulf sandstorm which
has now crossed the Arabian Sea, said Dr. Gufran Beig, senior scientist at the Indian Institute of Tropical
Meteorology (IITM).
Dr. Beig, project director of the System of Air Quality and Weather Forecasting and Research (SAFAR), said that the
particulate matter in the air was likely to increase in the next two days.
Air quality is monitored by measuring the presence of particulate matter (PM) in air. PM10 refers to particles that are
10 micrometres (less than the width of a human hair) in diameter or less. It is feared that the PM10 levels in the air
over Maharashtra may shoot up to 200 micrograms per cubic metre of air in the next two days. PM10 levels in
Mumbai and Pune were about 70 micrograms per cubic metre of air on Sunday.
The phenomenon has alarmed physicians who are worried that the pollution may trigger asthma attacks and cause
respiratory ailments.

28.Union Cabinet clears Real Estate Bill

The Union Cabinet on Tuesday approved the Real Estate (Regulation and Development Bill) which will address a
long-standing demand to bring in a regulator for the real estate sector.
The Cabinet, however, deferred its decision on the proposed juvenile justice amendment bill that will allow minors
between the age of 16-18 years accused of heinous crimes like murder or rape to be treated as adults.
The Real Estate (Regulation & Development) Bill seeks to protect the interests of consumers and establish regulatory
bodies at the Centre and States for ethical and transparent business practices in the real estate sector.

The Bill provides for mandatory registration of all projects and real estate agents who intend to sell any plot,
apartment or building with the Real Estate Regulatory Authority. It makes mandatory the disclosure of all
information for registered projects like details of promoters, layout plan, land status, schedule of execution and status
of various approvals. The Bill also seeks to enforce the contract between the developer and buyer and a fast track
mechanism to settle disputes.
The government said the Bill is expected ensure greater accountability towards consumers, and to significantly reduce
frauds and delays. It said the proposed legislation is expected to promote regulated and orderly growth of the real
estate sector through efficiency, professionalism and standardization
These measures are expected to boost domestic and foreign investment in the sector and help achieve the objective of
the Government of India to provide Housing for All by 2022, through enhanced private participation, a government
release said.
The Real Estate Regulation Bill was first introduced by the UPA government in the Rajya Sabha in August 2013 and
was then referred to a Parliamentary Standing Committee, which had submitted its report in February 2014.
The NDA government had made some important changes to the original legislation. The earlier Bill had mandated
that a developer put 70 per cent of the buyer's investment into an escrow account that would be used only for the
construction of that project. Last year, the Housing Ministry brought this down to 50 per cent, reportedly after much
lobbying from the real estate companies. The other major change was to bring the commercial segment of the real
estate sector within the ambit of the Bill, which was earlier limited to regulating only the residential segment.
The Bill also now includes a condition that prohibits a developer from changing the plan in a project unless 2/3rd of
the allottees have agreed for such a change.

29.Many discriminatory laws against leprosy patients

In 2014, India had the largest number of new leprosy cases globally (58 per cent). From 2005 to 2014, the National
Leprosy Eradication Programme has recorded 1.25 lakh to 1.35 lakh new cases every year, a majority of those affected
being children, the Law Commission has found.
In its 256th report submitted to the Law Ministry on Tuesday, the commission listed many laws that discriminate
against leprosy patients.
Despite the disease, caused by bacteria that spreads through air and can lead to severe deformity, being fully curable
now, these laws continue to exist in India. For one, the Lepers Act (1898), which provides for the exclusion,
segregation and medical treatment of pauper lepers and for the establishment of leper asylums, remains on the
statute books of India, though many States have repealed it.
Under several personal laws of all religions, leprosy for more than two years serves as a legitimate ground for divorce
or separation between spouses. Under the State Beggary Acts, persons with leprosy are put under the same category
as those with mental ailments, and medical examination, arrest and detention of persons affected by leprosy is
allowed.
The Life Insurance Corporation Act charges higher premium rates from persons with leprosy. Several State Municipal
and Panchayat Raj Acts bar persons with leprosy from holding or contesting civic posts.

30.NGOs get Rs. 11,000 crore in foreign funds a year

Non-governmental organisations in India receive Rs. 11,000 crore in foreign donations a year from over 150
countries. Of the 69 blacklisted from receiving foreign funds, 14 are from Andhra Pradesh, 12 from Tamil Nadu and
five each from Odisha and Gujarat. The others are based in Delhi, Uttar Pradesh, Kerala and Jammu and Kashmir.

The Bertha Foundation, the latest to be included on the prior-approval list for giving donations, is yet to give its
reaction to the Union governments move. Greenpeace India, which receives funds from the Netherlands-based
advocacy group, has not reverted to questions.
Although a hue and cry is being raised to project that the government is cracking down on the entire NGO sector,
there is no truth in such assertions. While thousands of service-delivery NGOs have been operating without
interference, action is being taken only against a minuscule number of advocacy groups as per law, a Home Ministry
official says.
The others in the prior-approval list are the U.S.-based 350.Org, Mercy Corps (which operated in Kashmir), Bank
Information Centre, Sierra Club Foundation and Avaaz.org; the Netherlands-based ICCO Stretegische Samenwerking,
HIVOS, Catholic Organisation for Relief and Development Aid and Inter-Church Peace Council; and the Denmarkbased Danish Institute of Human Rights and Danish International Development Agency.

31. NGT bans decade-old diesel vehicles in Delhi, NCR

The National Green Tribunal on Tuesday banned all diesel vehicles over ten years old from plying in Delhi and the
National Capital Region and also cracked the whip on rampant construction activity adding dust to the air.
Reiterating that diesel vehicles are major source of pollution in the ambient air quality and citing examples of
countries which are in the process of controlling or banning diesel vehicles, the NGT ordered, We direct all diesel
vehicles, heavy or light, which are ten years old will not be permitted on roads of NCR of Delhi.
The order comes 22 days after the NGT asked Delhi government to consider the proposal of banning diesel vehicles.
There are more than six lakh diesel vehicles registered in Delhi, which include more than five lakh private cars. The
entire public transport fleet in Delhi runs on CNG now. However, heavy goods vehicles are still on diesel.
Tuesdays order is in furtherance of the NGTs order dated November 26, 2014 by which it had directed that all
vehicles, diesel or petrol, which are more than 15 years old shall not be permitted to ply on the roads.
The Tribunal also directed Delhi government to ensure vehicles are checked for weight, age and pollution levels at all
entry points of Delhi and overloaded and polluting vehicles are prevented from entering the city limits.
Before passing the order, the NGT Bench headed by its chairperson Swatanter Kumar noted that number of
countries in the world are in the process of or have prohibited diesel vehicles. Countries like Brazil, China, Denmark,
Sri Lanka and Paris are in the process of doing away with diesel vehicles or are imposing very heavy taxes/ levies.
We have already noticed that certain stringent measures need to be taken to ensure that residents of this region do
not travel closer to ill-health by each breath they take, remarked the Bench as it directed all registering authorities in
Delhi and adjoining cities of Haryana and Uttar Pradesh to furnish before it a list of all diesel vehicles over ten year
old.
The NGT also expressed its disquiet on how rampant unchecked construction in Delhi and NCR was adding dust to
the air which when combines with particulate matter turns into a lethal mix.
It directed State of Uttar Pradesh and Haryana, Noida and Greater Noida authority, Haryana Urban Development
Authority and the Delhi government to immediately stop construction activity like on the two-km stretch from NH-24
to Char Murti Chowk which are emanating dust.
The Bench minced no words in stating how the agencies had failed in implementing its order on checking vehicular
pollution and sought files from Uttar Pradesh, Haryana and Delhi government to see if any action has been taken on
its orders.

32. TRAI recommends 112 on the lines of Americas 911

Telecom Regulatory Authority of India (TRAI) on Tuesday recommended use of a single number 112 for all
emergency services in the country, including police, fire brigade and ambulance.
Presently, callers in India need to dial in different numbers for different emergencies such as 100 for police, 101 for
fire, 102 for ambulance and 108 for emergency disaster management.
Every second counts
In its recommendations, TRAI said, In emergency situations every passing second counts, whether it is a burglary,
theft, road rage, or a fire spreading, or a citizen struggling with a heart attack the first few minutes are crucial. It is
likely that crucial time may be lost in figuring out what number to dial.
From a users perspective, it is simpler and desirable to have a single number for all types of emergencies, it added.
The regulator proposed that existing emergency numbers be retained as secondary numbers and the calls made to
them be re-routed to 112. However, once calls to the secondary numbers reduce significantly, they can be withdrawn
gradually.
As per the recommendations, callers seeking help should be able to dial 112 even from mobile or landline phones
where outgoing facility has been debarred or the service temporarily suspended.
SMS-based access for the emergency services has also been proposed.
The regulator has recommended setting up of Public Safety Answering Points (PSAPs), which will be akin to a call
centre, through which all calls to 112 will be routed.
When an emergency call is received at the PSAP, it would be answered by a specially trained officer/call
taker/operator... based on the type of emergency, dispatchers activate police, fire, medical and other response
mechanisms, TRAI said.

33.India ranks lower than even Nepal

Out of 133 countries rated on indicators of well-being such as health, water and sanitation, personal safety, access to
opportunity, tolerance, inclusion, personal freedom and choice India has secured the 101th place. This is lower than
Indias rank, of 93, for GDP per capita income. Even Nepal and Bangladesh rank higher than India on the Social
Progress Index (SPI) ratings to be released globally on Thursday. Norway has bagged the first rank; the U.S. is at the
16th place.
On the parameter Tolerance and inclusion India ranks 128th and is at the 120th place on health and wellness that,
says economist and executive director of the SPI, Michael Green, is the toughest parameter for a country to excel at.
As a country becomes richer while tackling sanitation and water becomes easier, tougher challenges emerge such as
air pollution and obesity, Dr. Green told The Hindu in an exclusive phone interview. The U.S. despite its high levels of
spending on health and wellness ranks 68th.
Even harder to tackle are freedom and tolerance, he says. The most striking findings for India are the worst
performance on the tolerance and inclusion frontIts a complex problem in a diverse countryanother thing I will
be watching for as India grows economically is when obesity as a crisis will start hitting. The SPI was launched in
2013 and is based on 52 indicators of countries social and environmental performance. It includes no economic
indicators and measures outcomes. The UNs Human Development Index and Bhutans Gross National Happiness
Index are also alternate measures for well being but they use GDP or other economic measures.
Focusing exclusively on GDP implies measuring progress in purely monetary terms and failing to consider the wider
picture of the real things that matter to real people, Dr. Green says. GDP isnt bad but its not the whole story
alongside economic growth social progress is more important for policymaking.

34. India will be able to create 109.7 mn jobs by 2022: study

India will be able to create only 109.7 million jobs by 2022, latest estimates and studies on sector-wise human
resource and skill requirements, commissioned by the newly-created Skills Ministry, show.
An earlier official estimate said that by 2022, India will have to impart skills training to 500 million people. Union
Minister for Skill Development and Entrepreneurship Rajiv Pratap Rudy will release the new estimates on Thursday.
The estimate of 109.7 million jobs is for Indias qualitative skill gap in key job roles, explained a government source.
It is a demand-side projection from the industrys point of view... it is different from the estimate of the laboursupply side for the need for jobs that was earlier projected at 500 million, the source said.
The studies for calculating Indias Skill Gap were undertaken in the wake of the launch of the Pradhan Mantri Kaushal
Vikas Yojana that the Union Cabinet headed by Prime Minister Narendra Modi approved last month. They involve
mapping of top job roles in 24 sectors including unorganised parts and also of current supply infrastructure (both
private and public)- capacity, quality and challenges. Government schemes for skill development for the sector were
also factored into the assessment.
The Modi governments skills initiative is central to the success of the Prime Ministers other pet schemes such as
Make in India and Digital India.
The studies have made recommendations for government, training partners, industry and the National Skills
Development Council.

35 PM announces enhanced input subsidy

Prime Minister Narendra Modi on Wednesday announced enhanced input subsidy relief for farmers in distress.
Farmers will now be eligible for input subsidy if 33 per cent of their crop has been damaged, as opposed to 50 per cent
or more, which was the norm till now, the Prime Minister said at the launch of the Pradhan Mantri Micro Units
Development and Refinance Agency Ltd (MUDRA) Yojana here.
Further, the input subsidy given to distressed farmers will be enhanced by 50 per cent of the existing amount.
The Prime Minister expressed concern over the problems faced by farmers due to the abnormal weather in the past
year. Helping farmers in this time of distress is our responsibility, and therefore, the government has sent teams of
Central Ministers to affected areas to assess the extent of the damage, Mr. Modi said, according to an official release.
He also gave the assurance that the Centre, State governments, banks and insurance companies would do their
utmost to provide relief to the farmers.
Mr. Modi said banks had been asked to restructure loans of farmers hit by unseasonal rain and insurance companies
had been advised to pro-actively settle claims.
MUDRA bank launched
He also launched the MUDRA bank with a corpus of Rs. 20,000 crore and credit guarantee of Rs. 3,000 crore.
The bank will be responsible for refinancing micro-finance institutions in the business of lending to small entities.
While big industrial houses provide jobs to only 1.25 crore people, small entrepreneurs have given employment to
nearly 12 crore people, Mr. Modi said. The postal network would be used for increasing access to the formal financial
system.
Union Finance Minister Arun Jaitley said the MUDRA Bank was a step in the right direction for funding the
unfunded. He had proposed the MUDRA Bank in his budget speech in February.

MUDRA will be set up through a statutory enactment. It will be responsible for developing and refinancing all microfinance institutions (MFIs) which are in the business of lending to micro and small business entities engaged in
manufacturing, trading and service activities.
Banks role
It will also partner with State and regional-level coordinators to provide finance to last-mile financiers of small and
micro business enterprises. Its proposed role includes laying down policy guidelines for micro enterprise financing
business, registration, accreditation and rating of MFI entities.
The agency will also lay down responsible financing practices to ward off over-indebtedness and ensure proper client
protection principles and methods of recovery, according to an official release.
These measures are targeted towards mainstreaming young, educated or skilled workers and entrepreneurs, including
women entrepreneurs, the release said.
A vast part of the non-corporate sector operates as unregistered enterprises and formal or institutional architecture
has not been able to reach out to meet its financial requirements. Providing access to institutional finance to such
micro, small business units, enterprises will not only help in improving the quality of life of these entrepreneurs, but
also turn them into strong instruments of GDP growth and employment generation, the release said.
Banks asked to restructure loans of farmers hit by unseasonal rain, the PM says

36. Son preference leads to unequal allocation

A preference for sons in India, encompassing both a desire to have at least one son and for the eldest son to be
healthy, generates a starkly unequal allocation of resources within families in India, suggests new research.
Seema Jayachandran, Associate Professor in the Department of Economics of Northwestern University, and Rohini
Pande, Mohammed Kamal Professor of Public Policy at Harvard Kennedy School, analysed data for over 1.7 lakh
Indian and sub-Saharan African children, drawn from Demographic and Health Surveys, in a National Bureau for
Economic Research working paper published this week.
The explanations for Indias height disadvantage with respect to Africa vary. While Columbia University economist
Arvind Panagariya, now Vice-Chairperson of the NITI Aayog, attributes it to genetics and bad measurement, others
like Dean Spears of the Research Institute for Compassionate Economics say that poor sanitation resulting in loss of
nutrients accounts for the difference.
While Indias economic growth rate and development gains are far greater than those of sub-Saharan Africa, children
born in India are on an average shorter than those born there. India has been slow in reducing child stunting.
This becomes a concern because economic and health literature shows that child heights reflect net nutritional intake
and are a strong predictor of cognition and other development outcomes in adulthood.
Only among Hindus
Within India, the researchers find that heights decline with birth order only among Hindus and not Muslims. Kerala
does not have any such fall in height with the birth order either.
With the spread of illegal pre-natal sex determination and the general move towards smaller families, this is likely to
get worse. [I]t is likely that the discrimination against girls will become more extreme [and take the form of missing
girls rather than short girls]. Its clear that we need to directly tackle the root cause son preference, Ms. Pande said
in an e-mail to The Hindu .

The new study is likely to add to the heated debate over child heights in India. I think the challenge is that it is tough
any time anyone tries to seek to identify single explanations for the story of high under-nutrition in India, said
Purnima Menon, senior nutrition specialist at the International Food Policy Research Institute.
There are massive inter-State differences in fertility rate and the higher birth order children are likely those who live
in the poorest districts of the poorest States and are subject to living conditions that are simply not conducive to
better linear growth, Ms. Menon suggested.

37.Need for a complete model to measure growth: SPI official

Unlike GDP, a country cannot boost its SPI score just by improving the lives of the most well off, or even the majority.
At any level of GDP per capita, countries with lower poverty tend to have higher social progress, the SPI shows.
Richer countries do better on the SPI as more GDP in general makes lives better but that is not the whole story
there is good correlation between GDP and social progress but not perfect correlation as other things matterand
therefore there is need for a complete model not just a GDP methodology, says executive director of the Social
Progress Index, Michael Green.
As the GDP is increasingly seen as an adequate measure of only economic progress but not overall well-being, the
World Bank, OECD and European Commission are in discussions to adopt measures of social progress as an indicator
of inclusive growth.
Time is right for new thinkingThe inequality debate over the last ten years has showed that there is need to bring
inclusion on board. Kuznets when he created the GDP knew and said it was not perfect, Dr. Green says. The concept
of GDP was introduced in the 1930s by economist Simon Kuznets, who warned at the time that the welfare of a
nation can scarcely be inferred from a measurement of a national income such as GDP.
The European Commission is set to create an SPI for the regions of the European Union. Paraguay is using it to guide
an inclusive national development plan for 2030. Cities across Latin America, such as Rio de Janeiro and Bogota, are
setting up SPIs to guide urban renewal strategies.
World Bank, OECD and European Commission planning to adopt social progress index

38. Moodys ups India outlook

Moodys, a global ratings agency, raised Indias rating outlook to positive from stable on Thursday, but retained
the Baa3 rating.
All rating agencies maintain India at the last rung of investment grade.
Moodys is the first to give the country a positive outlook after downgrading it as the economy sagged.
The change in outlook, its release said, has been driven by the view that there is an increasing probability of actions by
policymakers enhancing Indias economic strength. India has grown faster than similarly rated peers over the last
decade due to favourable demographics, economic diversity, as well as high savings and investment rates. Moodys
expects these structural advantages, supported by relatively benign global commodity prices and liquidity conditions,
will keep Indias growth higher than that of its peers over the rating horizon, the release said.
The rationale for affirming the Baa3 rating, it said, reflects Indias weaker performance, relative to peers, on fiscal,
inflation and infrastructure-related metrics. Chief Economic Adviser Arvind Subramanian said the upgrade validated
the direction of the Centres reform programme. It confirms something that we have been saying that the growth
prospects and the macro-economic prospects for the economy are improving.

39.UNESCO report lauds Indias progress

India has made remarkable strides towards ensuring education for all, a new global monitoring report shows. While
access is now close to universal, the quality of education remains a major challenge, it says.
In April 2000, the governments of 164 countries adopted the Dakar Framework to deliver Education for All
commitments by 2015. On Thursday, the United Nations Educational, Scientific and Cultural Organisation
(UNESCO) published the Education for All Global Monitoring Report to evaluate the progress of countries on these
goals.
India is likely to reach the first goal of 80 per cent enrolment in pre-primary education by 2015, has already reached
the second goal of universal primary enrolment, and will fall just short of universal youth literacy by 2015, the report
said. The one measurable goal India will not reach is reducing its adult illiteracy rate by half (it has reduced it by 26
per cent). The countrys major success has been in reaching gender parity for primary and lower secondary
enrolment, the only country in South and West Asia to do so. It has also made progress towards improving the quality
of education, but major gaps remain.
The report says nearly half of all countries have achieved universal pre-primary, primary and lower secondary
enrolment.
Only 25 per cent of the countries have reduced by half their levels of adult illiteracy, and women continue to make up
two-thirds of the illiterate. Two-thirds of the countries have achieved gender parity at the primary level, but fewer
than half at the secondary level.
Overall, not even the target of universal primary education was reached, let alone the more ambitious Education for
All goals, and the most disadvantaged continue to be the last to benefit. But there have been achievements that
should not be underestimated. By 2015, the world has advanced beyond where it would have been if the trends of the
1990s had persisted, the report says. A lesson re-emerging over the past 15 years is that while technical solutions are
important, gaining political influence and traction is of even greater significance, it notes.
However, major challenges remain. The efficiency of public spending in India comes in for criticism, as does the
expansion of contract teaching jobs in public schools.
Most crucially, the Annual Status of Education Report (ASER) said that while Indias education system succeeded in
enrolling many more children, there were wide disparities in students achievement of basic skills across the States, a
finding validated in the official National Achievement Survey of Grade 3 students, the report says.

40. Thane named Indias Earth Hour Capital

An 11-member international jury has declared Thane the National Earth Hour Capital with the city emerging the
winner from India in the Earth Hour City Challenge this year.
On Thursday, the city represented India in the Global Earth Hour Capital Competition of 16 countries in Seoul. The
host city was declared the winner and acknowledged as the Global Earth Hour Capital 2015.
The year-long competition among cities is aimed at promoting renewable energy and preparing for climate change. In
its third year in India, the contest had 13 participants.
Thane, Rajkot and Pune were the finalists from India. Pune received a special mention from the jury for its city
mobility plan and its solar and waste-to-energy initiatives.
While all finalists were invited to the programme in Seoul, only the Mayor of Rajkot could attend the ceremony and
was felicitated for the citys performance in the field of renewable energy.
Last year, Coimbatore was selected as the National Earth Hour Capital.

The notable actions by the Thane city administration include the mandatory use of solar water-heating systems for
municipal buildings and solutions such as wind-solar hybrid systems and use of solar energy for lighting and airconditioning.
Besides, the city plans solar rooftop net metering-based power generation and regular energy audits.
Among the actions are an energy service company (ESCO) project for energy-efficient street lighting, commissioning
of a bio-methanation plant to treat municipal solid waste and generate electricity and three cyclic switching units for
optimal use of streetlights.
A five-year target has been set for developing a solar city project in the city.
This is a reward for the work that this city has done in the field of renewable energy promotion and energy efficiency.
We hope that the city will further enhance the work after this recognition, said T.S. Panwar, director, climate change
and energy, World Wide Fund, which works closely with ICLEI-Local Governments for Sustainability in mobilising
cities to join the challenge.
Seoul declared the Global Earth Hour Capital, 2015

41.Greenpeace funds have affected economic, public interest: MHA

Citing various grounds for the suspension of registration of Greenpeace India under the Foreign Contribution
Regulation Act (FCRA) and the freezing of its accounts, the Union Home Ministry alleged on Thursday that the
organisation did not inform the authorities about transfer of foreign contributions in the designated account to the
FCRA utilisation account and then to five other accounts.
The seven accounts in IDBI Bank, ICICI Bank and Yes Bank have been frozen.
The order said the NGOs foreign account opening balance for 2008-09 was over Rs.6.6 crore, but was reported nil in
the auditors certificate. It later described the discrepancy as a typographical error.
The Ministry charged the NGO with incurring over 50 per cent of foreign donations on administrative expenditure
during 2011-12 and 2012-13 without approval and wilfully suppressing details on salary payment by Greenpeace
International to Greenpeace activist Greg Muttitt, who worked on secondment with Greenpeace India for over five
months in 2013-14.
Stating that acceptance of foreign contributions by Greenpeace India has prejudicially affected the public and the
economic interest of the country in violation of Section 12 (4)(f)(iii) and Section 12(4)(f)(ii) of the FCRA, the
government said the action amounted to a violation of the conditions of grant of registration certificate.
The Centre has suspended the registration of the organisation under the FCRA, for six months beginning Thursday.
The order comes against the backdrop of Ministry reports raising concerns that the U.K. has been showing interest in
the organisations India operations. The U.K. Parliament had invited Greenpeace India to testify against the Indian
government in a formal hearing. A U.K.-based TV channel had also sought to internationalise related issues last year,
an official said.
The government took exception to Greenpeace Indias participation at the Istanbul Coal Strategy Conference-2012.
At the Istanbul Conference, U.S.-based funding agencies projected India as the primary target for thermal power
plant activism, said the official. The official said the conference had resolved to focus on the Singrauli region in India.

42. Bio-fences to ward off straying elephants in Assam

In a bid to reduce man-animal conflict in Assam, bio-fences are proposed to be set up replacing electric fences, to
ward off straying elephants.
To start with four tea estates in Assam will have these bio-fenced with thickets of thorny bamboos. The nurseries for
growing the thorny bamboo will be inside the Apeejay Tea estates in Assams Sonitpur district. Electric fencing is
considered costly and unreliable besides being hazardous.
This would be part of a partnership to manage man-elephant conflict under a tie-up between Apeejay Tea and the
World Wildlife Fund.
WWF India CEO, Ravi Singh said: The unprecedented fragmentation of elephant habitats has isolated resident wild
elephants leading to an increase in conflict. He felt that the partnership had the potential to become a model in this
region.
Apeejay Teas managing director Ashok Bhargava said the route used by elephants in their Sessa Tea Estate to reach
the other part of forest would be formalised as an elephant movement corridor. The tea company, among Indias
oldest has four tea estates in a hot zone for elephant movement. During the three-year-project period they plan to
raise 40,000 saplings of the bamboo which would be later on planted in parts of the tea garden. Under the project,
they will also develop a matrix to calculate the quantum of loss that is usually borne by the tea estates on account of
damage to property.

43.India to buy 36 Rafale jets in ready condition

Marking a breakthrough in the protracted talks for striking the French Rafale jet deal, Prime Minister Narendra Modi
announced here on Friday that India would buy 36 of the fighter planes in flyaway condition, citing critical
operational requirements of the Indian Air Force.
Mr. Modi made the announcement at a joint press conference with French President Francois Hollande after their
summit talks at Elysee Palace.
Keeping in mind the critical operational necessity of fighter jets in India, I have talked to him [Hollande] and
requested for 36 Rafale jets in flyaway condition as quickly as possible under a government-to-government deal, he
said.
An agreement on proceeding forward on the stalled nuclear project in Jaitapur in Maharashtra was among the 17
pacts signed after the talks between Modi and Hollande.
The Jaitapur project, where French company Areva is to set up six nuclear reactors with a total power generation
capacity of about 10,000 MW, has been stuck for long because of differences over the cost of the power generated.
The agreement between Indias Larsen and Toubro and Frances Areva is aimed at cost reduction by increasing
localisation and to improve the financial viability of the Jaitapur project. PTI
Dinakar Peri reports from New Delhi:
The original deal was for 126 fighter aircraft under the Medium Multi-Role Combat Aircraft contest, which began in
2007. Dassault Rafale was shortlisted in 2012 after rigorous evaluation but negotiations have been stuck over pricing
and delivery guarantees for the aircraft manufactured by Hindustan Aeronautics Ltd. (HAL) in India.
A direct purchase will drive down the costs as there is no technology transfer involved and the delivery of aircraft will
be faster.

44.Victims must get full treatment: SC

In an order likely to have far-reaching effects, the Supreme Court ruled on Friday that private hospitals could neither
turn away victims of acid attack nor wash their hands of after providing first aid.
The court made it mandatory for these hospitals across the country to provide full and free medical treatment to the
victims. The order said the term treatment included reconstructive surgery, free medicines, bed, rehabilitation and
aftercare.
The order came on a public interest litigation petition filed by Laxmi, an acid attack victim, following nine years of
fighting for the rights of victims.
Ms. Laxmi was only 15 when three men, one of whom she had refused to marry, threw acid on her near Tughlaq Road
in New Delhi. She has been fighting a lonely battle since 2006 in the Supreme Court, and in the process, succeeded in
getting the Indian Penal Code amended to make acid attack a special offence. She further persuaded the court to
increase the compensation for victims to Rs. 3 lakh, besides procuring a complete ban on over-the-counter sale of
acid.
Fridays order dealt with Ms. Laxmis final demand for getting victims proper treatment, aftercare and rehabilitation.
In its order, the Social Justice Bench of Justices Madan B. Lokur and U.U. Lalit directed that all States should take
up with private hospitals and ensure that they do not deny treatment to acid attack victims. We see there is a
reluctance on the part of some private hospitals to provide free treatment.
The court clarified that free treatment would mean not only free medical treatment but also availability of medicines,
food and reconstructive surgery.
The court directed the State governments to take action against the hospitals turning away victims.
The Bench was interpreting Section 357C of the Criminal Procedure Code, inserted in Feb. 2013, to deal with the issue
of cost of treatment of acid-attack victims.

45.Depleting fleet swung Rafale deal

The major reasons for the direct purchase of 36 Rafale jets from France are the fast-depleting fighter strength of the
Indian Air Force, unending delays in the Medium Multi-Role Combat Aircraft negotiations and the steep price rise.
The fighter aircraft strength has fallen drastically to 34 squadrons from the sanctioned 42 and is set to further dip
with the phasing out of MiG-21s and MiG-27s in the next few years. The Chief of the Air Staff, Air Chief Marshal Arup
Raha, has flagged the issue on several occasions. The MMRCA and the Light Combat Aircraft (LCA) Tejas, the
replacements, are nowhere on the horizon. Also with the price crossing $20 billion, funding this was a concern for the
government with other major modernisation programmes in the offing.
PTI adds:
Another pact reached during negotiations related to pre-engineering agreements between the NPCIL and AREVA in
connection with studies that is intended to bring clarity on all technical aspects of the Jaitapur plant so that all parties
(AREVA, ALSTOM and NPCIL) can firm up their price and optimise all provisions for risks still included at this stage
in the costs of the project.
France also informed India of its decision to implement a scheme for expedited 48 hours visa issuance for Indian
tourists.
Noting that Mr. Hollande had supported the Make in India initiative, especially in the defence sector, Mr. Modi said
that in the area of nuclear power, France had been a major partner with India.

France also announced an investment of 2 billion euros (about $1 billion) in India as Mr. Modi invited French
companies to pump in money in technology in the fastest-growing economy.
France will invest 2 billion euros in India, Mr. Hollande announced at a CEO forum here.
He said France would partner India in urban development of infrastructure such as railways and defence and nuclear
sector.

46.Cash-strapped Modi government eyes temple gold

The two-century-old Shree Siddhivinayak temple in Mumbai devoted to the Hindu elephant-headed god Ganesha
bristles with close circuit cameras and is guarded by 65 security officers.
It is one of Indias richest temples, having amassed 158 kg of gold offerings, worth some $67 million, and its heavily
guarded vaults are strictly off limits.
India is the worlds biggest consumer of gold and its ancient temples have collected billions of dollars in jewellery,
bars and coins over the centuries -- all hidden securely in vaults, some ancient and some modern.
A few years ago a treasure of gold worth an estimated $20 billion was discovered in secret subterranean vaults in the
Sree Padmanabha Swamy temple in Kerala.
Now, Prime Minister Narendra Modi wants to get his hands on this temple gold, estimated at about 3,000 tonnes,
more than two-thirds of the gold held in the U.S bullion depository at Fort Knox, Kentucky, to help tackle Indias
chronic trade imbalance.
The Modi government is planning to launch a scheme in May that would encourage temples to deposit their gold with
banks in return for interest payments.
The government would melt the gold and loan it to jewellers to meet an insatiable appetite for gold and reduce
economically-crippling gold imports, which accounted for 28 per cent of Indias trade deficit in the year ending March
2013.
Indias annual gold imports of 800 to 1,000 tonnes could be cut by a quarter if temples decided to participate in the
scheme, say government and industry sources. We would be happy to deposit our gold to nationalised banks if the
policy is beneficial, safe and earns good interest, said Narendra Murari Rane, chairman of the trust for the
Siddhivinayak temple, portions of which are gold-plated.
But some Hindu devotees are not happy with the idea that their offerings could be melted down.
A Mumbai-based gold merchant, who said he and his father had donated 200 kg of gold to Siddhivinayak and other
temples over the years, said it would be a sin for the temples to earn interest on the gold offered to the gods. I make
donations to God; not to any temple trust, the 52-year-old merchant said. Mr. Modi would also like to convince
Indians to open their family vaults, which hold an estimated 17,000 tonnes of gold in jewellery and other heirlooms.
But it will be much harder to convince Indian families, who sometimes have little faith in financial institutions, to
break tradition and hand over gold passed down the generations. Reuters

47.Stabilising border is priority for India, China

India and China on Friday held their annual defence dialogue, expected to earmark four additional points of
emergency interaction between border personnel in the Ladakh sector and establish new nodes for confidencebuilding, including joint forays to tackle humanitarian disasters at sea.

Ahead of the talks, highly placed sources told The Hindu that discussions could be wrapped up on designating Track
Junction, Pangang Tso Lake, Demchock and Chumar, all in Ladakh, as the additional points for the emergency
meetings.
Defence Secretary R.K. Mathur leads the Indian delegation. The day-long interaction was meant to strengthen
institutional mechanisms to prevent a flare-up of border tensions, which would impede the growing economic and
regional partnership between New Delhi and Beijing.
Both sides have demonstrated their intent to stabilise the border first, rather than seek a quick resolution of the
boundary issue.
In an interview published on the eve of the talks, Prime Minister Narendra Modi said: Insofar as the border is
concerned, the most important point right now is that peace and tranquillity must not be disturbed. The Chinese
Foreign Ministry has reciprocated this perception.
In tune with the high-level interaction, Mr. Mathur met Chinese State Councillor and Defence Minister Chang
Wanquan on Friday, to focus on basic principles and approaches that would drive the military ties.
The Chinese Defence Ministry website says Gen. Chang said the two militaries were expected to control divergence in
a proper way, strengthen strategic mutual trust, deepen pragmatic cooperation and make contributions to
safeguarding the regional and world peace and stability.

48. Modi makes strong pitch for U.N. seat for India
Prime Minister Narendra Modi on Saturday made a strong pitch for a permanent seat for India in the UN Security
Council, saying it should get it as a right for its immense contribution to global peace.
Those days are gone when India had to beg. Now we want our right. No other country has such moral authority, he
said while addressing the Indian community here.
This is an opportunity to recognise a peace-loving nation like India, he said, asking the U.N. to reconsider its stand
on the issue when it celebrates the 70th anniversary. Mr. Modi said India had the maximum presence in U.N.
peacekeeping forces. Both during the World War I, when 14 lakh Indians went to the battle front, and the World War
II, the participation of Indians was immense, he stressed.
The world should understand this and change its outlook towards India, he said. India, he noted, had never been an
aggressor against any country and firmly believed that the world must be rid of the spectre of war. Sometimes,
history is forgotten. Those who forget history will lose their right to write one, he said.
The Prime Minister, who spoke in Hindi to an estimated over 2,000-strong gathering, was repeatedly cheered with
chants of Modi, Modi.

49.Deal to boost strategic partnership

While the decision to buy 36 Rafale aircraft in fly-away condition address the immediate concerns of the Air Force,
the surprising part of the announcement is the timing since the deal was on the verge of collapse. Just last month,
Defence Minister Manohar Parrikar had reiterated that France had to adhere to tender norms. He had also said that if
the deal was to fall through, India would buy additional Sukhois.
Officials, however, indicated that there was potentially a larger Make in India component to the direct purchase by
inviting Dassault to partner with an Indian private entity and build more Rafales in India.
Some see this decision as an acknowledgement that Hindustan Aeronautics Limited (HAL) is not capable of
producing an advanced aircraft and irrespective of what is said, the fact remains that no private player in India has
the capability to execute such a sophisticated project.

Former Foreign Secretary Kanwal Sibal said the two key areas of the strategic partnership with France are defence
and nuclear energy and Mr. Modi wanted this visit to produce something concrete and substantial for the strategic
partnership.
With two squadrons of Rafales, the Air Force would still require many more to arrest the dwindling fighter strength,
which stands at 34 squadrons from the sanctioned 42. Officials said induction of Light Combat Aircraft MK II would
be accelerated to meet the shortage while inducting more Sukhois was also an option.
Brazil too had reached a similar agreement with France for 36 Rafale aircraft for $8 billion; this was cancelled last

year.

50.New drugs soon for malaria, osteoporosis, diabetes

The Indian pharmaceutical sector would soon be showcasing candidate drugs for malaria, osteoporosis and diabetes,
Union Minister for Science and Technology and Earth Sciences Harsh Vardhan said on Saturday.
With further R&D, important breakthroughs could be on the horizon for these diseases, he said following a visit to the
Central Drug Research Institute (CDRI), Lucknow, a wing of the Council of Scientific and Industrial Research (CSIR).
Addressing scientists, he said Prime Minister Narendra Modi was committed to making India one of the worlds
leading destinations for end-to-end drug discovery and innovation by 2020.
I am confident that the drug laboratories under the CSIR are capable of backing up the Swasth Swachh Bharat
Mission. Our scientists are focussing on both infectious and lifestyle diseases. We are developing next generation
drugs, biologics, biosimilars, gene therapeutics, stem cell therapeutics, personalised medicine and multifunctional
nanomedicine, said Dr. Vardhan.
Indian R&D efforts in government laboratories like CSIR-CDRI, CSIR-Indian Institute of Chemical Technology
(CSIR-IICT, Hyderabad) and CSIR-Indian Institute of Chemical Biology (CSIR-IICB, Kolkata) have a track record in
making drugs for kala azar, filaria, leprosy and tuberculosis available at affordable rates to the common man, he said.
Under clinical trial
The candidate drugs for malaria, osteoporosis and diabetes were currently undergoing clinical trials, he said, adding
that the CSIR-CDRI were simultaneously carrying out Investigational New Drug (IND) studies on lead molecules for
fracture-healing, cancers, thrombosis, malaria and hyperglycemia. Strengthening of the R&D ecosystem is the
priority, he added.
He also said people were expecting CSIR laboratories to produce therapeutic and preventive measures for re-emerged
infectious diseases.

51.Airbus keen to make more in India

Prime Minister Narendra Modi on Saturday received a boost to his Make in India initiative when aircraft
manufacturer Airbus disclosed plans to raise its Indian outsourcing to $2 billion and its keenness to manufacture in
India. On day two of his France visit, Mr. Modi became the first Indian Prime Minister to visit the World War I
memorial in the northern city of Lille to pay homage to 10,000 Indian soldiers who died fighting Germany alongside
France in the war between 1914-18.
Accompanied by French Foreign Minister Laurent Fabius, Mr. Modi arrived here in Air India One and went straight
to the facility of Airbus.
We are honoured to host PM Modi in Toulouse and convey to him our desire to forge a stronger industrial bond with
India. India already takes a centre-stage role in our international activities and we want to even increase its
contribution to our products, said Airbus Group CEO Tom Enders.

We support Prime Minister Modis Make in India call and (we) are ready to manufacture in India, for India and the
world, he added.
MEA spokesperson Syed Akbaruddin tweeted: 500 per cent increase in 5 years. @Airbus to PM @narendramodi:
Indian outsourcing to increase from USD 400 mil to USD 2 billion. After the tour of the memorial accompanied by
French Defence Minister Jean-Yves Le Dian, Mr. Modi wrote his thoughts in the visitors book hailing the sacrifice of
the Indian soldiers. Either being slain you will attain the heavenly world or by gaining victory you will enjoy the
earth. I am honoured to pay homage to the Indian soldiers here at the Indian memorial at Neuve-Chapelle, he wrote
in the book. Our soldiers who fought in foreign lands in the great war, have won the admiration of the world for
dedication, loyalty, courage and sacrifice. I salute them. PTI

52.Educate girls to stabilise population, says Nitish

Stressing that education influences the reproductive choices of women, Bihar Chief Minister Nitish Kumar said here
on Saturday that educating girls up to the 12th standard was the only way to bring down the fertility rate of the State
and stabilise population growth.
Bihars fertility rate (average number of children that would be born to a woman over her lifetime) is 3.9 as against
the national average of 3.4.
Addressing a workshop on Health, women and development, the Chief Minister said: The fertility rate of a girl
drops to 1.7 if she is educated up to the 12th standard, and in Bihar, it is 1.6, better than the national average.
Encouraged by the fertility rate of educated girls, my government has now decided to open Plus Two schools in all
village panchayats. It will automatically bring down the fertility rate.
In my opinion, education is the most important ingredient for development of any society or State, and I have found
that educating girl students is the best way to stabilise population growth, Mr. Kumar said.

53.Modi-Merkel meet to focus on trade and technology

The Prime Minister Narendra Modi, who arrived here earlier on Sunday, tweeted, Hallo Germany! Reached
Hannover a short while ago.
From the Langenhagen Airport he went straight to his hotel where several Indians enthusiastically greeted him. He
shook hands with some of them as they shouted Modi, Modi
Prime Minister Narendra Modi was accompanied by Commerce and Industry Minister Nirmala Sitharaman.
During his stay, Mr Modi will meet German Chancellor Angela Merkel. Business and technology is the focus of the
Prime Ministers first trip to Germany.
He will visit the Hannover Fair where India is a partner country this year. About 400 Indian companies are
participating in the fair which will see the presence of up to 120 Indian CEOs besides about 3,000 German delegates.
Mr Modi and Ms Merkel will inaugurate the India Pavilion of the Fair and address an Indo-German business
summit. The two leaders will have detailed talks in Berlin focusing on how Germany can work with India in its
developmental agenda.
The two leaders will address the Hannover Fair Business Summit, which focuses on the possibilities for promoting
trade and industrial cooperation between India and Germany.
They will hold detailed discussions on various aspects of bilateral relations and international issues of mutual
interest at their official talks in Berlin on Tuesday.
Germany is Indias largest trading partner in the EU and one of the top 10 global trading partners.

The overall exchange of goods and services between the two countries was valued at around around 15.96 billion last
year, a drop of 1.14 billion from the level of 16.10 billion registered in 2013.
While Indias exports to Germany rose marginally to 7.03 billion in 2014, its German imports dropped to 8.92
billion from 9.19 billion in the previous year, according to the Federal Statistical Office.
Germany is the 8th largest foreign investor in India. Its foreign direct investments in India during January-November
2014 was valued at around $ 995.7 million.
More than 1,600 Indo-German collaborations and around 600 Indo-German joint ventures are currently in
operation.
Business is 1st in order of priority PM @narendramodi assisted by @CimGOI engages with German business
leaders, tweeted External Affairs Ministry spokesperson Syed Akbaruddin. PTI
Both will inaugurate the India Pavilion of the Fair and address an Indo-German business summit

54.Election Commission sets up committee to allow migrants to vote

After the governments green light to NRIs to cast their votes from abroad, the Election Commission has set up a
committee of senior officers to consider whether electoral laws can be changed to empower voters who have migrated
to other States within the country.
The poll body is considering whether inter-State migrant voters could retain their names on the electoral rolls of their
native places, and also, if they could cast their votes through mechanisms such as postal ballot.
Under the present law, a person can be enrolled only at the place he is residing. A migrant has to get himself enrolled
in the new place.
A relaxation of this law would prove beneficial to cadre-based parties in keeping their vote bank intact, especially in
States such as Kerala and Tamil Nadu where many youths are migrating to other States for jobs.
In an affidavit filed before the Supreme Court, the poll body said the committee was set up despite scepticism about
the need to amend the Representation of the People Act. The poll body was responding to a notice issued by the
Supreme Court on January 12, 2015, on a plea made by UAE-based doctor Shamsheer V.P., represented by senior
advocate Dushyant Dave and advocate Haris Beeran, demanding electoral reforms to allow inter-State migrants the
voting privileges like postal ballot, which is accorded to government servants.
The commission said a person who migrated can be considered ordinarily resident in his new place even without
owning or possessing a house there. It said the law was reasonable as it is now.
The application filed by Dr. Shamsheer sought the same voting privileges accorded to government servants under
Section 20(8) (d) of the Representation of the People Act, 1950, read with Section 60(b) of the Representation of the
People Act 1951, which allowed them to vote via postal ballot upon the consent of the Election Commission.
Relaxation of the present law will benefit parties to keep vote bank intact

55. 52 p.c. Indians indulge in self-medication: survey

Over 52 per cent Indians indulge in self-medication, a practice bearing severe health risks and a trend that is
increasing due to either time constraints or the perception of doing away with the doctors fees, as per a survey
conducted by Lybrate, a doctor-patient end-to-end communication platform.
For the survey 20,000 respondents were reached out to in 10 cities across India and now, to take its fight to the
people, the company has recently launched a nationwide campaign Say No to Self Medication to spread awareness

about its ill effects. Un-prescribed medicines are known to make the body resistant to antibiotics besides causing
heath problems.
Speaking about the problem Jagdish Prasad, Directorate-General of Health Services, Ministry of Health and Family
Welfare, said: In India, self medication undoubtedly is a big problem. People do not check with doctors before taking
a pill in cases of minor health problems. They take medicines on their own, forgetting that this might have adverse
effect on their health. Given the scenario, the launch of the campaign is a great initiative.

56.Rajasthan gears up to prevent child marriages on Akshaya Tritiya

The Rajasthan government has asked its health workers and paramedical staff and non-governmental organisations
to prevent child marriages on Akshaya Tritiya, which falls on April 21, and Peepal Purnima on May 4.
On these days, considered auspicious, a large number of child marriages take place nationwide, especially in rural
Rajasthan.
According to the Annual Health Survey for 2012-13, over 14 per cent of the girls were married while they were still
below the legal age of 18 in the State. In itself, this is an improvement from the 1998-2002 Family Health Survey-111
figures of 65 per cent of the girls being married before the legal age. In rural areas of the State, 18 per cent of the girls
are married before the legal age, compared with just 5 per cent in urban areas.
Across the state there are wide variations in the prevalence of child marriages. The survey shows that Bhilwara had 37
per cent of girls married before 18 years, with rural areas accounting for 42 per cent and urban areas 18 per cent. In
Dausa, less than 100 km from the capital Jaipur, 31 per cent of the girls were married before 18, with the number in
rural areas going up to 33 per cent but falling to 14 per cent in urban areas. Jaipur recorded 11 per cent child
marriages, with 22 per cent reported from rural areas and 4 per cent from urban areas.
On the other hand, Ganganagar district, bordering Punjab, recorded just 3.2 per cent of child marriages, with a mere
1.3 per cent in urban areas and 3.7 per cent in rural areas. Sirohi, Kota, Dungarpur, Jhunjhunu, Bikaner and
Bharatpur are some other districts with low rates of child marriages.
Health Minister Rajendra Rathore said the Accredited Social Health Activists and Auxiliary Nurse Midwives,
paramedical staff, health workers and NGOs have been tasked with preventing child marriages in their areas.
A massive campaign is under way to drive home the point that besides parents and guests, all those involved in child
marriages like priests, tent-house owners, cooks and band-owners could be booked under the Child Marriage
Restraint Act, 2006.

57.When the men showed exemplary bravery and magnanimity

As the night of April 10, when a riot-like situation prevailed around INS Tarkash off Aden with bombs going off and
Saudi airstrikes pounding the city, brought out exemplary bravery and magnanimity of the naval personnel, one
question that remains is why are Indian forces exposed to high risks to rescue nationals of so many countries.
Operation Rahat has evacuated 964 foreign nationals from 30 countries. Many SAARC nations directly requested
Indian assistance, and those like the U.S. which did not launch any rescue mission of their own, simply listed Indian
Embassy numbers in Yemen on their own travel advisories, urging citizens to contact Indian officials for help.
An official press release described the conditions as difficult. Gun shots, shelling and firing in the port area and on
the jetty were reported by crew of INS Tarkash , it said.
Most of the more than 5,000 Indians stranded in Yemen have been brought home safely, but for Indian Naval
personnel, the dangers of the rescue mission are still very high. Everyone sees how the Air Force and officials are
processing the [details of] people brought out from Yemen, but they arent aware of the hourly dangers the personnel
aboard the naval ships are facing, a naval official says.

In the past decade, the Navy has undertaken similar rescue missions, bringing more than 1,500 out of Lebanon in
2006 despite a naval blockade and daily airstrikes by Israel, and hundreds out of Tripoli just days before the NATO
bombing of Libya began in 2011.
We had learnt many lessons from those operations but this was different, as the ports of Aden, Al Mokallah and Al
Hodeidah had fallen to Houthi rebels and other armed groups, Captain Sharma said.INS Tarkash , INS
Sumitra and INS Delhi are still engaged in rescue operations, officials confirmed, while INS Mumbai is en
route India.
One question that remains is why are Indian forces exposed to high risks to rescue nationals of so many countries

58.Govt. notifies NJAC, puts an end to collegium

Acting on its words in the Supreme Court that the judges job is to judge cases and not to appoint their brother
judges, the Union government on Monday notified the National Judicial Appointments Commission law and
effectively brought to an end the two-decades-old collegium system of appointing judges.
The notification brings into immediate effect the National Judicial Appointments Commission Act, 2014, and the
99th Constitution Amendment Act.
Now, the political class and civil society have an equal voice, along with the judiciary, in the appointment and transfer
of judges in the highest judiciary.
The notification comes hardly 48 hours before a five-judge Bench of the Supreme Court was to hear a batch of
petitions challenging the constitutionality of the NJAC law on April 15.
But the notification was made possible by the Supreme Court itself on April 7.
While referring the petitions to a larger Bench, the court had refused to pass a stay order on the law coming into force.

59.Diesel vehicles get a two-week breather

In a breather to vehicle owners, the National Green Tribunal on Monday extended by two weeks its proposed ban on
plying of diesel vehicles which were more than 10 years old in Delhi.
The move comes as a reprieve for the Delhi government, which is grappling with difficulties in implementing the ban.
The NGT ordered stay on impounding of decade-old vehicles for the next two weeks during which the agencies
concerned will have to come up with scientific views on checking vehicular pollution.
The NGT also sought the Delhi governments views on a number of issues including imposing higher registration
charges and congestion charges for owning more than one vehicle.
A bench headed by Justice Swatanter Kumar said, During the two weeks. there shall no impounding of vehicles on
account of age.
He added, However, all vehicles shall be subject to prescribed pollution check and other environmental norms.
Though listed for hearing on April 17, the matter was mentioned on Monday before the Tribunal by the counsel for
the Delhi government.
The government, Ministry of Environment and Forests and other stake holders submitted that the prohibitory orders
of the NGT are causing serious concern and practical difficulties to the government and the authorities.
The Delhi government contended that the order was affecting supply of essential commodities like vegetables and
basic amenities like waste collecting trucks were also being hit.

The Bench has directed that in these two weeks time, the Ministry of Surface Transport, MoEF, Urban Development,
Ministry of Petroleum, Delhi government and other authorities concerned should submit their complete reasoned and
scientifically supported views of all vehicles to be permitted to run in Delhi with reference to all sources of
energy/fuel.
It also sought information on a cap on the number of vehicles to be registered in the NCR, Delhi with reference to
sources of energy/fuel and incentives to those who adopt pool commutation/travel.
The Bench has also asked for benefits or concessions that can be provided to the transferor/transferee of the
vehicles.
NGT seeks views on congestion charges from those possessing more than one vehicle

60.India a trusted user of nuclear energy: Australian Minister

Australian Foreign Minister Julie Bishop has said outstanding issues regarding the civil nuclear deal will be resolved
when officials meet next week,
On the contentious issue of tracking and flagging nuclear requirements, to check where the supplied material is
used in India, which was raised and resolved with the US during President Obamas visit , Ms. Bishop only said, I
understand there is a way that Australian concerns and Indias position can converge.
Under Section 51(2) of the Australian safeguards law, it is mandatory for the government to account for all AustraliaObligated Nuclear Material (AONM), in terms of location, quantities and intended use, verified on an annual basis.
However, India insists it will only submit to checks by the IAEA, which tracks the material, but doesnt require a
break-up of the material according to the country of origin.
Concessions to U.S.
US officials have said India had made a concession on data sharing, allowing US inspectors as part of the IAEA team,
which had allowed for the nuclear breakthrough on the issue of tracking. It remains to be seen whether a similar
concession will be made when Australian and Indian nuclear negotiators meet next week. We are not going to allow
the agreement (nuclear deal) to fail for lack of creative thinking, Ms. Bishop told The Hindu .
Hailing India as a trusted and reliable user of nuclear energy, she said Australia wants to be the partner nation of
choice for Indias energy security for coal, gas, and uranium.
Ms. Bishop will meet External Affairs Minister Sushma Swaraj on Tuesday and will also meet Finance Minister Arun
Jaitley and Defence Minister Manohar Parrikar. During her meetings, all aspects of the bilateral relation, including
energy, Free Trade Agreement negotiations, defence partnership and maritime exercises, as well as MoUs on tourism
and culture will be discussed. Ms. Bishop will travel next to Chennai where the new Australian consulate would be
inaugurated.
Outstanding issues regarding nuclear deal will be resolved when officials meet next week

61.Is re-promulgation of land ordinance valid, SC asks Centre

In a rare move, the Supreme Court on Monday agreed to examine the constitutionality of the Presidents repromulgation of the Land Acquisition Ordinance on the grounds that it subverted legislative process and ushered in
ordinance raj.
Issuing a notice to the Centre, a Bench led by Justice J.S. Khehar directed the Centre to respond to the question of the
validity of the re-promulgation of the Land Acquisition Ordinance by the President on April 3, 2015.

This is the first time this court is holding a hearing on an ordinance promulgated by the President. Most cases in the
past have been challenges to promulgation by State Governors, submitted senior advocate Indira Jaising, appearing
for the farmers bodies challenging the re-promulgation.
The government has to reply on a plea to hand over the trail of documents detailing the decision leading to the repromulgation.
The farmers petition has termed the re-promulgation and the manner the government effected it by proroguing the
Rajya Sabha on March 28, a textbook example of blatant abuse of the Presidents power under Article 123 of the
Constitution.
Justice Khehar told Ms. Jaising about the possibility of the petition becoming infructuous in a little while. The
Bench was hinting at the probability that the Rajya Sabha, once it reconvenes on April 23, may pass the Land Bill
without much ado.
An ordinance has a life of six months if promulgated when Parliament is not in session. Once the Houses are in
session, the Land ordinance expires in six weeks.
The April 3 ordinance has incorporated all the nine amendments introduced when it was passed in the Lok Sabha. It
now only requires the nod from the Upper House to become law.
Dismissing Ms. Jaisings protests for an urgent hearing, Justice Khehar gave the government four weeks to reply. We
may not agree with you on the ordinance once we read the governments reply, Justice Khehar told Ms. Jaising.
But four weeks? It seems your lordships want my petition to become infructuous, Ms. Jaising responded.
The petition alleges that the promulgation of the Right to Fair Compensation and Transparency in Land Acquisition,
Rehabilitation and Re-settlement (Amendment) Ordinance, 2015, by first proroguing the Rajya Sabha was a clever
device and ruse to subvert the legislative process.
The petition was filed by four farmers welfare associations Delhi Grameen Samaj, Bharatiya Kisan Union, Gram
Sewa Samiti and ChogamaVikas Avam based in Delhi and Uttar Pradesh.
Promulgating the ordinance by first proroguing Rajya Sabha was a ruse

62.First ever visit of North Korean Foreign Minister

In a significant diplomatic engagement, External Affairs Minister Sushma Swaraj met her North Korean counterpart
Ri Su Yong here on Monday.
Mr. Ri is in India on a three-day visit beginning Sunday at the invitation of Ms. Swaraj. This is the first ever visit to
India at the Foreign Minister level from Democratic Peoples Republic of Korea (DPRK).
Ms. Swaraj conveyed to her North Korean counterpart the significance of peace and stability in the Korean peninsula
for Indias Act East policy, the External Affairs Ministry said in a statement.
Officials said the visiting Minister updated the Indian side on his countrys nuclear programme, which has resulted in
deep apprehensions in the international community.
India has on several occasions in the past extended humanitarian assistance to DPRK, which is under severe
sanctions by the U.N. and the global community. In 2011, India extended food assistance worth $1 million through
the World Food Programme. DPRK has also been battered by natural calamities, resulting in severe food shortages.
Mr. Ri, while expressing his countrys appreciation of the humanitarian assistance, sought additional assistance. Ms.
Swaraj agreed to positively consider the request, officials said.

The timing of Mr. Ris visit is significant as it comes just weeks ahead of Prime Minister Narendra Modis scheduled
visit to China and South Korea.

63.Mars might have transient liquid water

After finding strong evidence supporting the presence of lake, river and glacier once upon a time on Mars, scientists
have now found indirect evidence to support the presence of transient liquid water brine (very salty water) on Mars.
The brine is likely to be present in the uppermost 5 cm of the Mars soil from sunset to sunrise during winter and for
shorter windows of time during other seasons.
At night, some of the water vapour in the atmosphere condenses as frost. Calcium perchlorate salt, which is globally
present on Mars, absorbs the frost and forms brine by reducing the freezing temperature of water.
The inference of transient liquid water on the red planet was based on the analysis of relative humidity, air
temperature, and ground temperature data collected by Curiosity from the Gale Crater over one full Martian year. The
results were published on April 13, 2015 in the journal Nature Geoscience .
The authors state that the water activity and temperature are probably low to support any form of terrestrial life.
Also, the transient nature of water is not conducive for the replication and metabolism of terrestrial micro-organisms.
Since the data collected by Curiosity is from the equator, the driest and warmest region of the red planet, the
possibility of abundant brines in other regions of the planet is high due to greater atmospheric water content in the
form of humidity and lower temperature. The presence of brine also affects the solubility of other salts in the
uppermost 15 cm of soil.

64.IMF predicts India will hit 7.5% growth, overtake China

The International Monetary Fund on Tuesday forecast Indias growth to strengthen from 7.2 per cent in 2014 to 7.5
per cent in both 2015 and 2016, overtaking Chinas growth for the first time since 1999 that it projected will slow
down to 6.8 per cent.
The World Bank too projected Indias growth to accelerate to 7.5 per cent in 2015, but added that on the back of
significant acceleration of investment, growth could even reach 8 per cent in 2017-18. The country is attempting to
shift from consumption to investment-led growth, at a time when China is undergoing the opposite transition, the
Bank said in its bi-annual South Asia Economic Focus report.

65. Isolate nations backing terror: Modi

Asking the international community to treat terrorism as sensitively as it does nuclear proliferation, Prime Minister
Narendra Modi, in an apparent reference to Pakistan, said here on Tuesday that the world should collectively put
pressure on countries which provided shelter to terrorists and isolate them.
The Prime Minister made a strong pitch for the conclusion of the long-pending Comprehensive Convention on
International Terrorism at the U.N. this year. The convention aims to strengthen cooperation to combat international
terrorism.
At a joint press conference with German Chancellor Angela Merkel here after talks during which they discussed
terrorism, Mr. Modi described it as the biggest threat to humanity, and said all those believing in humanity should
speak in one voice and intensify collective efforts to tackle it.
We need to work on how we can stop sources from where the weapons are supplied. How we can put pressure on the
countries where governments provide shelter to terrorists ...We need to isolate such countries and governments, he
said.

Mr. Modis remarks came four days after a Pakistan court released the 2008 Mumbai siege mastermind, Zaki-urRehman Lakhvi, which evoked a sharp reaction and concern from countries such as the U.S., France and Israel.
In his initial remarks at the press interaction, Mr. Modi said, The spread of terrorism is growing and its character is
changing. The threat is coming close to us across every region of the world. We need a comprehensive global strategy
to deal with this global challenge, in which India and Germany can work together.
Ms. Merkel said the two countries had agreed to fight terrorism together, describing it as a global challenge.
Equally, in the coming days, maritime, cyber and space security would be a matter of concern to everyone and the two
countries should increase cooperation in this area, Mr. Modi said.
He talked about instability and violence in West Asia, saying it affects the security of our citizens at home.
Mr. Modi stressed the importance of peaceful and democratic development of Afghanistan.
Netajis kin meets Modi
Netaji Subhas Chandra Boses grand nephew met Mr. Modi here and sought declassification of all secret files related
to the freedom fighter, amid a row over reported snooping on the leaders close relatives.
Mr. Surya Kumar Bose later said he urged the Prime Minister to declassify the papers immediately as he was shocked
at the recent reports that the government of Jawaharlal Nehru had spied upon Netajis family.
Asked about Mr. Modis response, he said the Prime Minister said he would look into the matter right away as he too
felt that the truth should come out.
Mr. Bose attacked the Nehru government, saying it was shocking that a government of independent India had spied
upon Netajis family.
He said there should be an investigative commission appointed to establish the truth.
Asked about the earlier Commissions of inquiry, he said, the first two were totally bogus.
He said the Mukherjee Commission had done more but it did not have investigative powers.

66. More jets through Make in India process: Parrikar

While the two squadrons of 36 Rafale jets to be procured under direct purchase from France would meet the critical
operational requirements of the Air Force, the need for additional aircraft would be addressed through the Make in
India process, Defence Minister Manohar Parrikar said.
This gives some clarity on the governments plans for fighter aircraft procurement after the surprise announcement
by Prime Minister Narendra Modi to buy 36 Rafale jets from France under direct purchase through a government-togovernment deal.
I think two squadrons at least if you get in fly-away condition, meantime you can work on Make in India process.
While Air Force gets what it requires, the Make in India process also gets enough time to work on, Mr. Parrikar told
NDTV on Tuesday.
Stating that the Rafale deal shouldnt have gone through a global tender in the first place, Mr. Parrikar said the
previous UPA government did not think it through.

He also pointed that this was an in-principle decision and the details would be worked out by the two governments
and claimed that the deal for direct purchase was better than the original Medium Multi Role Combat Aircraft
(MMRCA) deal.
Under the MMRCA deal, India was negotiating the purchase of 126 aircraft for over $20 billion of which 18 would
come in fly-away condition while the remaining were to be manufactured in India by Hindustan Aeronautics Limited.
However, Mr. Parrikar did not elaborate on how the Make in India process would unfold. Officials said there are two
ways to go about. One is accelerating the development of Light Combat Aircraft MK II and buying additional Sukhois
from Russia while the other option would be to get Dassault to set up a joint manufacturing facility in India in
partnership with a private sector firm to build additional Rafales.

67.Growth paths of economies divergent this year: IMF

In its World Economic Outlook released here on Tuesday, the IMF said that economic growth in India will result from
the Modi governments recent policy reforms, a consequent pickup in investment, and lower oil prices. Lower oil
prices will raise real disposable incomes, particularly among poorer households, and help drive down inflation, it said.
The latest projections released on Tuesday are pegged higher than those in the IMFs January 2015 Outlook update,
which had forecast 6.3 per cent growth for 2015 and 6.5 per cent for 2016.
Both the World Bank and the IMFs projections for the current year are less optimistic than that of the Reserve Bank.
The Central Bank-projected growth in 2015-16 (7.8 per cent) will be barely 30 bps faster than in 2014-15 (7.5 per cent)
last week in its first bi-monthly monetary policy statement of 2015-16.
Speaking to reporters after the release of the Outlook, IMF Chief Economist Olivier Blanchard said there was an
increasing divergence in the growth paths of the worlds major economies this year, as a pick-up in the euro zone and
India is expected to be offset by diminished prospects in other key emerging markets.
Responding to a question, he said, he agreed with the general consensus that the U.S. Federal Reserve would raise
interest rates later this year.

68. Ordinance on Dalit protection lapses

Even as the Modi government has sought to appropriate Ambedkars legacy at the start of the 125th birth anniversary
of the architect of the Indian Constitution, it has been strangely neglectful of the well-being of the community that he
represented, the Scheduled Castes.
Indeed, even though the government has shown a fondness for ruling by ordinance, the only ordinance that it has
allowed to lapse is the one that relates to enforcing accountability on public servants who wilfully neglect duties on
matters relating to atrocities against Scheduled Castes and Tribes.
Indeed, 11 months ago when the BJP-led NDA government came to power, it inherited two ordinances from the
previous Congress-led UPA government The Securities Laws (Amendment) Ordinance, 2014 and The Scheduled
Castes and Scheduled Tribes (Prevention of Atrocities) Amendment Ordinance, 2014, promulgated on March 28 and
March 4 respectively last year.
On assuming charge, the Modi government, in its first Budget session in 2014 swiftly converted the Securities
Ordinance into an Act of Parliament on August 12, 2014, an amendment to further protect the interests of investors
and to ensure orderly development of securities markets.
But the ordinance that was intended to strengthen the machinery to prevent atrocities against SCs and STs was
allowed to lapse even though there were strong protests by the Opposition.

Instead, it was sent to the Standing Committee on Social Justice and Empowerment, headed by BJP MP Ramesh Bais:
the report was submitted on December 19, 2014. And the Bill has been pending since, even though in January 2015,
after the winter session ended, the Modi government had a slew of ordinances promulgated.
In the first half of the Budget Session that followed, the governments parliamentary managers used all their
diplomacy to get five of six ordinances converted into Acts of Parliament. And this was managed, despite a largely
uncooperative opposition in the Rajya Sabha, where the government is outnumbered.

69.Pact on uranium
Canada on Wednesday agreed to supply 3,000 tonnes of uranium to India from this year under a $254-million deal to
power Indian reactors as the two countries decided to set in motion a new strategic partnership.
The agreement, which came two years after protracted negotiations following the 2013 civil nuclear deal between
India and Canada, was signed after comprehensive talks Prime Minister Narendra Modi had with his Canadian
counterpart Stephen Harper.
Cameco Corporation will supply 3,000 tonnes of uranium over five years to India. The supply will start from this year,
a top official said.
Canada is the third country to supply uranium to India after Russia and Kazakhstan. The supplies will be under the
International Atomic Energy Agency (IAEA) safeguards.
At a joint press conference with Mr. Harper, Mr. Modi said, The agreement on procurement of uranium from Canada
for our civilian nuclear power plants launches a new era of bilateral cooperation and a new level of mutual trust and
confidence.
The supply of uranium is important as India is keen to have clean energy, he said.
Mr. Harper said, There have been unnecessary frosty relations for too long and it is time to move ahead.

70.Sugar import duty may be raised

Ahead of a meeting with the Chief Ministers of sugarcane-growing States, the Centre gave an indication on
Wednesday that it was willing to raise import duty on sugar to check a fall in domestic prices and help the industry
clear cane arrears running into Rs. 19,377.25 crore.
Import duty on raw and refined sugar was raised last August to 25 per cent to bail out the cash-strapped industry.
Now the proposal is to further raise the duty to 40 per cent. Sugar mills are unable to clear cane arrears as the exfactory cost of the sweetener is ruling below the production cost.
Union Food Minister Ram Vilas Paswan met leaders of farmers organisations here to examine solutions to enable the
sugar industry to clear cane arrears. The maximum dues are in mills operating in Uttar Pradesh.
The demands raised by the farmers groups included going back to the quarterly release mechanism quota for mills,
creation of buffer stocks on government account and using up of the Sugar Development Fund to make direct
payments to farmers. In fact, most farmers wanted the government to make direct payment to growers.
The problems of farmers are complex. The Ministry will write to the Finance Ministry to raise the import duty to 40
per cent, Mr. Paswan told journalists after the two-hour meeting attended by representatives from 14 States. The
meeting was attended among others by Union Ministers Nitin Gadkari and Sanjeev Baliyan.
During the discussions farmers of some States, especially U.P., wanted the government to revert to the earlier
quarterly release quota mechanism for open market sale of sugar by factories. This mechanism was done away with
after decontrol of the industry.

Buffer stock
The farm leaders also asked the government to create a buffer stock of 30 lakh tonnes of surplus sugar on government
account. This is a demand they share with the industry.
Farmers from Maharashtra wanted the 10 per cent limit on generation of ethanol from molasses to be scrapped as
they saw higher profit from sale of ethanol than sugar.
The Indian Sugar Mills Association has been asking for export subsidy, creation of buffer stock and restructuring of
loan.

71. Be a partner in Indias growth, Modi tells Harper

It was a reaffirmation of bonds that crossed national borders and community identities.
Prime Minister Narendra Modi not only kept the 8,000-strong audience of mostly Indo-Canadians roaring with
approval and on their feet during his speech of one hour and ten minutes at Torontos Ricoh Coliseum, but he pitched
his Canadian counterpart Stephen Harper an enticing invitation to be a partner in his vision for Indias development.
The bond between the men was evident and Mr. Harper reminded the gathering of Canadas historical friendship with
the Indian Prime Minister.
He said, I am so proud to say that [Mr. Modi] has long been a friend to Canada and we to him as during his many
years as Chief Minister of Gujarat we had extended the hand of friendship long before others.
The point was not missed on Mr. Modi, who noted that since the time he launched the Vibrant Gujarat summit in
2003, the year following the anti-Muslim pogrom in that State, Canada had consistently been a partner-State of
Gujarat.
On this occasion, Mr. Modi came bearing a gift for Canadians and the cheers were loudest when Mr. Harper
announced what it was the inclusion of Canada in the list of nations receiving a visa-on-arrival from India.
Yet if the bonhomie was the icing on the cake, the main subject on Mr. Modis mind was Indias development, whether
through the construction of more toilets for girls, or through the expansion of opportunities for the youth of India to
innovate and create the next IBM or mp3.
As he wrote earlier in the day in an op-ed published by The Globe and Mail , Mr. Modi admitted that the bilateral
relationship had somewhat drifted, and yet, he said, the two countries were cooperating in deep space even as their
relationship on the ground remained unfulfilled.
Mr. Modi also sought to defend the progress made on the Jan Dhan Yojana under his government, answering critics
who questioned the logic of opening millions of bank accounts with a zero bank balance saying the poor did in fact
save their incomes, and had done so to the tune of Rs. 14,000 crore.
At the heart of his speech was his repeated assertion, jan man badla hai , or The minds of the people have
changed, over his 10 months in office, and that India was finally on the move.
While the Prime Minister did not appear to allude to the protection of religious minority rights, as he has done on
past occasions, a group of 150 or more protesters held a rally a short distance away from the venue, some from the
Sikhs for justice rights group protesting Mr. Modis alleged involvement in the 2002 pogrom.

72. States seek Central help on sugar crisis

Echoing the demand of the sugar industry and farmers organisations, political representatives of the State
governments urged the Centre on Thursday to initiate steps to enable the industry to clear the arrears of Rs. 19,377
crore due to sugarcane farmers.
At a consultation meeting convened by Union Food Minister Ram Vilas Paswan, cane-growing States wanted the
Union government to reschedule the repayment of interest-free loans by the industry to seven years instead of five
and extend financial assistance from the Sugar Development Fund to industry for modernisation and ethanol
blending, apart from raising the import duty to 40 per cent.
Buffer stock
The States demanded that 10 per cent of the total sugar production be set aside to create a buffer stock on government
account. According to the Indian Sugar Mills Association, sugar production till April 15 was 263.56 lakh tonnes, which
is 32.06 lakh tonnes more than the output in the corresponding period in 2013-14.
The State representatives urged the Centre to give financial assistance directly to sugarcane growers. In 2013, the
Centre extended a Rs. 6,600-crore package to the industry to clear cane arrears. However, due to low realisation from
sugar, mills are unable to recover the cost of production and generate enough cash flows to clear cane arrears.
Speaking to journalists, Mr. Paswan said he got no satisfactory reply from any State on how it proposed to help
industry clear arrears. Of the total cane arrears, Rs. 9.500 crore is due from millers in Uttar Pradesh alone.
Some of the States, particularly U.P., objected to linking the Fair and Remunerative Price of sugarcane with sugar
prices. They argued that while setting the FRP at Rs. 220 per quintal for this year, the Centre had taken the sugar
price at Rs. 31 per kg where as it is around Rs. 23.75 only. At that price of the sugar, the FRP should have been around
Rs. 195 per quintal. Therefore, they wanted the Centre to pick up the difference of Rs. 25 per quintal.
States divided
To a question, Mr. Paswan agreed that the States wanted to push their responsibility on the Centre.
The States were divided on this issue: some of them wanted financial assistance to be given to mills to enable them to
clear arrears, while some others wanted the farmers to be assisted directly by the government.
We are meeting all stakeholders because we are sensitive to the problem of sugarcane growers and also the industry,
he said.
Among those who attended the meeting were Agriculture Minister Radha Mohan Singh, MoS Sanjeev Baliyan and
Women and Child Welfare Minister Menaka Gandhi who is a Lok Sabha member from Uttar Pradesh. Eleven States
were represented but no Chief Minister showed up.

73.Trying to bridge gaps with Centre: Rajan

Reserve Bank of India Governor Raghuram Rajan on Wednesday said there were some issues over which the Modi
government and the central bank were trying to persuade one another but on many others the two sides are on the
same page.
Dr. Rajan seemed to suggest the proposed Public Debt Management Authority (PDMA) could be an issue on which
they differed.
The PDMA is supposed to take over from the RBI the task of managing the Centres borrowings.
Concerns about a central bank also being the public debt management authority though not entirely unwarranted
were perhaps overblown, the Governor said in an exclusive interview with The Hindu .

If you look across countries there have been concerns that a central bank being the public debt management
authority may be lacking in some of its functions In my many years at watching the RBI, I havent seen it change
monetary policy because it is not worried about anything other than inflation, said Dr. Rajan.
Perception of conflicts
If there was a perception of conflicts in the RBI then there was some rationale to having an independent agency to
take over.
He, however, cautioned that conflicts were on both sides as the government also owns public sector banks and the
LIC.
The same conflict that existed in the RBI shouldnt be transferred to the proposed entity which might end up having
closer links with the government, he explained.
Prime Minister Narendra Modi receives the prized 'Parrot Lady,' sandstone sculpture from his Canadian counterpart
Stephen Harper on Thursday. PHOTO: MINISTRY OF EXTERNAL AFFAIRS

74. Indias Parrot Lady to fly back home

Indias Parrot Lady is to return home, after Canadian Prime Minister Stephen Harper on Wednesday handed over to
his counterpart, Narendra Modi, the 800-year-old Indian sandstone sculpture of a woman holding a parrot.
The sculpture dates back to the 12th century.
It was returned in accordance with the 1970 UNESCO Convention, tweeted External Affairs Ministry spokesperson
Syed Akbaruddin.
Canada returns Indian heritage piece Parrot Lady PM @narendramodi receives sandstone sculpture from
Khajuraho, he tweeted.
The prized Indian statue was returned at the Library of Parliament in Ottawa.
Mr. Modi in exchange presented Mr. Harper with a miniature painting of Guru Nanak Dev with his disciples.
The painting is by Jaipur-based artist, Virendra Bannu.
The three-foot high statue of Parrot Lady turned up in Canada in 2011 in the possession of an individual who did not
have proper documentation; it was seized under the Cultural Property Export and Import which controls antiquities
and other cultural objects being imported from foreign states, reports The Globe and Mail .
The Parrot Lady is what is known as a naayika, or heroine. She is voluptuous, scantily clad, posed in a manner that is
a tad saucy, and has a parrot on her back. She is just one of many erotic stone ladies that were created to adorn the
Khajuraho temples, says the Canadian daily. IANS

75. MIT develops sensor to detect spoiled meat

MIT researchers have developed an inexpensive, portable sensor that can detect gases emitted by rotting meat,
allowing you to determine whether the meat in the grocery store or refrigerator is safe to eat.
The sensor, which consists of chemically modified carbon nanotubes, could be deployed in smart packaging that
would offer much more accurate safety information than the expiration date on the package, said Timothy Swager,
the John D MacArthur Professor of Chemistry at Massachusetts Institute of Technology (MIT).
The sensor is similar to other carbon nanotube devices that Swagers lab has developed in recent years, including one
that detects the ripeness of fruit.
All of these devices work on the same principle: Carbon nanotubes can be chemically modified so that their ability to
carry an electric current change in the presence of a particular gas.
In this case, the researchers modified the carbon nanotubes with metal-containing compounds called
metalloporphyrins, which contain a central metal atom bound to several nitrogen-containing rings.
For this sensor, the researchers used a metalloporphyrin with cobalt at its centre. Metalloporphyrins are very good at
binding to nitrogen-containing compounds called amines.
Of particular interest to the researchers were the so-called biogenic amines, such as putrescine and cadaverine, which
are roduced by decaying meat. PTI

76. 77% citizens want govt. to protect net users: survey

Amid a raging debate over the issue of net neutrality in the country, a new survey has said a whopping 77 per cent
citizens want the government to ensure that consumer interest is protected and telecom operators are not allowed to
charge more based on the sites/services accessed on the Internet.
Interestingly, a similar percentage of respondents (77 per cent) said the Central government and the sectoral
regulator TRAI have not done enough to address issues faced by consumers such as call drop and poor data
services.
The community survey, with focus on telecom services offered in India, was conducted by social media network Local
Circles. In all, six questions were put out for the poll, each receiving 20,000-37,700 votes.
Five questions that we put out received over 37,000 votes. The question of net neutrality which was put up recently
received about 20,000 votes. However, after 10,000-15,000 votes, trends generally stay the same, Sachin Taparia,
Founder and CEO of Local Circles said.
Fifty-three per cent of the surveyed people said they did not trust the charges levied by operators for the use of data
service or value-added services, while 32 per cent said they trust their telecom provider on charges.

77. Normal monsoon predicted

The southwest monsoon this year will be normal, with many parts of north India expected to receive good rainfall
while parts of south India may experience weak precipitation, Skymet, a private weather forecasting agency has
predicted.
The El-Nino is also unlikely to affect the monsoon as it its impact will reduce after summer. Monsoon is also expected
to arrive on May 27 in Kerala, four days before its normal date.
There seems to be weakness in Tamil Nadu, Rayalseema, south interior Karnataka, east Madhya Pradesh and
Arunachal Pradesh. Good amounts of rainfall is expected in Punjab, Haryana, west Uttar Pradesh and over the west
coast, the forecasting agency said.

It has forecast the monsoon at 102 per cent of the long period average (LPA) of 887 mm for the four-month period
from June to September. PTI

78.New I-T return forms to curb black money

Indian taxpayers have to disclose details of all bank accounts held by them in the country and also foreign trips, as per
the new income tax return forms, notified by the Central Board of Direct Taxes. This new disclosure will start with the
assessment year 2015-16.
The requirements for additional disclosure come, as the government is trying hard to curb black money and improve
tax collections.
Individuals having income from salary, pension, one house property and other sources like interest file the returns in
ITR-1 form. Apart from this if they earn income from capital gains and foreign assets they file returns in ITR-2 forms.
The new forms require an assessee to furnish the number of accounts he/she holds including those opened and closed
during the previous year and the balance in the account as on March 31.
The assessee will also have to furnish the name of the bank, account number/numbers, its address, The Indian
Financial System Code (IFSC code) and any possible joint account holder.
The disclosure requirement on number of accounts and also those opened and closed is interesting. A lot of people
have a number of bank accounts and they leave some accounts passive or inactive, Vineet Agarwal, Partner, KPMG,
said.
Foreign travel
On foreign travel, tax payers are required to disclose passport number, the issuance place of the passport, countries
visited, number of times such visits are made and in case of a resident taxpayer, the expenses incurred from own
sources in relation to such travel.
The new ITR forms, this time, also feature a new column to include the Aadhaar number of the assessee.
This could be part of the longer plan to include Aadhaar as a unique number, it might become bigger than PAN.
Already bank accounts and gas subsidy are linked to Aadhaar said Mr. Agarwal.
Another feature now is if an assessee has forgotten to file his return or revised return within deadline, he can
approach the CBDT directly and get permission to file the return, which the authority will decide on the merits, he
added.

79. Civilians biggest casualty of Naxal violence

While left wing extremism (LWE) the government's preferred phrase for Naxal-related violence has caused over
20,000 deaths in the country since 1980, it is not the extremists or the security forces who have suffered the most.
Data accessed by The Hindu shows that a majority of those killed were civilians.
In fact, the ongoing conflict has claimed at least one life every single day over a 35-year period beginning 1980. The
total body count, as on June 30, 2013, stood at 19,327, according to information obtained under the Right to
Information Act.
Latest data compiled by the Ministry of Home Affairs adds another 685 fatalities to the record taking the total tally to
20,012 as on March 30, 2015. As many as 12,146 civilians lost their lives to LWE-related violence across the country
during this period for which official data, accessed by The Hindu , is available.

During this period, 4,761 extremists and 3,105 security personnel were killed. That adds up to about two security
personnel dying for every three extremists killed.
Bloodiest year
The year 2010 was the bloodiest of this insurgency, leading to the death of 1,177 persons over 60 per cent of them
civilians. The year saw the horrific Dantewada ambush that led to the death of 75 CRPF men and one Chhattisgarh
police constable, the Gyaneshwari Express derailment, the Dantewada bus bombing and the Silda camp attack in
Midnapore among other incidents.
In fact, the six years from 2005 to 2010 were the bloodiest in the entire two-decade timeline, with the reported death
of 5,916 persons.
The information was provided by the Naxal Management Division of the Union Ministry of Home Affairs to Delhibased RTI activist Ved Pal, under the Right to Information Act.
The data also shows that the number of deaths among all three categories declined consistently between 2011 and
2013. Curiously, the records show no fatalities in 1986, immediately after which deaths in all categories especially
security forces witnessed a rapid surge.
LWE-affected States have their differing policies on providing financial compensation to families of civilians and state
police personnel killed in such violence. However, under the Security Related Expenditure (SRE) scheme, the central
government reimburses expenditure incurred by the state governments for payment of ex-gratia to the victims Rs. 1
lakh for every civilian and Rs. 3 lakh for each security personnel killed in LWE violence.
At least one life lost every day over a
35-year period beginning 1980;
2010 the bloodiest

80. A total ban on child labour is a must: Satyarthi

When the Constitution of India was adopted in 1950, it promised to safeguard the rights of children, and protect them
from economic exploitation.
However, 65 years later, it is still perfectly legal to employ a six-year-old child as a helper in an agricultural field. As
per the Census 2011, India has over four million working children in the age group of 5-14.
In an exclusive interaction with The Hindu , joint winner of the Nobel Peace Prize Kailash Satyarthi, spoke about the
urgency of passing the Child Labour (Amendment) Bill, 2012 in the coming parliamentary session.
Six key demands
Mr. Satyarthi said: Between 2010 and 2012, my team and I undertook a study to understand the quality of
convictions in crimes against children. Of the 45,269 cases of child labour reported between 2008 and 2012, only
3,394 cases, i.e., seven per cent, reached conviction. What that shows is laws to protect the rights of children, which
are already weak, are not enforced at all.
Keeping this in mind, Mr. Satyarthi has made the following demands to be incorporated in the amended law:
First, all forms of child labour should be prohibited up to the age of 14.

As of today, child labour is prohibited only in select industries identified as hazardous.

Second, up to the age of 18, no child should be employed in the worst forms of child labour, such as begging.
Third, the law should be made more deterrent by increasing the fine amount and period of imprisonment.
Fourth, the law must address the accountability of those employed in enforcement agencies, such as factory
inspectors and labour inspectors, and if children are found working within their jurisdiction, they must be held
responsible. It is not the employer alone who is culpable.
Fifth, child labour must be made a cognisable and non-bailable offence, so that even the common man can report
such cases and action can be taken immediately.
Sixth, rehabilitation should be made an integral part of law on child labour. Rehabilitation measures should be
included in government schemes, and must address economic rehabilitation of parents where necessary.
Failure of RTE
Expressing concern over the commercialisation and privatisation of education in India, Mr. Satyarthi identified it as a
hurdle to realising childrens right to education. The RTE Act of 2009 may have helped improve school enrolment
rates, but we have to aim at improving the quality of education, he said.
He drew attention to the bureaucratic hurdles presented by multiple agencies handling RTE.
While the Education Ministry implements the law, monitoring its enforcement is the responsibility of the National
Commission for Protection of Child Rights [NCPCR]. And the NCPCR doesnt have the wherewithal to get cracking on
violations of the law .
JJ Act and concerns
Expressing concern over the recent debate to make juvenile crime punishable for serious offences such as rape, he
said the enabling aspects of the law, premised on care and protection for children under 18, have been ignored. Next
time when you see a child begging on the street, remember that under the Juvenile Justice Act they are eligible for
rescue and protection. But how many of us even know that?

81. India fifth biggest generator of e-waste in 2014: U.N. report

India is the fifth biggest producer of e-waste in the world, discarding 1.7 million tonnes (Mt) of electronic and
electrical equipment in 2014, a UN report has warned that the volume of global e-waste is likely to rise by 21 per cent
in next three years.
The Global E-Waste Monitor 2014, compiled by U.N.s think tank United Nations University (UNU), said at 32 per
cent, the U.S. and China produced the most e-waste overall in 2014.
India is behind the U.S., China, Japan and Germany.
Most e-waste in the world in 2014 was generated in Asia at 16 Mt or 3.7 kg per inhabitant. The top three Asian nations
with the highest e-waste generation in absolute quantities are China (6.0 Mt), Japan (2.2 Mt) and India (1.7 Mt).
The top per capita producers by far are the wealthy nations of northern and western Europe, the top five being
Norway, Switzerland, Iceland, Denmark, and the U.K.
The lowest amount of e-waste per inhabitant was generated in Africa (1.7 kg/inhabitant). The continent generated 1.9
Mt of e-waste in total.

In 2014, people worldwide discarded all but a small fraction of an estimated 41.8 Mt of electrical and electronic
equipment mostly end-of-life kitchen, laundry and bathroom equipment like microwave ovens, washing machines
and dishwashers.
While only 7 per cent of e-waste last year was made up of mobile phones, calculators, personal computers, printers,
and small information technology equipment, almost 60 per cent was a mix of large and small equipment used in
homes and businesses, such as vacuum cleaners, toasters, electric shavers, video cameras, washing machines, electric
stoves, mobile phones, calculators, personal computers, and lamps.

82. COAI calls for a debate on Net neutrality

The Cellular Operators Association of India (COAI), whose members have been at the receiving end of the Net
neutrality campaign, on Sunday called for a debate on the issue from an Indian perspective.
The association urges all stakeholders to have a comprehensive and informed debate on the subject of Net neutrality
keeping in mind the requirements of India and its citizens, a statement said. A subject as important and complex as
Net neutrality should not be left to the opinion of a few.
Net neutrality is the principle that Internet service providers should treat all data on the Internet equally, and not
discriminate or charge differently by user, content, site, platform or application.
We support open Internet and believe that consumers should decide what to do online. Our job is to enable
consumers to benefit from that freedom. We offer choice and do not block or provide any preferential access to any
website or app, the statement said.
The association has said while its members are committed to investing in the governments Digital India vision, there
is a need to create an enabling and equal environment that promotes the growth of the entire Internet ecosystem.
Without infrastructure and investment, there will be no Internet access. The operators have invested billions of
dollars in licence fees, spectrum fees and network roll-outs. Yet the industry still makes negative return on the capital
employed, it argued.The industry estimates that the country will need an additional capital outlay of Rs. 3,00,000
crore to 5,00,000 crore over the next 10 years in spectrum, new technology, equipment, towers and optical fibre
backbone. The need of the hour is to have a sustainable industry that has the ability to invest in growth of data
services and connectivity to all, the statement said. It also called for same rules for same services, including mobile
and VoIP services.
We support open Internet and consumers should decide what to do online, it says

83. Uttarakhand gets new tiger reserve

Uttarakhand, the State with the second highest tiger population after Karnataka, now has a second tiger reserve,
besides the Corbett Tiger Reserve.
The Rajaji National Park has now been notified as the Rajaji Tiger Reserve by the Centre.
The tiger reserve (1075.17 sq-km) includes the 255.63 sq-km area of Rajaji National Parks buffer zone.
The new tiger reserve is expected to bring in more tourists and boost the economy of the State.

84. Protection only for honest public servants: apex court

In a judgment with far-reaching effect on numerous cases pending under the Prevention of Corruption Act, the
Supreme Court has held that a public servant cannot by default claim legal protection of prior sanction against
prosecution.

Under Section 197 of the Criminal Procedure Code (Cr.PC), no court should take cognisance of criminal charges
against a public servant unless previous sanction to prosecute him is received from a competent authority. This
safeguard is meant to help government servants perform their duties honestly without fear of malicious prosecution.
However, the provision has largely become a ruse to delay prosecution in corruption cases.
Dealing with such a case, which has been hanging fire since 1999, a Bench of Justices Kurian Joseph and A.K. Goel
said protection under Section 197 of CrPC was only available to a public servant for the honest discharge of his duty.
Prosecution for corruption should be exemplary and without delay, the apex court observed.
Besides, this protection cannot be claimed immediately after a complaint is lodged. The question of prior sanction
would be considered later, during stages in the criminal trial, as and when the need arises, the apex court observed.
Public servants have, in fact, been treated as special category under Section 197 of CrPC to protect them from
malicious or vexatious prosecution. Such protection from harassment is given in public interest; the same cannot be
treated as a shield to protect corrupt officials, Justice Joseph, who authored the judgment, observed.
The court noted that procedural provisions relating to sanction must be construed in such a manner as to advance the
causes of honesty and justice and good governance as opposed to escalation of corruption.
Citing a 2015 Supreme Court precedent, Justice Joseph wrote: The question relating to the need of sanction under
Section 197 of the code is not necessarily to be considered as soon as the complaint is lodged and on the allegations
contained therein. This question may arise at any stage of the proceeding. The question whether sanction is necessary
or not may have to be determined from stage to stage.
The judgment came in a clutch of criminal appeals filed by the Andhra Pradesh police in 2013 against a High Court
order quashing criminal proceedings against two revenue officials who successfully claimed protection under Section
197 of CrPC.
The duo figured among 41 people, including revenue officials, stamp vendors and document writers, against whom
the police registered an FIR in 1999 for allegedly manipulating registers and undervaluing property, causing loss to
the government.
Setting aside the High Court order to quash the criminal proceedings against them, Justice Joseph, for the Bench,
held that the trial should be completed expeditiously before December 31 this year.
Sec. 197 has largely become a ruse to delay prosecution in corruption cases

85. India has 988 species on IUCN Red List

India has added 15 more species to the Red List of threatened species published by the International Union for
Conservation of Nature (IUCN) in 2014, but the country has climbed down a spot to the seventh position.
By the year-end, India had 988 threatened species on the list, which lists critically endangered, endangered and
vulnerable species. In 2013, the number was 973. With 659 species in 2008, the increase over seven years is 50 per
cent, in part due to better research identifying more threatened species and deforestation.
By adding 37 species, China seemed to have helped India improve its rank.
Apart from habitat loss, it is research and surveys that add species to the Red List. Studies for some endemic species
are yet to be conducted in India, to give a better picture of their status, said P.O. Nameer, South Asian coordinator, in
situ, Conservation Breeding Specialist Group, Species Survival Commission, IUCN.
This is definitely a concern There is a tendency of decision-makers to focus on charismatic mammals for
conservation, while others are left out of programmes A more holistic approach is needed to conservation in India.

A recent World Bank mapping of endangered mammals shows India as having the fourth largest number of
threatened species in the world, 31 of them endemic to the region.

86. Navys stealth destroyer launched

Women would be seen in combat role in the defence forces when the time is ripe, Chief of Naval Staff, Admiral R. K.
Dhowan said here on Monday.
He was interacting with the media after the launch of Visakhapatnam, Indias first destroyer of Project 15B class, at
Mazgaon Docks Limited here.
He said the Indian Navy was closely monitoring any threat perception including the increased collaboration between
the Pakistani and Chinese Navy in the Indian Ocean region.
I am not undermining the capability of women officers. Women play an important role in the Navy. They play an
outstanding role in different arenas. But we are taking one step at a time. We are looking at it (including women
officers in combat roles) seriously.
Visakhapatnam was launched by Minu Dhowan, wife of Admiral R. K. Dhowan. It is to be commissioned in 2018, and
has indigenous component of over 70 per cent. It has been made of Indian Steel manufactured by the Steel Authority
of India Limited (SAIL). The warships propulsion system will be from Russia.
Admiral Dhowan said the aim was to increase the indigenous component in the coming years.
At present, there are 48 ships and submarines under construction in various public and private shipyards in India,
he said.
For indigenisation, there are three segments -- one is float segment where we have achieved more than 90 per cent
indigenisation; the other is move segment which consists of the propulsion system where we have attained over 60
per cent indigenisation; and the third is fight segment which consists of weapons and sensors. We need to work on
this as the level of indigenisation is 30 to 40 per cent, he said.
A sked about the increased collaboration between the Pakistani and Chinese Navies, he said that the Indian Navy
closely monitored the Indian Ocean region, and looked at every aspect related to threat perception.

87. India rescued 1,947 foreign nationals

A day after Prime Minister Narendra Modi praised the External Affairs Ministry for the evacuation operations in
Yemen, External Affairs Minister Sushma Swaraj on Monday informed the Lok Sabha that India not only rescued its
own nationals from the war-torn country, but also helped in the evacuation of citizens of as many as 48 countries.
We not only managed to safely evacuate 4,741 Indians, but also 1,947 foreign nationals from 48 countries till April 18
under the most difficult circumstances, Ms. Swaraj said amid sloganeering by the Opposition.
Praising her Minister of State Gen. (retd) V.K. Singh, she said he led from the front like a General. He personally
supervised all rescue efforts from the camp office in Djibouti and shuttled between Sanaa and Djibouti, sparing no
effort to accomplish this difficult task. Highlighting the efforts made by the Indian forces, she said Indian personnel
helped nationals of the United States, the United Kingdom, France and Russia, all of which faced difficulties in
evacuating their people.

As the Indian embassy was among the handful of foreign missions operational in Sanaa after the airstrikes began,
we received formal requests from 33 countries, including neighbouring and Western countries, for assistance in
evacuation of their nationals. We responded positively to these requests based on ground realities , Ms Swaraj
informed the House.
Ms. Swaraj said in view of the worsening security situation in Sanaa and after the successful conclusion of the
evacuation process, the Indian Embassy has been relocated to Djibouti till the situation returns to normalcy in
Yemen.

88. NCDC team in Goa to study Kyasanur Forest Disease

A team from the National Centre for Disease Control (NCDC), Delhi, is presently in Goa carrying out detailed
investigation of the outbreak Kyasanur Forest Disease(KFD) and also give expertise in prevention and control
measures in the affected areas.
Already four persons have died of the disease in north Goas Pali village in Valpoi taluk.
On confirmation of the etiology of fever outbreak at Pali, Thane, the Directorate of Health Services took the help of
the Department of Animal Husbandry & Veterinary Services and the Forest Department so that necessary tick control
measures are taken. Also Health Officer, CHC Valpoi is been asked to conduct awareness activities in the locality.
KFD is caused by the Kyasanur Forest Disease Virus (KFDV). The virus was identified in 1957 when it was isolated
from a sick monkey from the Kyasanur Forest in Karnataka (formerly Mysore State).
Since then, between 400-500 humans cases per year have been reported. Hard ticks (Hemaphysalis spinigera) are the
reservoir of the KFD virus and once infected, remain so for life. Rodents, shrews, and monkeys are common hosts for
KFDV after being bitten by an infected tick, KFDV can cause epizootics with high fatality in primates, explained a
health official here on Monday.
Transmission to humans may occur after a tick bite or contact with an infected animal, most importantly a sick or
recently dead monkey. No person-to-person transmission has been described.
Dr. Jose DSa, Chief Medical Officer of Goa Health Services, said the disease as of now was stated to be transmitted
through monkeys. Large animals such as goats, cows, and sheep may become infected with KFD but play a limited
role in the transmission of the disease.
These animals provide the blood meals for ticks and it is possible for infected animals with viremia to infect other
ticks, but transmission of KFDV to humans from these larger animals is extremely rare.
Furthermore, there is no evidence of disease transmission via the unpasteurised milk of any of these animals.
After an incubation period of 3-8 days, the symptoms of KFD begin suddenly with chills, fever, and headache. Severe
muscle pain with vomiting, gastrointestinal symptoms and bleeding problems may occur 3-4 days after initial
symptom onset. Patients may experience abnormally low blood pressure, and low platelet, red blood cell, and white
blood cell counts.
After 1-2 weeks of symptoms, some patients recover without complication. However, the illness is biphasic for a
subset of patients (10-20 per cent) who experience a second wave of symptoms at the beginning of the third week.
These symptoms include fever and signs of neurological manifestations, such as severe headache, mental
disturbances, tremors, and vision deficits. The estimated case-fatality rate is from 3 to per cent for KFD.
The disease has historically been limited to the western and central districts of Karnataka State, India. However, in
November 2012, samples from humans and monkeys tested positive for KFDV in the southernmost district of the
State which neighbours Tamil Nadu State and Kerala State, indicating the possibility of wider distribution of KFDV.

People with recreational or occupational exposure to rural or outdoor settings (e.g., hunters, herders, forest workers,
farmers) are potentially at risk for infection by contact with infected ticks.
Seasonality is another important risk factor as more cases are reported during the dry season, from November
through June.
Diagnosis can be made in the early stage of illness by molecular detection by PCR or virus isolation from blood. Later,
serologic testing using enzyme-linked immunosorbent serologic assay (ELISA) can be performed.
Prevention
Doctors at the State Health Services say there is no specific treatment for KFD, but early hospitalisation and
supportive therapy is important. Supportive therapy includes the maintenance of hydration and the usual precautions
for patients with bleeding disorders.
A vaccine does exist for KFD and is used in endemic areas of India. Additional preventative measures include insect
repellents and wearing protective clothing in areas where ticks are endemic.
Rodents, shrews, and monkeys are common hosts for KFDV after being bitten by an infected tick

89. Scientists work on DNA barcoding to help conserve ornamental fish

Indian scientists are using a new approach to identify animal species based on genetic labels or barcodes, to monitor
and clamp down on trafficking of ornamental fish from the Northeast a biodiversity hotspot., Examining genetic
sequences can help differentiate species with high accuracy. Hence DNA barcoding can be applied even when
traditional methods fail, said biotechnologist Sankar Kumar Ghosh.
Combined with traditional methods of identification, barcoding can pinpoint threatened fish species being sold
under nicknames or popular trade names by exporters in Northeast India, to mislead and avoid detection, Dr Ghosh,
professor, Department of Biotechnology at Assam University, Silchar, told IANS.
To lure hobbyists and enthusiasts, dealers in the northeastern states also adopt other unfair practices like the use of
synthetic dyes to impart colour to the fish to make them attractive.
The northeast region is home to around 267 species of fish and about 250 are known for their ornamental value , said
Dr Ghosh.
According to a Central Inland Fisheries Research Institute report, the region contributes 80 per cent of the
ornamental fish trade in the country.
From small varieties like snakeheads (murrells) to bigger catfish and other unusual looking species, most fetch a good
price in the domestic as well as international markets in neighbouring countries like Nepal and Singapore, said Dr
Ghosh.
Although there exist several regulatory enactments in India, aquarium fish are traded largely without endowment to
the government and mostly from wild capture. This poses a threat of endangering the species, he pointed out.
This has necessitated cataloguing the ornamental fish reserve and its diversity in the region. So we collected over 100
samples of ornamental fish from river beds (the Brahmaputra, the Barak in Assam and rivers from Manipur and
Tripura) and traders in Northeastern states and used DNA barcoding to correctly identify 51 ornamental fish species
which are exported from the region.
Of these, around 30 per cent were found to belong to the threatened category. Our study has established that the
technique can monitor and regulate trafficking of fish species and help conserve wildlife, Dr Ghosh said. Of the
identified species, as many as 14 are sold under multiple trade names, the study said.

The global annual turnover of ornamental fish trade is estimated at about $10 billion with a growth rate of six per cent
per annum. Although Indias contribution to the global ornamental fish trade is meagre at present, the country has a
great potential to increase export to about Rs.150 crore annually, said S.P. Biswas, a specialist in fish biology and
ecology, citing a recent report.
It is a very serious issue in the northeastern states. Ornamental fish have a very high demand in the international
market and habitat destruction is also a major issue. Genetic methods should be quick enough to identify the species.
IANS

90. Harassing women a social norm, say offenders!

Is it alright to harass women?
Yes, because it is the norm in society, is the shocking response from the offenders caught by Cyberabad Polices
SHE teams. When put through questioning, they revealed even more startling attitudes and notions: that women were
equally at fault for moving about freely and for making themselves vulnerable to harassment.
What if their sister or wife or mother was teased, molested or raped? To this, over 50 per cent offenders said they
would be enraged.
Also, most of those interviewed cited nuclear families and less intervention of parents as the main cause for their
behaviour.
It was when police sleuths asked the 250-odd persons caught by SHE teams for harassing women to answer a
questionnaire of 15 queries that the ugly truths came out.
The questionnaire was prepared in a bid to understand the attitude of the offenders towards women, Malakajgiri
DCP R. Rama Rajeshwari explained.
The details were shared with families of the offenders to help them overcome the problem. Counselling classes are
being held for the offenders, and they have been asked to work alongside the police in creating awareness on the
subject, the official explained.
Awards presented
Cyberabad Commissioner C.V. Anand reviewed the work of the SHE teams at his office on Monday and presented
awards to the policemen.
Apart from nabbing those indulging in harassment of women, the teams are also conducting awareness camps in IT
companies, educational institutions and offices.
Asked to fill a police questionnaire, over 250 persons caught by SHE teams for harassing women
provide startling answers

91. Crucial meet today on climate action

For a long time, climate action has been associated with cutting Carbon dioxide (CO2) emissions. And while the
number one global greenhouse gas continues to retain its top spot, the evolving consensus is that cutting short-term
pollutants such as hydro fluorocarbons (HFCs) and black carbon, is equally, if not less crucial.
On Wednesday, April 22, India will be among the group of countries discussing the phase-down of hydro
fluorocarbons at the 35th Session of the Open-Ended Working Group of the Parties to the Montreal Protocol in
Bangkok. In a proposal submitted on April 17, India has discussed the modalities of the phase-down to be undertaken,
which includes financial assistance for industry to switch to alternative green technologies, if the agreement comes
through.

According to a March 2015 research paper brought out by the Institute of Governance and Sustainable Development,
authors Durwood Zaelke, Nathan Borgford-Parnell and Stephen O. Andersen note that fast action under the Montreal
Protocol can limit the growth of HFCs, prevent 100 to 200 billion tonnes of CO2 equivalent emissions by 2050, and
avoid up to 0.5C of warming by 2100.
Peter Bledsoe, Senior Energy and Policy Adviser at the German Marshall Fund of the United States, was appreciative
of the Narendra Modi governments willingness to consider amending the Montreal Protocol to phase down HFCs and
said India could now emerge as a global leader in climate action.
Professor V. Ramanathan, Distinguished Professor of Climate Sciences at the University of California at San Diego,
told The Hindu that it was way back in 1975 that he had discovered the dangerous impact of halocarbons, the class of
chemical compounds, including chlorofluorocarbons and HFCs.
In 2009, Mr. Ramanathan revisited this subject, and found that only by cutting short-lived climate pollutants could
we stop world temperatures from reaching the 2 degree global warming threshold by 2050. He drew attention to how
1.6 million lives had been lost due to air pollution in India. Also 30-40 per cent of crops in the Indo-Gangetic plain
were found destroyed due to emission of black carbons and HFCs.
Transition cost
But Distinguished Fellow (emeritus) at The Energy Research Institute (TERI) Chandrasekhar Dasgupta was wary of
the enthusiasm displayed by the Indian government and climate scientists. There is considerable cost involved in
transitioning to new technologies, he said.
Under the UN Framework Convention on Climate Change, there was an agreement to reimburse full incremental cost
of any project/scheme to developing countries switching to greener technologies. But under the Montreal Protocol,
whether that would be the case is yet to be seen. Although, Mr. Bledsoe pointed out that countries bound by its
agreement could access the Montreal Protocol Fund for their transition needs.
On Earth Day, India will be among the countries discussing the phase-down of hydro
fluorocarbons

92.Green tribunals thumbs up for waste-to-energy projects

In what could be seen as a setback to those opposing burning of municipal solid wastes (MSW), the National Green
Tribunal (NGT), New Delhi, has permitted the States, including Karnataka, to use incinerator technology for
producing Refuse Derived Fuel (RDF), commonly known as waste-to-energy.
However, the Tribunal said no waste could be directly put into the incinerators or for power generation, except the
specifically permitted. Only those wastes that are found unrecyclable after segregation should be put into the
incinerators.
Also, the tribunal emphasised that it was not putting any absolute restriction on RDF being used as power generation
fuel, but first effort should be made for composting of wet waste. The States are free to use RDF for generating fuel
with due care and caution by framing necessary guidelines.
Meanwhile, the Central Pollution Control Board and the Ministry of Environment and Forests were directed to
prescribe specific guidelines for emissions from incinerators.
The directions were issued on a case between city-based MSW expert Almitra H. Patel vs. Union of India that was
referred to the NGT by the Supreme Court, which since 1996 had issued several directions on management of MSW
across the country. Based on this case, the Centre had formulated the MSW (Management and Handling) Rules,
2000. The NGT also directed dividing the State into clusters for locating sufficient number of incinerator plants.
Authorities were also asked to provide maximum space for plants to have large storage and processing area for
wastes; ensure green belt of higher density around plants, and adopt new technologies.

93. Three new havens for tigers

In a move that comes soon after the tiger census in January showed an overall rise in numbers of the big cat, the
Centre is set to form three new tiger reserves.
In-principle approval has been accorded by the National Tiger Conservation Authority (NTCA) for creation of reserves
in Ratapani in Madhya Pradesh, Sunabeda in Odisha and Guru Ghasidas in Chhattisgarh, Union Environment
Minister Prakash Javadekar informed the Lok Sabha on Tuesday.
Odisha is among the States where the tiger population has dwindled. The NTCA also accorded final approval to a
proposal to declare Kudremukh National Park in Karnataka and Rajaji National Park in Uttarakhand as tiger
reserves. Seeking to provide more protected spaces for the endangered species, State governments have been asked to
send conservation proposals for the following areas: Suhelwa in Uttar Pradesh, Mhadei in Goa, Srivilliputtur Grizzled
Squirrel Wildlife Sanctuary/ Meghamalai Wildlife Sanctuary/ Varushanadu Valley in Tamil Nadu, Dibang in
Arunachal Pradesh and Cauvery-MM Hills in Karnataka.
Punishments for violation of tiger reserve rules and hunting or altering the boundaries of tiger reserves have been
enhanced. As per the Ministrys country-level assessment, India hosted an estimated 2226 tigers in 2014.
Diverted for mining
However, in reply to another question, Mr. Javadekar revealed that over one lakh hectares of forest land has been
diverted for mining projects. Chhattisgarh witnessed the largest such diversion

94. Panel to take a fresh look at all proposed river links

The newly constituted Task Force on Inter-Linking Rivers will look afresh at all the proposed links to evaluate their
feasibility, particularly in maintaining a balance between environment and development. Links that are found
unfeasible will be abandoned.
Speaking exclusively to The Hindu , task force chairman B.N. Navalawala said the panel would work out a
mechanism that will bring benefits to the surplus States when they shared waters with deficit regions. The
programme will not be imposed on States and persuasion shall be the key word, he said.
Intra-basin transfer
Intra-basin transfer of waters was equally important. The rainfall distribution in the country, even within a State, was
uneven.
Therefore, while facilitating inter-linking of rivers, the task force would also look at intra-basin transfer.
That way, waters can be transferred within a State without any inter-State issues, he said. Tamil Nadu, Gujarat and
Rajasthan, he said, were some of the tailend States.
To start with, the Ken-Betwa link between Uttar Pradesh and Madhya Pradesh would be taken up. That would be
followed by the Daman Ganga-Pinjar Par-Tapi-Narmada links between Maharashtra and Gujarat.
For the remaining links, efforts would have to be made to win over Kerala, Odisha and Karnataka who were opposed
to the programme.
Dr. Navalawala, a former Water Resources Secretary, said the starting point of transferring waters to the southern
regions would be the Godavari.
The National Water Development Agency proposal was to link major river systems where surpluses from the
Godavari and Mahanadi were intended to be transferred to deficit areas in the south.

It will work out a mechanism that will bring benefits to surplus States when they shared
waters with deficit regions

95. Cabinet nod for juvenile law changes

The Union Cabinet on Wednesday cleared amendments to the Juvenile Justice Act that would allow juveniles aged
between 16 and 18 to be tried as adults for heinous crimes such as murder and rape.
The Bill will be presented before Parliament.
The proposed new law gives the Juvenile Justice Board the power to assess whether the perpetrator of a heinous
crime aged between 16 and 18, had acted as a child or as an adult.
The board will be assisted in this process by psychologists and social experts.
As per the Ministry of Women and Child Development, this unique instrument of a two-stage assessment/trial
brings about a balance that is sensitive to the rights of the child, protective of his legitimate interests and yet
conscious of the need to deter crimes, especially brutal crimes against women, a release from the government said.

96. IMD forecasts deficit monsoon

The southwest monsoons overall rainfall prediction for 2015 is 93 per cent, three percentage points below normal.
Further the probability of deficit rainfall is higher at 33 per cent over normal rainfall pegged at 28 per cent, Union
Minister for Science & Technology and Earth Sciences Harsh Vardhan said here on Wednesday, releasing the India
Meteorological Department (IMD)s annual monsoon forecast.
Mr. Vardhan said though it was early to predict a drought, and the data on regional distribution of rainfall will be only
available by June, he was keeping State governments and relevant ministries informed .
The report also notes that El Nino conditions are likely to persist during the south-west monsoon. The IMD is
monitoring sea surface conditions over the Pacific and Indian Oceans .

97. Cyclonic storm kills 42 in Bihar; Purnia worst hit

At least 42 people were killed, more than 100 injured and crops damaged when a cyclonic storm hit the north-eastern
border districts of Bihar late on Tuesday night.
It was a strong storm with a wind speed of more than 150 kmph. Purnia is the worst-affected district, with the most
people killed, Chief Minister Nitish Kumar told journalists here after an aerial survey of the affected areas.
Officials said the death toll might go up.
Mr. Kumar said the final assessment of damage would be possible only after officials of the affected districts sent in
the details.
Meanwhile, district officials have been asked to begin relief and rehabilitation works, and the government is keeping
a close watch on the situation, he said.
The affected farmers would be suitably compensated, the Chief Minister said, adding that he spoke to Union Home
Minister Rajnath Singh and got an assurance of help.
The storm dealt another blow to farmers who had earlier borne the brunt of unseasonable rains and hailstorms. The
Disaster Management Department has already put the crop loss at Rs.1,000 crore.

The storm left hundreds homeless, uprooted electric and telephone poles and trees and destroyed maize and wheat
crops in several districts of Seemanchal in north-eastern Bihar. According to a rough official estimate, over 25,000
houses have been damaged.
The districts of Purnia, Madhepura, Katihar, Madhubani, Supaul, Darbhanga, Samastipur and Bhagalpur have been
badly affected. At least 30 people were killed in Purnia district alone. Seven lost their lives in neighbouring
Madhepura district, three in Madhubani and one each in Supaul and Sitamarhi, officials said.
All the injured were admitted to the district government hospital in Purnia. The injured are still coming to the
hospital as several houses have collapsed in remote areas, S.N. Jha, a civil surgeon, told The Hindu .
Earlier in the day, the government announced Rs. 4 lakh in ex gratia to the family of each victim. The process of
handing over the cheques has already begun in Purnia, the Chief Minister said.

98. Bill protects juvenile rights

The government on Wednesday said the Bill incorporating amendments to the Juvenile Justice Act strikes a fine
balance between protecting the rights of juveniles and the popular demand of citizens.
The Juvenile Justice Act of 2000 came under intense scrutiny after the 2012 Delhi gang rape in which a juvenile was
found to be guilty, along with four adults.
On April 6 this year, the Supreme Court had asked the government to re-visit the law so that a juvenile cannot get
away with rape and murder by claiming he is too young to understand the consequences of his crime.
The court asked the government to take action, and convince legislators to change the law and make juveniles
accountable.
There can be a situation where a commission of an offence may be totally innocuous or emerging from a
circumstance where a young boy is not aware of the consequences. But in cases of rape, dacoity, murder, which are
heinous crimes, it is extremely difficult to conceive that the juvenile was not aware of the consequences, a Supreme
Court Bench had said.
Rejected
On February 25, 2015 a parliamentary standing committee had rejected the proposal to try juveniles involved in
heinous crimes as adults, saying the move was in conflict with law. However, the Women and Child Development
Ministry had decided to go ahead with it.

99. India ranks second in cyber attacks through social media

Cyber criminals are now using social networking sites to target users in India.According to a report from Symantec, a
security solutions provider, India ranked second among nations that were most targeted for cyber crimes through the
social media in 2014, after the US.
While email remains a significant attack vector for cybercriminals, they continue to experiment with new methods
across mobile devices and social networks to reach more people with less effort. Indias growing social media
population proved to be a ready base for them, said Tarun Kaura, Director, Technology Sales (India), Symantec. He
said that in 2014, India had the second highest number of social media scams globally and the highest in the Asia
Pacific region. Over 80 per cent of these scams were shared manually as attackers took advantage of peoples
willingness to trust content shared by friends.

100.Infra projects on China border on fast track: Centre

The government is giving careful and specific attention to the development of infrastructure in the border areas
adjoining China, the Union Minister of State for External Affairs, General (Retd.) V.K. Singh, told Parliament on
Wednesday. The Minister said construction of 27 key road projects, measuring 804 km, was on the fast track and the
procedure for green clearances had been simplified. The Home Ministry wanted 54 new border outposts to keep a
check on frequent Chinese infiltration, the Minister said.
The statement comes two days after China announced $46 billion of investments in Pakistan as part of its new Silk
Road initiative and the China Pakistan Economic Corridor (CPEC), which passes through Pakistan-occupied Kashmir
(PoK). These include highways to the Gwadar port and a hydel power project in PoK, which, sources said, the
government is closely monitoring as it was in disputed territory.

101. Rude surprise for U.P. farmers

Official laxity seems to have impeded the Uttar Pradesh governments efforts to ameliorate the sufferings of over 13
lakh farmers who have suffered massive crop loss in unseasonal rain and hailstorms in Uttar Pradesh. Thanks to
official apathy, coupled with the slow pace of relief work, the distressed farmers have been handed compensation
cheques which have bounced, and despite repeated warnings, official attitude has not changed.
Cheques bounced
With reports of bounced cheques pouring in from several of the 67 affected districts, Revenue and Irrigation Minister
Shivpal Singh Yadav warned officials of stern action if it recurred.
Mr. Yadav, who was on a fact-finding visit to Mohammadpur Pipiganj in Gorakhpur district on Wednesday, asked the
officials to ensure that the cheques were credited into the accounts of the farmers. Relief money to the districts has
been sent by the government, the Minister said. Mr. Yadav said that following a fresh survey, crop on an estimated
95.13 lakh hectares of land had been found lost. A fresh proposal of Rs. 6,000 crore has been sent to the Centre for
immediate relief of the farmers.
Official sources said the money distributed to the farmers by the insurance companies under the Crop Insurance Plan
was insufficient in the context of the massive damage to the crops. The Revenue Minister directed the insurance
companies that 25 per cent of the compensation money be disbursed to farmers at the earliest.
Mr. Yadav said action would be taken against the insurance companies whose cheques bounced.
Sources said while some insurance companies had made the payment to farmers in instalments, others had made part
payment and some had paid nothing at all.

102. Social media democratising govt.: U.S. expert

Social media in India is having a democratising effect on government and institutions, said Macon Phillips,
coordinator in the Bureau of International Information Programs, who earlier served as special assistant to U.S.
President Barack Obama and as director of digital strategy in the White House.
Amid the high-octane debate on Net neutrality, Mr. Phillips said here on Wednesday that the use of social media
platforms by Prime Minister Narendra Modi and President Obama was lending maturity to the medium.
The PM [Mr. Modi] is making use of Twitter for more than just sharing pictures of food. Oftentimes, social media is
trivialised, it is the genuine embrace of this medium by leaders who are defining our world that legitimises it, and it is
not just good for those leaders but everyone who is using it to talk about serious issues. As someone who has been in
the White House, I can tell you people are not afraid to show opinion and they take to social media to do that, he
told The Hindu .
Mr. Philips, who is in India to meet business leaders and digital influencers to discuss issues of climate change,
sustainability efforts, and entrepreneurship, said the U.S. was looking at deepening ties with India on a host of issues,
including cyber security and climate change.

In adolescent phase
While he described the Indian governments use of social media as being in its adolescent phase, he said,
institutions around the world have to learn to adapt and be prepared for an audience that seeks answers in real time.
The use of social media is in an adolescent phase; sometimes awkward, sometimes energetic, sometimes incorrect,
but it is learning and growing into its own idea. We are on the cusp of a mature space and that is being driven by Mr.
Modi and his personal embrace of this medium as well as by Mr. Obama, he said.
Referring to a rapidly changing media landscape, he said it was imperative that institutions adapt to make sure that
they were accessible in policy positions and information.
Social media has increased the pace of public engagement and news and that is creating stress on the system of large
institutions like government departments to adapt. As we see in world events things happen in minutes, so we have to
be prepared all the more and make sure we are aware of what the conversations are and are ready to address the
problems, he explained.
Similarities
On Mr. Modis much-publicised social media campaign before the general elections in 2014, he said the campaign had
been an inspiring one to Americans in terms of not just his personal story, but how he had used technology.
As someone who was part of the Obama campaign, it is easy to see the similarities. One similarity to underscore is
that both these men have an ethic about community engagement that was developed long before the Internet. In case
of President Obama, he was a community organiser, when he could have a number of other jobs, he chose to walk
around neighbourhoods and knock on doors and help people to organise and change and address problems. Social
media helped him do that at much greater scale.

103. Human embryo editing sparks international debate

In a worlds first, Chinese scientists have reported editing the genomes of human embryos. The results confirm
widespread rumours that such experiments had been conducted in China.
These rumours sparked a high-profile debate recently about the ethical implications of such work, the scientific
journal Nature reported, citing the study that first appeared in the journal Protein & Cell .
In the paper, researchers led by Junjiu Huang, a gene-function researcher at Sun Yat-sen University in Guangzhou,
used non-viable embryos [which cannot result in a live birth] that were obtained from local fertility clinics.
The team attempted to modify the gene responsible for I-thalassaemia, a potentially fatal blood disorder using a geneediting technique known as CRISPR/Cas9. I believe this is the first report of the gene-editing technique applied to
human pre-implantation embryos. The study is a landmark one as well as a cautionary tale, said George Daley, stemcell biologist at Harvard Medical School in Boston.
Some say that gene editing in embryos could have a bright future because it could eradicate devastating genetic
diseases before a baby is born.
Others say such work crosses an ethical line.
The technique used by Huangs team involves injecting embryos with the enzyme complex CRISPR/Cas9, which binds
and splices DNA at specific locations. Huang and his colleagues studied the ability of the CRISPR/Cas9 system to edit
the gene called HBB, which encodes the human I-globin protein. Mutations in the gene are responsible for Ithalassaemia. The team injected 86 embryos and then waited 48 hours, enough time for the CRISPR/Cas9 system and
the molecules that replace the missing DNA to act and for the embryos to grow to about eight cells each.

Of the 71 embryos that survived, 54 were genetically tested. This revealed that just 28 were successfully spliced and
that only a fraction of those contained the replacement genetic material.
If you want to do it in normal embryos, you need to be close to 100 percent. That is why, we stopped. We still think it
is too immature, Huang noted. According to Huang, the paper was rejected by journalsNature and Science , in part
because of ethical objections. Still, he maintains that the embryos allow for a more meaningful model and one
closer to a normal human embryo than an animal model or one using adult human cells.
A Chinese source familiar with developments in the field said that at least four groups in China are pursuing gene
editing in human embryos, Nature concluded. IANS

104. NGT adds armour for protection of rhinos in Kaziranga National Park
After shocking revelations of the Comptroller and Auditor General of India about the dire state of management of Kaziranga
National Park, home to one-horned rhinoceros, the National Green Tribunal has issued notices to 71 hotels, resorts and dhabas
which have encroached into the eco-sensitive zone of the Park.
The CAG report titled Performance audit of Kaziranga National Park Issues and Challenges revealed how 71 resorts, hotels,
dhabas and other commercial ventures such as eco-camps and even residential houses have come up within one to three kilometres
of the boundary of the KNP thereby endangering wildlife, which is already at risk of unchecked poaching.
Issue notice to the encroachers named in the annexure to the (CAG) report to show cause why they should not be made to pay
compensation for damaging the environment, ordered the NGT Bench headed by Justice U.D. Salvi.
The report points at rampant construction and parking on vast stretches of contentious National Highway 37 passing through KNP
which figures on the world heritage list and harbours world's largest population of one-horned Rhinoceros.
Interestingly, the Park authorities seem unaware of these illegal commercial ventures on the highland used by animals for shelter
during floods.
Non declaration of the ESZ for such a long period of time had a direct bearing on such activities detrimental to the well being of
animals. The dangerous trend, if not checked immediately and permanently could lead to an irreversible impact on conservation and
protection of wildlife with the potential threat that in case of a major flood, majority of the internationally acclaimed species - one
horned rhinos would be wiped out forever, the CAG report said. The Bench also noted that the Assam government had failed to
utilise funds released towards Kaziranga tiger reserve and directed it to release the same in two weeks.
The audit report highlighted that From the results of physical verification, interactions with wildlife authorities/villagers and
scrutiny of various correspondences, it would appear that uncontrolled and ever increasing construction/human settlements with
urbanisation at places, commercial activities/mining had contributed to blocking majority of stretch of NH 37 including designated
animal corridors...
There is a complete inaction by the State of Assam so far as protection of rhinos is concerned. The CAG report should have been a
wakeup call for the government to take urgent action, however the same apathy continues and government seems to be happy with
increase in rhino population without considering the warning signs of the impending doom, says Ritwick Dutta, a noted
Environmental Lawyer.
Presently on an average one rhino per 10 day is being killed in the Kaziranga National Park...The matter of encroachment on
government land / land use change from agricultural to commercial by the hotels/ resorts should be investigated and action taken
against the officer responsible, says environmental activist Rohit Choudhury who is fighting for the cause of KNP.
The National Green Tribunal has issued notices to 71 hotels, dhabas and resorts for encroaching into the
national park after CAGs damning report

105. Govt. performs poorly in rural job scheme

In the one year since the Modi government assumed power, progress in implementation of some of the rural
development schemes has been poor. Documents tabled in the Lok Sabha on Thursday, in response to queries raised
by parliamentarians, show that the progress in implementation of the Mahatma Gandhi National Rural Employment
Guarantee Act (MGNREGA) and the Indira Awas Yojana have been particularly bad.
Minister of State for Rural Development Sudarshan Bhagat admitted that there has been a decline in the number of
person days created under the MGNREGA in 2014-15. Provisional data for 2014-15, shows that only 40 days per
household of work was made available to rural households on an average though the law guarantees 100 days of work.
In comparison, in both 2012-13 and 2013-14, the average days per household of work given were 46.
Among the worst performers in terms of average days per household of work provided are Arunachal Pradesh (12),
Puducherry (13), Manipur (20) and Nagaland (21). The best performing State is Tripura (88). Mr. Bhagat further
listed out the various irregularities found in the implementation of MGNREGA.
Delays in payment of wages or wages below minimum wage levels were reported in Andhra Pradesh, Chhattisgarh,
Uttarakhand, Sikkim, Gujarat, Rajasthan, Maharashtra, Jammu and Kashmir.

106. Smart maps for smart cities

The use of smart maps in Prime Minister Narendra Modis ambitious smart cities project will lead to $8 billion in
savings and value in a year, according to a study by Dalberg Global Development Advisors, a strategy and policy
consulting firm. This also needs a strong policy and regulatory framework, it said.
The firms report, Smart maps for smart cities: Indias $8 Billion+ opportunity, said India was expected to see the
greatest migration to cities of any country in the world in the next three decades, with over 400 million new
inhabitants moving into urban areas. The expansion of Indias urban population will also have to be met with an
expansion of infrastructure that is 20 times the capacity that has been added to Indias cities over the last decade, it
added.
High potential uses
The report points out nine high potential uses of smart maps including traffic and commuting, local retail, tourism,
womens safety, city planning, civic engagement, emergency services, logistics and delivery and disaster response.
Pritha Venkatachalam, principal at Dalberg Global Development Advisors, pointed out the benefits in terms of
emergency services and local retail.
Surveys show that emergency vehicles in India spend about 25 per cent of their response time or one fourth of their
time to reach their patient or beneficiary. And that time is spent in looking at the exact location from where the call
originated. A use of smart maps can reduce that time to 2-3 minutes, which is our conservative estimate and save
13,000 lives, she added.
The report also pointed out that local retailers could increase revenue by $2 billion. There are 116 million
smartphone users and 78 per cent of smartphone users use maps to search for local business or services at least once
a week. In the U.S., 73 per cent of such searches result in purchases, while in India it is only 20 per cent, Ms.
Venkatachalam said. This is because 80 per cent of kirana shops are not listed, she added.

107. RS passes Bill on transgender rights

In a rare action, a private members Bill protecting and providing rights for transgenders was passed by the Rajya
Sabha on Friday. The Bill also guarantees reservation in education and jobs, financial aid and social inclusion. This is
the first time in 45 years that a private members' Bill has been passed by the House.
The Rights of Transgender Persons Bill, 2014, paves the way for a law on the matter in the near future. The
government assured the House that it would bring an updated Bill in the Lok Sabha. Sources later told The

Hindu that while the government accepts the spirit and sentiment of the Bill, it has infirmities that need to be
removed.
A Union minister said the government would bring a fresh Bill after removing the impractical clauses.

108. 257 farmers committed suicide in Maharashtra this year

The Maharashtra government has reported 257 suicides by farmers in the State between January and March this year
resulting from the agrarian crisis.
The government of Maharashtra has reported that 257 farmers have committed suicide in the State due to agrarian
reasons during the period January to March 2015, Minister of State for Agriculture Mohanbhai Kundaria said in a
written reply to a question in the Rajya Sabha.
As many as 114 cases of suicides were reported from the Aurangabad region, followed by Amrawati (102), Nagpur
(30) and Nashik (nine) the data showed.
Replying to a separate query, Mr. Kundaria said that Maharashtra, Punjab and Rajasthan governments had reported
three, five and one cases of farmer suicides respectively, due to the recent untimely rains and hailstorm.
He said agriculture being a State subject, States take necessary measures for development of the farm sector with the
Central government supplementing the efforts through appropriate policy measures and budgetary support.
The Centre has taken several steps to revitalise the agriculture sector and improve the condition of farming
community on sustainable basis by increasing investment, improving farm practices, rural infrastructure and delivery
of credit, technology and other inputs, extension and marketing among others, he said.
Compensation
In a reply to a question he said the amount of compensation to a farmer who commits suicide was decided by the
State government. The Maharashtra government has reported that it provides a compensation of Rs.1 lakh to the
family of those farmers who end their lives due to crop failure, debt and inability to repay loan.
Meanwhile, CPI(M) member Ritabrata Banerjee disputed the governments reply on his question regarding suicide by
potato growers in West Bengal. He said since March 21 potato growers had committed suicide in the State due to the
steep fall in the price of potato. This had led the state to give incentives to growers such as market intervention and
transport and export subsidy.

109. Bill promises welfare board, job quotas for transgenders

In its current form, the private members Bill protecting and providing rights for transgenders, that was passed by the
Rajya Sabha on Friday has aspects that concern at least nine different ministries, a Union Minister said. The synergy
has to be worked out.
The government had initially asked DMK member Tiruchi Siva to withdraw his Bill but he refused to relent. The
government tried to explain that there are some anomalies in the Bill that need further work, but the Opposition that
has a majority in the House [Rajya Sabha] did not accept the government's assurance of bringing in some more
provisions in the Bill. There is a need for more inter-ministerial consultation, said an official of the Social Justice and
Empowerment Ministry. The issue is also in the Supreme Court, so we cannot say much, he added.
Mr Sivas Bill has 58 clauses in 10 chapters dealing with different aspects ranging from social inclusion, rights and
entitlements, financial and legal aid, education, skill development to prevention of abuse, violence and exploitation.

There is a need for a national commission for transgender persons with statutory powers on the lines of other such
national commissions. While the Tamil Nadu and West Bengal governments formed welfare boards for the purpose,
we need a national response, Mr Siva told The Hindu .
Transgenders face total discrimination, even by their own families. I was very emotional when the House passed the
Bill. Members of the transgender community were watching from the (visitors) gallery, Mr Siva said.
New Delhi-based activist and community member Simran Shaikh, who watched from the gallery as the Rajya Sabha
passed the Bill by voice vote, said: This Bills passage is a remarkable thing. It is part of a long drawn struggle
including the Supreme Courts judgment last year.
The Bill provides for creation of welfare boards at the Centre and State level for the community, Transgender Rights
Courts, two per cent reservation in government jobs and prohibits discrimination in employment. It also makes
provisions for pensions and unemployment allowances for members of the community

110. SC seeks govt. response on renaming India as Bharata

The Supreme Court on Friday sought a response from the government on a petition seeking a declaration that the
Republic be called Bharata instead of India.
A Bench led by Chief Justice of India H.L. Dattu issued notice to the Centre and all the States on a public interest
petition filed by social activist, Niranjan Bhatwal from Maharashtra, that the public should have an unambigous
understanding that the countrys name is Bharata.
It sought a clarification on the phrase India, that is, Bharat shall be a Union of States used in Article 1 of the
Indian Constitution. The petitioner represented by Ajay G. Majithia and Rahul Pandey said there the word India is
not a literal translation of the word Bharata. Besides the country, both historically and in the Scriptures, is known as
Bharata.

111. Google gives boost to mobile-friendly sites

Googles latest Internet revolution this week saw the web giant modify its search algorithm to favour mobile-friendly
sites, in a bid to upstage Apple that U.S. media branded a mobilegeddon.
U.S. technology website WIRED described Tuesday's algorithm switch as likely the biggest change of the past three
years.
And its reminder of the wonderfully magnanimous yet deeply selfish way that Google uses its market power to
accelerate changes across the rest of the Internet, it added.
The change comes in the same week as a Google announcement it will launch its own US mobile wireless service, with
considerable potential savings for customers using their devices at home and for international travel. Google argues
its algorithm revolution is good for users. We want to make sure they can find content that's not only relevant and
timely, but also easy to read and interact with on smaller mobile screens, Google said in a statement to WIRED.
More than half of Internet searches worldwide are made on mobile phones, a trend driven by figures out of
developing countries where smartphone penetration is higher than computers.
In 2011, a change to Googles search algorithm affected 10 per cent of English-language websites, while the 2012
change impacted some four percent, according to WIRED. But the recent change, the extent of whose impact cannot
yet be fully measured, has also sent shockwaves among brand owners and marketers, for whom online visibility is
hugely important.
Google has the power of life or death over some websites. A drop in Google ranking can mean a 60 to 80 percent loss
in turn over, e-marketing firm JVWEBs president Jonathan Vidor said.

Even if mobile phones bring in only a small proportion of revenues, everyone is scared Google might do something
drastic, Vidor added.
Contested impact:While it threatens to throw websites that have not been adapted to smartphone technology to the
bottom of search rankings, the change introduced on Tuesday has yet to cause the major impact experts had
predicted. I observed absolutely no impact, said Benoit Sillard, director of leading French publisher CCM
Benchmark, 40 per cent of whose finance, womens and news magazines online visits are via mobile.
It will take at least a week before we see an initial impact, as the algorithm is going through a learning phase, said
Paul Amsellem, who heads a marketing, technology and mobile phone advertising firm, the Mobile Network Group.
Amsellem believes Google has just lost its mobile search bet by placing unrealistic and ultimately unfulfilled
hopes in websites shifting over to mobile platforms en masse.
Mobile phone applications pioneered by Apple are still coming out on top in the race for the Internet throne. Apple
had placed its bets very early in the game on mobile phone downloads, Amsellem said, giving the technology icon the
lead by taking control of applications, content and graphics, making users experience the best it can be.

112. SC notice to Centre, States on abuse of captive elephants

The Supreme Court on Friday sought response from the Centre and various State governments on measures taken to
curb cruelty and abuse meted out to captive elephants by private owners, mahouts, temples, trusts for the sake of
profit.
A Bench of Justices Dipak Misra and P.C. Pant issued notice to the Centre and States, including Kerala, Tamil Nadu,
Karnataka, Andhra Pradesh, to respond on the petition in eight weeks.
This requires serious consideration, Justice Misra said.
The petition, filed by Bangalore-based Wildlife Rescue and Rehabilitation Centre and other animal welfare
organisations, has questioned the manner in which elephants are ill-treated during religious functions, processions
and other events.
The petitionsaid pachyderms are subject to untold cruelty despite laws over half a century old like Prevention of
Cruelty to Animals, 1960, which makes it an offence to beat, torture, over-load, chaining or tethering with a heavy or
short chain.
It said little regard was paid to the Ministry of Environment and Forests' guidelines of 2008, which bans captive
elephants from being made to walk for more than 30 km a day and not more than three hours at a stretch. The
petition pointed out that in States like Tamil Nadu, temple festivals happen in the hottest months of the year and it
was common for elephant keepers to make their elephants walk on the hot, tarred city roads during peak summer
days. This was in sheer violation of the Tamil Nadu Captive Elephants (Management and Maintenance) Rules, 2011.
The petition drew the court's attention to how even 'treats' given to temple elephants by devotees add to their misery.
Food provided by devotees includes fruits, coconut, ghee, rice and other unnatural food such as sweet, biscuits, and
chocolates. This leads to obesity, indigestion, and occurrence of colic and e.coli salmonella infections (unwashed
hands of devotees could be a major cause) in the elephants, it said.
Laying emphasis on States like Kerala, Tamil Nadu, Karnataka and Andhra Pradesh, where decked-up elephants
perceive to add to the grandeur of temple festivals, the petition brought to the court's attention that 88 persons
including 71 mahouts were killed in accidents relating to captive elephants in three years between 2007-10. The same
period saw 215 elephants killed as a result of cruel treatment.

113. Ancient viruses, once foes, may now serve as our friends: researchers

Our genomes are riddled with the detritus of ancient viruses. They infected our hominid ancestors tens of millions of
years ago, inserting their genes into the DNA of their hosts. Today, we carry about 100,000 genetic remnants of this
invasion. So-called endogenous retroviruses make up 8 per cent of the human genome.
Mostly, these genetic fragments are generally nothing more than molecular fossils. Over thousands of generations,
they have mutated so much that they cannot replicate in our cells. And our cells keep the viral DNA muzzled to
minimise the harm it might cause.
But scientists are finding that some endogenous retroviruses do wake up, and at the strangest time.
A new study published in the journal Nature on Monday suggests that endogenous retroviruses spring to life in the
earliest stages of the development of human embryos. The viruses may even assist in human development by helping
guide embryonic development and by defending young cells from infections by other viruses. The fact that viruses
may be playing a vaccine role in the cell is pretty amazing, said Guillaume Bourque, a genomicist at McGill
University, who was not involved in the study.
When an ordinary retrovirus, like HIV, infects a cell, it inserts its genes into the cells DNA. The cell then makes new
retroviruses by making a copy of the virus genes as RNA molecules. The cell uses some of those RNA molecules to
make proteins for the virus. Those proteins form a shell around the other RNA molecules, which become the new
virus genes.
Part of the program
In recent years, scientists have discovered that embryonic cells produce RNA molecules from certain endogenous
retroviruses lurking in the genome. But scientists have struggled to understand why.
Do retroviruses come out of hiding to take advantage of their young hosts when their defences are weak? Or, are these
just biochemical accidents embryonic cells mistakenly turning viral genes into RNA, then destroying their molecular
mistakes?
Joanna Wysocka, a developmental biologist at Stanford University, and her colleagues recently discovered evidence
that embryonic cells are not turning to their viral genes by accident. Its an elaborate process that happens at a
specific time in the development of an embryo. Its part of the program, she said.
Wysocka and her colleagues did not set out to study viruses when they started their research. Instead, they were
investigating how a single fertilised egg turns into the hundreds of different types of cells in the human body.
In the early stages of development, an embryo is largely made up of cells that can potentially become any sort of
tissue. Over the course of many divisions, the cells continue to hold on to this potential. A crucial reason is a protein
called Oct4. Its not entirely clear how Oct4 keeps embryonic cells in their flexible state, but scientists know it works
by latching on to DNA in order to turn genes on and off.
Not clinching evidence
Jonathan Stoye, a virologist at the Francis Crick Institute in London, considered the study thought-worthy, but
cautioned that Wysocka and her colleagues had not proved that the retroviral genes are providing clear benefits to
human embryos. Endogenous retroviruses might behave merely as very successful parasites, he said.

114. 1,500 killed in Nepal quake

A massive earthquake of 7.9 magnitude on the Richter scale and a series of aftershocks hit several parts of Nepal on
Saturday morning, leaving over 1,500 people dead and many others injured. Roads and buildings, many of them
historic landmarks such as the Dharahara Tower in Kathmandu, were destroyed.

The government said 1,500 bodies had been recovered. An equal number of people are said to be injured. The death
toll is mounting and rescue operations have proved difficult given the mountainous terrain. A clearer estimate of
casualties and damage could take days.
The U.S. Geological Survey said the epicentre was Lamjung district in western Nepal. The quake hit at 11.56 a.m.
Nepal Standard Time (11.41 a.m. IST).People took shelter in open spaces, fields, the palace venue and schools. Many
foreign tourists are stranded at Thamel.
The residents of the capital are out on the streets. The government has opened the gates of the Singha Durbar for
people to take shelter.
Emergency meeting
The Cabinet held an emergency meeting and declared an emergency in the quake-hit areas.
The most affected districts. besides the three districts of the capital, Kathmandu, Lalitpur and Bhaktapur, are Kavre
Gorkha, Nuwakot and Makwanpur in central Nepal and Ramechhap, Okhaldhunga and Bhojpur in the east. Some 40
of the 75 districts have been affected. Tremors through the afternoon lasted as long as 45 seconds. The last strong
tremor occurred around 3.15 p.m. local time (3 p.m. IST).
The Dharahara Tower, in the heart of the capital and built in 1832, collapsed, trapping people. The Kalomochan
temple at Thapathali was destroyed, as was the King Mahendra statue at Tripureshwar.

115. Nemades works will inspire generations

Prime Minister Narendra Modi on Saturday presented the prestigious Jnanpith Award for 2014 to Marathi writer
Bhalchandra Nemade at a ceremony in Parliament House. The highest literary honour in India carries a purse of Rs.
11 lakh.
I shall always abide by my commitment to write what is right. Writing is what binds me to my readers and to
humanity, 76-year-old Mr. Nemade, whose 1963 novel Kosala (cocoon) changed the dimensions of Marathi novel,
said after accepting the award at a ceremony in Parliament House on Saturday evening.
Creative writing had the capacity to touch the lives of several generations, Mr. Modi said, adding that Mr. Nemades
works would inspire future generations. Referring to the richness of Indian culture, the Prime Minister said solutions
to problems such as global warming, which the world is debating today, could be found in the Vedas.
Encourage reading
Regretting the declining interest in books and the reading habit, Mr. Modi urged people to ensure a special place for
books in their homes. He said as Chief Minister of Gujarat, he had launched the Vaanche Gujarat to encourage the
reading habit.
When Nemadeji was receiving the award, he was happy to receive the Saraswati statuette, the coconut and the shawl,
but when it came to accepting the Rs. 11 lakh prize money, he was uncomfortable and hesitant, Mr. Modi said. That
is not correct. It is necessary that Saraswati [goddess of wisdom] and Lakshmi [goddess of prosperity] come
together, Mr. Modi said evoking applause from the audience.
Mr. Nemade was chosen for the honour by a 10-member selection board headed by noted scholar, writer and critic
Namar Singh of the Bhartiya Jnanpith on February 7.
He is the fourth Marathi writer to win the honour after novelist V.S. Khandekar (1974), and poets V.V. Shirwadkar,
aka Kusumagraj (1988), and Govind Karandikar, aka Vinda Karandikar (2003).
Mr. Nemades 2010 novel, Hindu , had won critical acclaim.

Traversing an expansive timeline, the manner in which Hindu leaps through space and time wielding language
and experimenting with structure is unprecedented in Marathi letters. Hindu prominently showcases Nemades
linguistic scholarship, his creative dexterity with words and an encyclopaedic civilisational consciousness, a
statement from the Jnanpiths selection committee said.

116. How safe is Uttar Pradesh from quakes?

Even as the massive tremors shook large parts of Uttar Pradesh, it was the alluvium cover in the Indo-Gangetic Plain,
which acted as a cushion and prevented large-scale damage in the State. In geological terms, the State falls in the
safe zone as the alluvium cover acts a shock absorber.
Since the affect of earthquakes is more on the rocky surfaces, as was evident in the 1991 Uttarkashi and the 1995
earthquake in Chamoli (now in Uttarakhand), its impact was not felt much in Uttar Pradesh.
But the intensity of Saturdays tremors have led experts to rethink on how safe is the State from quakes. There is an
opinion which says that the magnitude of the tremors could have left an impact on the rocky surface below the
alluvium cover. Many are of the view that tremors of this magnitude perhaps visited Uttar Pradesh for the first time in
80 years. Though Uttar Pradesh is safe, thanks to the rich alluvium surface which acts as a cushion, the possibility of
even the shock absorber being shaken by the magnitude of the tremors cannot be ruled out, said A.R. Bhattacharya,
an eminent earth scientist and an expert in Himalayan Geology.
Professor Bhattacharya said the faults, or cracks in the rocky surface below the alluvium cover could have been
activated by the magnitude of Saturdays tremors. The north-western belt seems to have been affected by the high
magnitude of the tremors.

117. Toll hits 2,400 as rain stalls rescue

Rain and fresh tremors on Sunday night compounded Nepals agony, hampering the search for survivors of
Saturdays 7.9 magnitude earthquake that has killed over 2,400 people, including five Indians, and left more than
6,000 injured. With no electricity, capital Kathmandu looked a ghost town with rain pounding the city, forcing the
closure of the airport where chaotic scenes were witnessed with stranded foreign tourists desperate to go home.
Earlier in the day, fresh powerful aftershocks triggered panic among the stricken people and caused avalanches on
Mt. Everest which had on Saturday taken a toll of 22 lives.
A strong 6.7-magnitude aftershock followed by another measuring 6.5 on the Richter Scale, sent people scrambling
for open spaces.
Earlier, with the clock ticking away, rescuers frantically cleared mounds of flattened homes and buildings in search of
survivors.
According to the Kathmandu-based National Emergency Operation Centre, 1,053 people were killed in Kathmandu
Valley alone. Mass cremations were held here as the death toll continued to climb throughout the day. Forty of the 75
districts in Nepal have been affected, some of them severely, especially in the central and eastern hilly regions.
The government declared an emergency in the affected areas and announced a relief package of 500 million Nepal
rupees. The country has appealed to India and China and other governments for help in relief and rehabilitation.
Prime Minister Sushil Koirala, who cut short his visit to Indonesia, arrived in the capital on Sunday.

Hospitals are near breaking point with the heavy influx of the injured. Some families lost more than one member in
the calamity.
Local media reported that 200 foreign tourists had gone missing in the quake-triggered avalanche in the Himalayas.
Ekantipur.com, a news website, reported that 22 bodies were brought to the capital. Sixty-one tourists have been
rescued. Thirty-two of them have been brought to Kathmandu and 29 are being treated in a hospital in Lukla.

118. High costs push surgical care out of reach

Five billion people globally do not have access to safe, affordable surgery and anaesthesia when they need them, a new
study says.
A third of all deaths in 2010 nearly 17 million lives lost in all was from conditions treatable with surgery, such as
appendicitis, fractures and childbirth complications, the researchers found.
The Global Surgery 2030 Commission, published in The Lancet medical journal and released early on Monday, was
written by 25 experts in surgery and anaesthesia, with contributions from more than 110 countries, including India.
Financial pressure
Even among those who are able to access surgery, its costs often lead to financial ruin, the commission said. A quarter
of people worldwide who have a surgical procedure incur costs that they cannot afford, pushing them into poverty.
Cost then becomes a significant barrier. Using data from the nationally representative Million Death Study,
researchers found that postal code areas with high incidence of acute abdominal mortality in India were more likely to
be located further from a hospital capable of providing appropriate emergency surgical care than areas with low
mortality. The odds only grew with distance from the hospital.
In the absence of surgical care, common, easily treatable illnesses become fatal, said Andy Leather, Director of the
Kings Centre for Global Health, Kings College London, and one of the commissions lead authors.
Scheme subverted
Even when free or subsidised access to surgery is made available by the state, allied costs make utilisation difficult,
says a research paper that will be presented at the commissions launch on Monday. Researchers from the George
Institute studied claims in Rajiv Aarogyasri Community Health Insurance Scheme (RACHIS) that provides access to
free tertiary medical care across Andhra Pradesh and Telangana.
A surprise
It came as a surprise to us that despite universal access, the uptake of surgery was still at the level of a low-income
country, Vivekanand Jha, Executive Director, The George Institute for Global Health, India, told The Hindu .
Just making a scheme available doesnt automatically mean utilisation will happen. There are a number of factors
preventing uptake, including that the scheme only covers the cost of the surgery, while there are a number of steps
before the stage of surgery that are not trivial in terms of their implication on cost, and the person needing to be away
from his or her livelihood. They might live in remote areas, or other family members might be prioritised, Dr. Jha
said.
Investment
Scale-up of levels of access to surgery will need investment, the commissions authors said. Although the scale-up
costs are large, the costs of inaction are higher and will accumulate progressively with delay, the commissions lead

author, John Meara, Kletjian Professor in Global Surgery at Harvard Medical School and Associate Professor of
Surgery at Boston Childrens Hospital, USA, said.
Scale-up of surgical and anaesthesia care should be viewed as a highly cost-effective investment, rather than a cost,
he said.

119. Indian-origin scientist wins Heinz Award

An Indian-origin scientist at MIT, who has developed artificial human microlivers for drug testing, has won a
prestigious $2,50,000 Heinz award for her work in tissue engineering and disease detection.
Sangeeta Bhatia at the Massachusetts Institute of Technology has been named the recipient of the 2015 Heinz Award
for Technology, the Economy, and Employment. The award includes an unrestricted prize of $ 2,50,000.
The Heinz Awards annually recognise individuals for their extraordinary contributions to arts and humanities;
environment; human condition; public policy; and technology, the economy, and employment.
This type of recognition helps to bring science into the public eye so that everyone can appreciate the dedication and
innovation that is happening in laboratories all over the country, said Bhatia, the John J and Dorothy Wilson
Professor of Health Sciences and Technology and Electrical Engineering and Computer Science.
Ms. Bhatias team has pioneered the fabrication of artificial human microlivers, which are being used by many
biopharmaceutical companies to test the toxicity of drug candidates.
She is also using microlivers in the lab to model malaria infection and test drugs that can eradicate malaria parasites
completely. She hopes to eventually develop implantable liver tissue as a complement or substitute for whole-organ
transplant.

120. 9,000 NGOs lose licence

The Union government has cancelled licences of nearly 9,000 NGOs for violation of Foreign Contribution Regulation
Act (FCRA).
In an order, the Home Ministry said that notices were issued to 10,343 NGOs for not filing annual returns for the year
2009-10, 2010-11 and 2011-12.
The notices were served on October 16, 2014 saying that the NGOs should file their annual returns within a month
specifying amount of foreign funds received, sources of such funds, for which purpose they were received and the
manner in which they were utilised. Out of the 10,344 NGOs, only 229 replied.
There was no reply from the remaining NGOs leading to cancellation of their registration.

121. Rescue teams short of tools, men

The death toll in Saturdays earthquake in Nepal soared past 4,000 on Monday even as rumours persist that another
major earthquake is imminent. About 6,500 people have been injured in the 7.9 magnitude temblor.
Thousands of tourists and locals are desperately searching for a way out of Kathmandu, where a roof over their heads
and provisions are in short supply.
The incessant rain of the previous night abated however, as the capital took stock of the damage and stepped up relief
operations. As of 2 p.m. the death toll in the capital stood at 1302.Going around the city there seemed no obvious
logic as to why some houses survived the massive earthquake on Saturday and the aftershocks on Sunday, while

others crumbled. In a narrow lane in Thamel for example, a six-storey building called the Budget Hotel came crashing
down even as those around, many even older, stayed intact.
A team of Nepali armed police force (APF) oversees the rescue mission and it says that five dead bodies, including
that of one Indian woman, were retrieved while miraculously, an Iranian man was pulled out alive after a day and a
half.
Searching among the rubble for any sign of his bags or documents, Simon, a French tourist, says he was sleeping on
the 6th floor the morning the hotel collapsed but had gone sightseeing at the now destroyed Basantapur Durbar
square. Monuments were falling all around us and I jumped under a police truck. When I came back here I was
shocked to see the entire building collapsed. I escaped with my life twice, he says.
In the nearby Gangobu area, APF teams mount complex rescue operations but are hamstrung by a lack of equipment
and manpower.
In one five-storey house, three officers are trying to extract two bodies trapped between the beams inside. We only
have a chainsaw. If we cut the beams then the whole house may collapse, a commanding officer explains.They need
cranes and cables but such equipment is in short supply.

122. NJAC delayed; judicial appointments hang fire

Chief Justice H.L. Dattus decision not to participate in the National Judicial Appointments Commission will
handicap the high power committees selection of two eminent persons as members of the six-member NJAC.
The committee consists of the Prime Minister and the leader of the largest party in the Lok Sabha.
The nomination of these two persons is the first step towards constituting the NJAC.
The CJIs refusal brings to an abrupt halt the governments plans to constitute the NJAC before May 11 as promised
by it to the Constitution Bench during a hearing last week.
The Bench had asked the government to constitute the NJAC as early as possible for the limited purpose of
considering the extension of the tenure of existing additional judges of various High Courts.
The Bench had voiced anxiety over the tenures of these judges lapsing, as neither the collegium system nor the NJAC
is presently being implemented. Justice Khehar had said the judiciary could not afford to let such a thing happen
considering the shortage of judges.
Judicial vacancies
Faced with the CJIs letter, the Constitution Bench went into a 15-minute recess to deliberate the future course on
immediate judicial vacancies if the additional judges tenure ends.
However, when they re-assembled, Justice Khehar told the government that they would continue to hear the petitions
challenging the NJAC on merits and would pass interim orders when necessary.
This meant that if there was any case of an additional judges tenure ending soon, the government was free to
approach the Bench directly to seek extension.
The Centre has already assured the Bench that it would not appoint new judges until the apex court gives a final
decision on the validity of NJAC.
The five-judge Constitution Bench, also comprising Justices J. Chelameswar, Madan B. Lokur, Kurian Joseph and
A.K. Goel, starting Monday, will hear arguments on a day-to-day basis for 14 days before the court closes for the
summer vacation.

The NJAC Act, notified on April 13, is meant to replace the Supreme Court collegium system of judges appointing
judges. It gives the political class and civil society an equal role in judicial appointments to the higher courts.

123. Need to revisit Prevention of Corruption Act: Jaitley

Supervision by courts puts investigators on the defensive and they follow the golden rule of somehow making a
case, leaving it to the accuseds good luck that he gets a fair trial, Union Finance Minister Arun Jaitley said on
Monday.
Speaking at the 16th D.P. Kohli Memorial Lecture organised by the Central Bureau of Investigation, Mr. Jaitley
said: We were earlier told that investigation is a police function, the Privy Council said so. Today courts
supervise investigations.
Golden rule
He [the investigator] then follows the golden rule that if he gives a report that the accused is prima facie not
guilty, then questions are going to be raised about him. Therefore, his golden rule is he must somehow make the
case and it is the accuseds good luck that he gets a fair trial, said the Finance Minister, adding that this process
had hindered the whole process of economic decision-making.
Mr. Jaitley said that under such circumstances, decision-making becomes a game of passing the parcel.
Departments of purchase, defence and disinvestment have all suffered, he said.
Stating that there was a need to revisit several provisions of the Prevention of Corruption Act, 1988, the Finance
Minister said the Act pre-dated 1991, when the economic reform process began.
New areas
The 1988 Act was perceived in a regulatory framework when we were still more regulated. That Act has today to
evolve. And the basis of the evolution is that when economic activity is being enlarged in the country, in any
economic activity and decision-making, there would always be new areas to chart out and quick decisions to be
taken, he said.
Can that decision-making be where every decision-maker is always on the defensive, cautious of what may
eventually happen if a decision is taken one way? Economic decision-making can also be trial and error . it may
also involve an element of risk taking. Does the 1988 Act adequately distinguish between an act of corruption and
an act where a decision-maker makes an honest error? I think that Act fails that test, he said.
Reforms delayed
The Finance Minister also proposed redefining phrases like corrupt means, public interest, pecuniary
advantage, valuable thing and personal interest as given in the 1988 Act, terming them vague. Analysing
the countrys growth trajectory, Mr. Jaitley said the 1991 reforms could have been brought about a decade earlier.
He said over the past decade, there was a breakdown of process of building consensus on various vital issues
before May 2014.
Down the line, we started losing the credibility of decision-making process and indecisiveness on the part of
government, he said.
Mr. Jaitley also sought to reassure foreign investors that retrospective tax would not be imposed, stating that
taxation policy needed to be non-adversarial. The corporate tax structure had to be globally competitive and that
was why the government proposed to reduce it from 30 to 25 per cent in this years budget, he said, adding that
economic decision-making needed to be quicker.

124. Gender gap becoming a chasm in labour market

South Asia has the worlds most skewed gender wage gap and is among the few regions where the gender labour force
participation gap is both large and growing, a new report from UN Women has found.
The Progress of the Worlds Women 2015-2016 report comes 20 years after the landmark Fourth World Conference
on Women in Beijing.
Since the Beijing Conference, significant advances have been made by many societies, particularly in advancing
womens legal rights. However, as [the report] shows, in an era of unprecedented global wealth, millions of women
are still consigned to work in low paid, poor quality jobs, denied even basic levels of health care, without access to
clean water and decent sanitation, the report finds.
Globally, only half of women participate in the labour force, compared to three quarters of men; in India only a third
of women are in the labour force.
In developing regions, up to 95 per cent of womens employment is informal, in jobs that are unprotected by labour
laws and lack social protection, the report says. Simultaneously, women shoulder the bulk of the burden of unpaid
care work. In India, for instance, women do nearly six hours of unpaid care and housework every day as compared to
half an hour for men, UN Women found. While on average globally, women are paid 24 per cent less than men, the
gaps for women with children are even wider. In South Asia, the gender pay gap is 35 per cent for women with
children compared to 14 per cent for those without.
Care penalty
This is a care penalty that unfairly punishes women for stepping in when the State does not provide resources and it
affects billions of women the world over. We need policies that make it possible for both women and men to care for
their loved ones without having to forego their own economic security and independence, UN Women Executive
Director Phumzile Mlambo-Ngcuka said.
UN report says women are forced to work under harsh conditions

125. Instant self-test HIV kit goes on sale online in Britain

Britains first legally-approved HIV self-testing kit went on sale online on Monday, promising a result in just 15
minutes with a 99.7 per cent accuracy rate.
Developers hope the BioSure HIV Self Test will help identify the estimated 26,000 people in Britain who have HIV
but do not yet know.
Knowing your HIV status is critical and the launch of this product will empower people to discreetly test themselves
when it is convenient to them and in a place where they feel comfortable, explained BioSure founder Brigette Bard.
Early diagnosis reduces the risk of passing the disease on to other people and also raises the success rate of modern
treatments, which now make the disease manageable.
Over 40 per cent of people living with HIV are diagnosed late, meaning they have been living with HIV for at least
four years, said Deborah Gold, chief executive of the National Aids Trust (NAT). People diagnosed late are 11 times
more likely to die in the first year after diagnosis, she added.
The kit reacts to antibodies proteins made in response to the virus in a drop of the persons blood, producing two
purple lines in the event of a positive diagnosis. The self-test, which is only available via the Internet, can only detect
antibodies three months after the patient has become infected, and is not effective during this initial period, and all
positive results must be confirmed by professional health workers, experts said.
Rosemary Gillespie, chief executive at HIV charity Terrence Higgins Trust, said it was great to see the first self-test
kits being approved.

Currently, those who fear they may have been infected have to collect a blood sample at home and send it to a
laboratory, waiting five days for the result.
There are almost 110,000 people in Britain living with HIV, which can lead to AIDS if the sufferers immune system
becomes badly damaged.
A similar test in the U.S. has been available since 2012, giving a result in around 30 minutes from a sample of the
persons saliva or blood. AFP
It promises a result in just 15 minutes with a 99.7 per cent accuracy rate

126.Modi, Ghani talk trade, terror

India is keen to be included in the Afghanistan-Pakistan Transit Trade Agreement and it will welcome Afghan trucks
on the Wagah-Attari border with Pakistan, said Prime Minister Narendra Modi as he addressed a joint press
gathering along with visiting Afghanistan President Ashraf Ghani.
Mr. Ghani, who is making his first state visit to India, said he hoped to increase regional cooperation where the
energy of Central Asia will flow to South Asia, where pipelines, fibre optics, railways, and connectivity, air, ground
and virtual will connect us. Neither side signed any agreement but announced that they would clear a motor vehicles
agreement soon, as well as expedite the development of the trade route from Afghanistan to India via Irans Chabahar
port, which would allow both countries to circumvent objections from Pakistan.
Shift in stand
The Prime Minister told Mr. Ghani that India shared Afghanistans pain over persisting terrorism and was deeply
grateful to the Afghan security forces for protecting Indians in Afghanistan as they would their own. Mr. Ghani said
we must have a unified approach, we must be united both in the region and globally to contain this terror.
Mr. Ghanis words indicate a shift in Afghanistans position on countering terror, from charging Pakistan with
complicity in attacks by the Taliban, to a more cooperative approach with Pakistan. In another shift from his
predecessor President Hamid Karzais stand, he referred to the IS rather than the Taliban and LeT as the next big
challenge for the country.
After talks, Mr. Ghani made an unusual reference to Rabindranath Tagores story Kabuliwala , saying it had built a
brand image for Afghanistan in India that no amount of money could have paid for in advertising.

127. Operation Maitri to continue

Operation Maitri, Indias Army-led rescue and relief mission in quake-hit Nepal, would continue till normalcy
returned to the Himalayan country, the Army said here on Tuesday.
The Indian rescue mission succeeded in evacuating 170 foreign nationals belonging to the U.S., the U.K., Russia and
Germany, Foreign Secretary S. Jaishankar said.
So far, over 5,000 Indians have been brought back from Nepal by Air Force and civilian planes
There is no set time frame. We will continue our efforts till normalcy returns to Nepal, Major General Ranbir Singh,
ADG (Military Operations), told journalists. Chief of Army Staff Dalbir Singh, he said, was in regular touch with his
Nepalese counterpart Gaurav Shumsher Jung Bahadur Rana.
Stepping up efforts to help rebuild Nepal, India had sent a cumulative relief material of 24 tonnes to the interior
areas, Defence Secretary R.K. Mathur said. Kathmandu and Pokhra would be used as bases for helicopters to fly to the
affected areas. The Army, the ADG said, had sent 18 medical teams (comprising 20 people each), and 12 engineer
teams of about 60 to the neighbouring country. While the engineers were helping to clear the rubble from blocked

roads, the power assessment team had managed to restore electricity in major areas. The medical teams had
performed 65 surgeries and treated 540 trauma cases, the ADG said.
'Healing touch'
In order to provide a healing touch, we have sent several Gurkha soldiers employed in the Indian Army to their
respective areas in Nepal.
Earlier in the day, spokesperson in the External Affairs Ministry Vikas Swarup tweeted: Friends in need. India
assisted in evacuation from Nepal of 170 nationals from 15 countries via commercial & IAF aircraft.
Minister of State Dharmendra Pradhan also arrived at the Patna airport and instructed officials to ensure that there
was no impediment to the supply of petroleum products to Nepal.

128.NREGA, the only insurance for India

The World Bank on Tuesday said that the spike in unmet demand for MGNREGA jobs is an indicator of increasing
rural distress. Since the scheme is the only and therefore the best bet India has for mitigating the impact on the poor
of the recent unseasonal rains, the government should take steps aimed at arresting delays in wage payments and the
rising unmet demand for jobs.
If you are a State hit by the unseasonal rains, now is the time to tell those responsible for implementing the
MGNREGA to give their bestit is the only insurance India has, said World Bank Country Director in India Onno
Ruhl. He was speaking at the release of the Banks latest India Development Update which analyses the performance
of the scheme in States such as Bihar.
The update projects that provided there is a pick-up to 11 per cent in the rate of investment in the economy, growth in
the current year would be 7.5 per cent, 7.9 per cent in 2016-17 and 8 per cent in 2017-18.
The government has made progress in several policy areas, and long-term prospects for growth remain bright for
India, said Mr. Ruhl. Continuous strong momentum in reforms aimed at strengthening the business environment
and enhancing the quality of public spending will further unleash the productivity that Indian firms need for creating
jobs and becoming globally competitive, he said. He stressed the need for reducing the pipeline of stuck projects,
especially in the Public Private Partnership space for lifting the investments rate. Balance sheets of both companies
and banks, he said, are stressed due to the stuck projects.
The analysis of MGNREGA in the update shows that the programmes impact on rural poverty in Bihar is only 1
percentage point as against its potential of reducing poverty by at least 14 percentage points. Among the main reasons
why the potential is not being realised, the study says, is that the supply side is too slow to respond to the demand for
work from the poor, workers not receiving the full scheme wage and delays in wage payments. Discrepancies in the
stipulated wage rages and the actual wages received by workers are contributing to the gap between potential and
realised impactspayment delays have emerged as a major bottleneck and are a strong disincentive to participating
in the programme, said a statement. If MGNREGA were to be implemented effectively, its design would ensure that
there is no unmet demand for work, said the studys author and lead economist at the Bank Rinku Murgai.
Effective implemen-tation will ensure there is no unmet demand for work: World Bank

129. Seniority bogs down judicial appointments: Centre

In a sharp criticism of the highest judiciary, the Centre said on Tuesday that judicial appointments over the years had
been bogged down by the seniority aspect, leaving no place for merit.
The criticism came during a hearing on the validity of the National Judicial Appointments Commission law before a
Constitution Bench.

We have been so bogged down by seniority that every judge who came from the High Court [to the Supreme Court]
was a Chief Justice of a particular High Court, Attorney-General Mukul Rohatgi submitted.
Mr. Rohatgi said the quality of merit was hardly the primary consideration. He gave the examples of apex courts in
countries such as the United States where the Chief Justice was the youngest among the sitting judges.
Justice J.S. Khehar, who heads the five-judge Bench, said the criterion of seniority was not something the government
should tinker with or breach.
Otherwise, somebody down the line can think that he could oblige the executive and get himself taken in, Justice
Khehar said. In other countries, there is no basic structure doctrine [of separation of powers and independence of
judiciary].
The discussion started when the Bench found the wording of Section 5 (1) of the NJAC Act vague. The provision
dealing with the appointment of the Chief Justice of India says the senior-most judge would be appointed CJI,
provided he is fit.
What does fit mean here? Does this mean a person is suitable if he is fit or strong? the Bench asked.
Quality of merit is hardly the primary consideration, says Attorney-General

130. 100 cities to turn smart

The Union Cabinet on Wednesday cleared one of Prime Minister Narendra Modis most favoured projects 100
smart cities spread across the country and a new urban renewal mission named after Atal Bihari Vajpayee,
replacing the existing one named after Jawaharlal Nehru, with a total outlay of nearly Rs. 1,00,000 crore.
The meeting, chaired by Mr. Modi, approved the Smart Cities Mission for development of 100 smart cities and the
Atal Mission for Rejuvenation and Urban Transformation (AMRUT) of 500 cities, which replaces the Jawaharlal
Nehru National Urban Renewal Mission, with outlays of Rs. 48,000 crore and Rs. 50,000 crore, respectively, said
highly placed sources in the Urban Development Ministry.
The smart cities mission is aimed at recasting the urban landscape of the country by making cities more liveable and
inclusive, besides driving economic growth, Ministry sources said.
Each selected city under the ambitious scheme would get Central assistance of Rs. 100 crore a year for five years. The
mission aims to release funding depending on multi-pronged progress of the projects and makes citizen participation
an integral part of the planning of these cities.

131.Changes in Act will make graft heinous crime

The Union Cabinet on Wednesday approved amendments to the Prevention of Corruption Act, 1988, that provide for
classifying corruption as a heinous crime and longer prison terms for both bribe-giver and bribe- taker. The proposed
amendment will also ensure a speedy trial, within two years, for corruption cases.
The proposed amendments would fill in perceived gaps in the domestic anti-corruption law and also help in meeting
the countrys obligations under the United Nations Convention Against Corruption more effectively, an official privy
to the decision said. The measures approved include penal provisions being enhanced from minimum six months to
three years and from maximum five years to seven years.

132. Cabinet delinks Assam from new border pact

The Union Cabinet on Wednesday approved the long-pending and controversial Land Boundary Agreement with
Bangladesh, ahead of bringing the Constitution Amendment Bill associated with it in Parliament next week. However,
in a major departure, it has de-linked Assam from the agreement for now.
Top ministerial sources told The Hindu that the decision was taken after External Affairs Minister Sushma Swaraj
briefed her colleagues on the amended agreement and told them that the changes had been conveyed to the
Bangladesh government.
The latter had agreed to these amendments, these sources said, stressing that the Sheikh Hasina-led government had
acquiesced to the changes as it was constantly being accused by its political rivals in the country of being pro-India
and yet not deriving any advantage from that association.

133.Pak. must open Wagah for trade: Ghani

Signalling that Afghanistan is upset with Pakistan over its refusal to allow direct trade with India via the Wagah border,
President Ashraf Ghani says that if the deadlock continues, We will not provide equal transit access to Central Asia [for
Pakistani trucks].
Mr. Ghani, who was in India on his first state visit, told The Hindu in an exclusive interview that it was a question of
sovereign equality, and Pakistan must accept the national treatment clause agreed to in the Afghanistan Pakistan Transit
and Trade Agreement (APTTA), signed in 2011, which gives each country equal access up to the national boundaries of both.
At present, Pakistan allows Afghan trucks carrying goods meant for India only up to its last checkpoint at Wagah, and not to
the Indian checkpoint at Attari, less than a kilometre away. On Tuesday, Prime Minister Narendra Modi said India was keen
on a trade agreement with Afghanistan that would include India in the APTTA. On Wednesday, Mr. Ghani met
representatives of Indian chambers of commerce and leading businessmen, who expressed similar problems with land trade.
Making a strong call for India and the rest of the region to unite against the Islamic State, or Daesh, which he said had
challenged countries from India to Russia, Mr. Ghani said the IS threat was different from that posed by groups such as the
Taliban, which wanted to overthrow the state. Now the prize is not the state, it is destruction. Our territory is being made
the battleground. Our people are being killed brutally to show a spectacle. We all need to mobilise as a region, he said. He
denied downplaying the threat from Pakistan-based groups such as the Lashkar-e-Taiba and the Tehrik-i-Taliban Pakistan,
saying the drivers have changed.

China ready to work on trilateral cooperation

China would like to address the issue of trade imbalance and is willing to provide greater opportunities to India for
exports, its Ambassador in New Delhi Le Yucheng said here.
China takes the Indian concern of trade imbalance very seriously, he said in a written interview with The Hindu ,
which was followed by an interaction.
Asserting that Beijing was willing to work with India to conduct trilateral cooperation involving other South Asian
nations, Mr. Le said there was no basis to the fear that India would be encircled by China.

270 on death row in India, 64 sentenced last year: Amnesty

Indian courts handed down at least 64 death sentences last year, but no executions took place, largely as a result of
court rulings, new data from Amnesty International shows. Globally, executions fell by a fifth, and two-thirds of the
world has abolished the death penalty.
China continues to execute the most people globally thousands every year, the human rights group said in a new
report published early on Wednesday but does not publish any data. Iran, Iraq and Saudi Arabia accounted for
nearly three-quarters of the rest of the worlds executions in 2014.

The United States of America executed 35 people, its fewest in 20 years.

In India, which saw the execution of Ajmal Kasab in late 2012 and Afzal Guru in early 2013 after a gap of eight years,
several executions scheduled for 2014 were put on hold.
In January, a landmark Supreme Court ruling laid down guidelines for death sentences, including classifying delay in
the disposal of mercy petitions as grounds for commutation, as also mental disability. Information reported by the
Death Penalty Research Project of the National Law University in Delhi indicated that 270 people were on death row
in various Indian prisons, and eight mercy petitions were rejected in 2014.
Pakistan lifted a six-year moratorium on executions after the Peshawar school massacre. Seven people were executed
in 2014. As of Tuesday, 66 people have been hanged since the lifting of the moratorium, and Amnesty estimated that
8,000 more persons were on death row.
Governments using the death penalty to tackle crime are deluding themselves. There is no evidence that shows the
threat of execution is more of a deterrent than any other punishment, said Salil Shetty, Amnesty Internationals
Secretary General, said in a statement.

Japan could join AIIB by June

Bowing to pressure from its powerful business groups, Japan could join the China-led Asian Infrastructure
Investment Bank (AIIB) in the next few months, deserting the United States Tokyos foremost post-war ally, says a
media report.
The Financial Times , quoting Japans Ambassador to China, Masato Kitera, reported that Tokyo would sign up to the
AIIB by June, missing the March 31 deadline for applying as a founder-member of the lender.
The business community woke up late, but now they have mounted a big campaign for the AIIB which appears to be
very effective, Mr. Kitera was quoted as saying.
But in Tokyo, the FT report evoked an ambivalent response. Japans Chief Cabinet Secretary Yoshihide Suga said on
Tuesday that the Ambassador had not made any such comment and Japans position on the AIIB was unchanged.
I have been informed that it is not true that Ambassador Kitera made such remarks forecasting [Japans]
participation, Mr. Suga told a news conference. But he added that, I think its impossible for Japan to take part
today, not ruling out a reversal of position later.
Reuters quoted an unnamed Japanese government source as saying, We have not ruled out the possibility of either
joining or staying out.
In Beijing, Chinese foreign ministry spokesperson, Hua Chunying, said on Tuesday that Japan was welcome to join
the bank, but Tokyo would have to take the call.
As for whether or not Japan is willing to participate, we have previously said that we welcome all countries to
proactively participate, she observed.
She added China would respect the wishes of any country whether or not they join or when they decide to join.
Mitsubishis support
According to FT , a group of Mitsubishi Group executives based in China have offered support during their meeting
this month with Jin Liqun, who has been designated to run the infrastructure bank.
The Japanese find Mr. Jin a familiar face because of his position as a senior official at the U.S. and Japan-backed
Asian Development Bank (ADB).

The Japanese industrial houses see participation as beneficial, as the AIIB will be at the heart of building
infrastructure in the region, offering substantial business opportunities. Besides, collaboration with the Chinese could
help mend frayed ties between Beijing and Tokyo, highlighted by a dispute on a group of islands in the East China
Sea.
Analysts say that over time, the U.S. could change its position towards the new bank. However, on Monday, visiting
U.S. Treasury Secretary, Jack Lew, said in Beijing that Washington still had its concerns about the standards that the
AIIB would maintain.
We very much welcome Chinas increased participation in infrastructure investment, and the concerns weve raised
about the needs for standards continue, Mr. Lew said. He added: The initial decisions of what kinds of projects are
invested in will obviously be a very important signal as to how theyll proceed.

U.S. problem is now home-grown terrorists

According to the U.S. National Counter Terrorism Centre, more than 20,000 citizens from about 90 countries have
joined the terror group till February 2015, including 3,400 from western countries. However, India, which has the
worlds second largest Muslim population, has only about a dozen documented cases of youth fighters in Iraq and
Syria.
Former U.S. Assistant Secretary for Homeland Security David Heyman said the U.S. isnt just concerned about
recruits travelling to join the IS, but the problem of home-grown terrorists trained over the Internet by IS online
propaganda.
The U.S. set up its architecture for national security based on the idea that we would fight terrorists abroad, but we
also put in place the ability to prevent them from coming to the U.S. Now, its much harder to detect, as its all
happening inside the country, Mr. Heyman said, citing the 2013 Boston Marathon bombing. According to the expert,
the U.S. national strategy is now to work with communities and elders to try and prevent radicalisation.
Mr. Heyman has been a key interlocutor for the India-U.S. Homeland Security dialogue established in 2010, and feels
India and the U.S. must cooperate much more closely on new-age threats of cyber attacks and bio-warfare. He said
the homeland security dialogue that comprises high-level discussions on many security challenges has become the
best element of the India-U.S. strategic relationship, and pointed to the success of information sharing and
cooperation in the field of countering counterfeit currency and drug smuggling.
We have had hundreds of exchanges, across the spectrum we had cooperation like our exceptional information
sharing on countering counterfeit and drugs, he added.

Palestine joins ICC

Palestine formally joined the International Criminal Court (ICC) on Wednesday, a move the Palestinians hope could
open the door to the possible prosecution of Israelis for alleged war crimes.
The accession was marked at a closed-door ceremony at ICC headquarters in The Hague, exactly 90 days after
Palestine joined the courts founding Rome Statute.
The Palestinians called on Israel to also join the global court, which was set up in 2002 to try crimes against
humanity, war crimes and genocide.
Exasperated after decades of failed negotiations with Israel and no prospect of achieving statehood anytime soon,
Palestinians have been waging a campaign for recognition at international bodies including the ICC.
Palestine seeks justice, not vengeance, Foreign Minister Riad Malki said after received a symbolic copy of the Rome
Statute at the ceremony.

Israel should join us in becoming a member of the International Criminal Court, Mr. Malki said. AFP

IS enters Palestinian camp

Islamic State militants infiltrated a Palestinian refugee camp in Damascus on Wednesday, marking the deepest foray
yet by the extremist group into the capital, seat of President Bashar Al-Assads power, Syrian opposition activists and
Palestinian officials said.
Islamic State fighters, who control large swaths of territory in northern Syria, entered the Yarmouk camp from the
nearby Hajar Aswad neighborhood in southern Damascus and were clashing with a Palestinian group inside the
camp. If they gain full control of the camp, they can potentially threaten the heart of the capital.
Yarmouk, a Palestinian refugee camp in southern Damascus, has been under government siege for nearly two years.
The camp had witnessed fighting in the past between government forces and militants who control much of the camp.

Obama approves sanctions against cyber-attacks

President Barack Obama on Wednesday authorised imposing economic sanctions on U.S. and foreign hackers,
allowing the government to block the assets of persons involved in cyber attacks on U.S. targets.
Starting today, were giving notice to those who pose significant threats to our security or economy by damaging our
critical infrastructure, disrupting or hijacking our computer networks, or stealing the trade secrets of American
companies, Mr. Obama said in a blogpost released by the White House.
He added that cyber threats pose one of the most serious economic and national security challenges to the United
States, and that the sanctions will take aim both at hackers and against companies that knowingly use stolen trade
secrets to undermine our nations economic health.

Buddha link high on PMs eastern foray

Buddhism will be the common thread of Prime Minister Narendra Modis visit to China, South Korea and Mongolia
from May 14 to 19. The government is keen on drawing up a Buddhist connect as part of its Look East, Act East
policy, a senior official said.
Ahead of the Prime Ministers visit to Beijing on May 14, a senior Chinese Buddhist guru was in Delhi this week to
mark 65 years of the establishment of India-China relations. Buddhism is the way to improve bilateral ties, Vajra
Master Jinke Xuanlei told a parliamentary group on India-China relations.
Mr. Modi is well aware of the connections that Buddhism has in the entire region, and who better to string it together
than India, the home of the Buddha, Tarun Vijay, BJP MP and President of the parliamentary group, said.
Rejecting the criticism that Mr. Modis outreach to Buddhism was not accompanied by similar connections to historic
Islamic and Christian sites, Mr. Vijay told The Hindu that the reason for the governments Buddhist message was that
it was a cultural one, not a religious one.
During Mr. Modis visit to the East, officials are considering several options to take the Buddhist initiative forward.
In China, he will visit President Xi Jinpings hometown of Xian, where Chinese officials say both leaders are expected
to go see the Great Wild Goose pagoda, dedicated to famous Buddhist pilgrim Hsuan Tsang (Xuanzang). Xian houses
the monastery where Hsuan Tsang wrote about his travels to India 1,400 years ago. At the Vibrant Gujarat summit,
Mr. Modi mentioned Hsuan Tsangs visit to his own hometown of Vadnagar, where ASI excavators are searching for
Buddhist relics.
Bhutans PM Tshering Tobgay was taken on a tour of the sites being excavated in January.

In South Korea, Mr. Modi is expected to transplant a Bodhi tree sapling that India had sent to Seoul last March and
has now grown to a height of 160 cm, diplomats say. The Prime Minister could replant it in Seoul or Busan, 50 per
cent of whose population are Buddhist. Similar plans are being made for his visit to Ulan Bator, where 53 per cent of
the population belongs to the faith.
In the past year, the Buddhist-arc initiative has been visible in all of Mr. Modis visits to Buddhist countries.
During the ASEAN-India summit in Myanmar in November 2014, Mr. Modi discussed packaging a tour of Buddhist
sites across ASEAN countries for travellers, while India has made grants to maintain sites in Bhutan and Nepal during
his visits there.
In Japan in September, he prayed at the famous Toji and Kinkakuji Buddhist temples, and in Sri Lanka this March, he
addressed Buddhist monks at Colombos Mahabodhi Temple and prayed to the Mahabodhi tree in Anuradhapura.

Sri Lanka restoring ties with India

Sri Lanka is now reverting to a foreign policy based on a principle of dynamic active non-alignment, the former
President Chandrika Kumaratunga said.
Speaking to The Hindu she said the country was working hard to re-establish good relations with India after they
were completely sabotaged by the past government.
Ms. Kumaratunga who met Prime Minister Narendra Modi during his visit to Sri Lanka in March said Mr. Modi,
was the first Indian Prime Minister to visit the country in a long time, and also two months after the new government
came in. So it was a very strong message of friendship that he gave us.
Ever since her return to politics late 2014, backing the joint opposition platform against former President Mahinda
Rajapaksa, Ms. Kumaratunga has been actively engaged in the reconciliatory efforts of the new government under
President Maithripala Sirisena.
Attired in a summery white kurta and trousers, Ms. Kumaratunga spoke to this correspondent in the high-roofed
reception room of her home in the heart of Colombo.
Currently focusing on rebuilding the Sri Lanka Freedom Party (SLFP) founded by her father S.W.R.D.
Bandaranaike, subsequently led by her mother Sirimavo Bandaranaike and later herself which according to her was
effectively weakened by Mr. Rajapaksa, she plans to travel across the country with President Maithripala Sirisena to
speak to the people at the field level and alleviate the problem.
Mr. Rajapaksa, she said, was defeated by the people of Sri Lanka in a democratic election mainly for his bad
governance his familys corruption, the lack of human rights and some murders and the lack of freedom overall.
Commenting on the regime change that the island witnessed in January, the former President said: One thing that
everybody says, including his ministers, is that even if we get nothing the feeling of freedom we have, after the
Rajapaksas went, is so great. This was a police state. The people voted them out.
After the new government took over, the engagement between Colombo and the Tamil National Alliance, the main
Tamil party representing Sri Lankas northern Tamils, in her view, has been excellent. They [TNA] have to shout
once in a while to keep their identity but we have very good relations, she said, on concerns raised by sections within
the TNA over the pace and direction of the new governments efforts.
Observing that she would now like to contribute to reconciliatory efforts in the country, Ms. Kumaratunga however
ruled out returning to electoral politics. Asked if her son Vimukti would amid local reports speculating on his entry
to politics she said: I dont want to speak for my son but I definitely will not come into electoral politics. I think it is
very ugly.

This, she noted, despite sections among the international community insisting that she consider returning. On
whether India was among those countries keen on her return, no comments, she said.
Sri Lanka is now reverting to a foreign policy based on a principle of dynamic active nonalignment

Iran, world powers reach n-accord

The U.S., Iran and five other world powers on Thursday announced an understanding outlining limits on Irans
nuclear programme so it cannot lead to atomic weapons, directing negotiators toward achieving a comprehensive
agreement within three months.
Reading out a joint statement, European Union foreign policy chief Federica Mogherini said a decisive step after
more than a decade of negotiations had been achieved.
Iranian Foreign Minister Mohammad Javad Zarif followed with the same statement in Farsi.
U.S. Secretary of State John Kerry and the top diplomats of Britain, France and Germany also briefly took the stage
behind them.
In a tweet, Mr. Kerry said there was an agreement to resolve major issues on nuclear program. Back to work soon on
a final deal.

Positives changes on the cards in Nigeria

Up until now, elections in Nigeria always invoked two forebodings about their credibility and their violent
aftermath. On both counts, the countrys fifth presidential election held on March 28 proved to be anticlimactic. Not
only was the hotly contested election the most transparent and fair in Nigerias history, there was also minimal
violence in its wake. Incumbent President Goodluck Jonathan created a precedent by acknowledging electoral defeat
and congratulating his opponent General (retd.) Muhammadu Buhari.
These two were not the only shibboleths broken by the elections. Nigerias fractious opposition coalesced to form the
All Progressives Congress (APC) in 2013, to pose a credible challenge to the formidable nomenklatura-based Peoples
Democratic Party (PDP). Second, many Nigerians defied the lucre of incumbency (stomach infrastructure) meant to
perpetuate the status quo. Although cut by deep religious, ethnic and linguistic fault lines, the electorate
demonstrated maturity and unanimity to elect a new President to tackle insecurity, corruption, unemployment, power
shortage and poor governance areas where the incumbent administration was perceived to be deficient.
The six-week postponement of the elections and the string of military successes against Boko Haram did not deflect
the voters perception. Nor were the voters swayed by the shrill attacks the PDP made on Gen. Buhari: on his age (72),
his educational qualification, the harshness of his previous 20-month rule as military dictator (1983-85), and his piety
for Islam. Gen. Buhari got 15.4 million votes, defeating Mr. Jonathan who got 12.8 million votes. Gen. Buhari got
more than 65 per cent of his lead from Kano state alone, while President Jonathan was deeply entrenched in the south
and south-east.
Nevertheless, the elections also reflected some serious systemic shortcomings. These ranged from electronic glitches
and low voter turnout to rigging and voter intimidation (albeit on a lower scale), as well as the north-south and
Muslim-Christian polarisation.
Simultaneously, elections were also held for the National Assembly. There, too, the APC clinched the majority. The
next round of elections is on April 12, when the State Governors and members of the local bodies will be elected. The
new President is to take over on May 29.
Road ahead

Formidable challenges await the new President of Nigeria, Africas most populous country and its largest economy.
Although Boko Haram is currently on the run, President Buhari must not underestimate its capacity to bounce back.
He should adopt a comprehensive strategy that includes socio-economic measures, and strengthen the armed forces.
Although the promised vigorous anti-corruption drive is desperately needed, it must not degenerate into either a
witch-hunt or political score-settling.
On the economic front, a sharp decline in crude prices has devastated Nigeria, which depends on oil for 80 per cent of
its government revenue and 95 per cent of its exports. Economic growth is expected to plummet to 4.5 per cent in
2015, and the Nigerian Naira has declined by 26 per cent. Unpopular contra-measures such as cutting subsidies,
downsizing a bloated bureaucracy, economic reforms, raising taxes and ensuring their compliance will be imperative.
Ridding Nigeria of its deeply entrenched socio-economic malaise could be resisted by powerful personalities and
lobbies, making any progress arduous. The oil sector, stagnant for the past decade, is primed for revamp. More
inclusive economic growth can also open vast pent-up opportunities in services, power generation, manufacturing etc.
While Nigerias pro-West foreign policy may continue, a Muslim Presidency in Abuja could manifest in closer ties
with the Islamic world.
Given the countrys size, large oil production, and its potential under better governance, the coming transition will
have an impact beyond Nigerias borders. India has a very substantive and cordial engagement with Nigeria, being
Nigerias largest trading partner and Indians being the largest non-African expatriate community there. More than
hundred Indian companies operate in Nigeria with an investment of over $11 billion. Gen. Buhari coming to power is
expected to have an overall positive impact on India-Nigeria ties for two reasons. First, Gen. Buhari is familiar with
India, having trained at the Defence Staff College, Wellington in 1973. Second, his promised drive against corruption
and maladministration , if successful, could provide a more level playing field for Indias entrepreneurs.

India advises Nepal to reach compromise on Constitution

In his meetings with Nepals political leadership here in the past two days, Foreign Secretary S. Jaishankar conveyed
New Delhis desire to see political stability in Nepal so that the country can move ahead on development.
For this, India wanted the leadership to narrow down its differences over the new Constitution and draft it quickly.
India wants Nepals political leadership to write the Constitution with the broadest possible compromise, Mr.
Jaishankar said in his meeting with Prime Minister Sushil Koirala at the latters office in Singha Durbar, according to
a Nepalese official who was present during the discussion.
We would like to see the Constitution promulgated under your leadership.
Mr. Koirala said Nepal supported Indias candidature for the permanent membership of the United Nation Security
Council. Mr. Jaishankar had sought Nepals support on Thursday.
Mr. Koirala, according to a statement issued by his press coordinator, said bilateral relations had become more
cordial after the agreements signed between the two countries during Prime Minister Narendra Modis visit.

Talks on over a BRICS rating agency

After successful moves to form the Asian Infrastructure Investment Bank (AIIB), China, along with experts from the
Brazil, Russia, India and South Africa, is holding talks to form a BRICS rating agency that will break the monopoly of
the Big Three Fitch, Moodys and Standard & Poors.
Russias Sputnik, its own agency, quoted Russian Sous-Sherpa for BRICS, Vadim Lukov, as saying that Chinas
Dagong rating agency and the Russians are at the heart of the talks for creating a new independent agency.
The demand for a parallel rating agency escalated after Western agencies downgraded the creditworthiness of
Moscow following the crisis in Ukraine.
Xinhua news agency quoted Guan Jianzhong, the president of Dagong, as saying that the lowering of Russias credit
ratings by three Western rating agencies was politically motivated.

Mr. Guan said that while arriving at a countrys credit rating, the U.S.-based rating agencies applied the criteria of
political system, per capita GDP, independence of a countrys central bank, economic system and the level of market
privatisation, as well as the right to issue international currency reserves.
They are all ideological criteria and have nothing to do with a central governments ability to generate revenues and
its ability to repay debts. If one uses these standards to assess credit risks of the United States, one may come to the
conclusion that the U.S. economy would never default, because they can repay their debts by printing more money. It
is obvious that these criteria are unfair, said the president of Dagong.
Mr. Lukov pointed out that the Big Three have also published negative 2015 outlook for Mercosur countries a subregional economic bloc comprising Argentina, Brazil, Paraguay, Uruguay and Venezuela alongside associate countries
Bolivia, Chile, Colombia, Ecuador and Peru.
The Financial Times had earlier reported that BRICS countries have long deliberated on plans to establish their own
rating agency, along with the formation of the new development bank.

Kenyatta vows harsh action against Shabab

Kenyas President has vowed to take harsh measures against Islamist militants after they attacked a school near the
Somali border, killing 148 people.
President Uhuru Kenyatta warned on Saturday in a nationally televised address that the planners and financiers of
attacks like the one in Garissa town are deeply embedded in our communities.
Mr. Kenyatta said his administration shall respond in the severest ways possible to the Garissa attack, which
occurred on Thursday when four gunmen entered a campus and slaughtered students. The military moved in hours
later and the gunmen were killed.
We will fight terrorism to the end, said Mr. Kenyatta. I want you to know that our security forces are pursuing the
remaining accomplices. We will bring all of them to justice ... We are also in active pursuit of the mastermind [of the
Garissa attack] and have placed a reward for his capture, he said. He also declared three days of national mourning
over the Garissa attack.
Mr. Kenyattas nationwide address came after Somalias Islamist extremist group al-Shabab warned of more attacks
in Kenya like the assault on Garissa University College.
Five people have been arrested on suspicion of involvement in the Garissa attack, a Kenyan official said.
Kenyan security agencies arrested three people trying to cross into Somalia, said Interior Ministry spokesman
Mwenda Njoka in a Twitter post.
He said the three are associates of Mohamed Mohamud, also known as Dulyadin Gamadhere, a former teacher at a
Kenyan Madrassa Islamic school who authorities say coordinated the Garissa attack. Kenyan authorities have put a
$220,000 bounty for information leading to Gamadheres arrest.
Two other suspects were arrested at Garissa college.
A survivor of the killings at Garissa University College was found on Saturday, two days after the attack by Islamic
extremists killed 148 people. AP

Pact on smart cities likely during Modis visit to France

Prime Minister Narendra Modi will get a first look at the future of his plan for 100 smart cities during his visit to
France this week, when he travels to the city of Toulouse. Sources toldThe Hindu that French President Francois
Hollande and Mr. Modi will discuss investment for the governments pet project. Puducherry and Chandigarh are top

contenders for development as a smart city as part of a bilateral agreement, though sources said Hyderabad and
Nagpur are also being considered.
While refusing to confirm which city would finally be announced during the visit, French Ambassador Francois
Richier told The Hindu , I am happy that we would be able to put our energies together for a smart city project,
which would allow us to bring together our understanding of urban development, preserving heritage and attracting
tourism for such places.
Mr. Modi is expected to spend a day in Toulouse on Saturday, as part of his nine-day, three-nation tour that will take
him to France, Germany and Canada. Sources say the Prime Minister is particularly interested in preserving
traditional archi tecture in India while modernising connectivity, sewerage and other amenities. A deal for a French
semi-high-speed train (about 140 kmph) may be announced during his visit.
The plan for smart cities, announced within weeks of his government being sworn in last May, is awaiting the
Ministry of Urban Developments blueprint. However, potential investors are said to be losing patience over the
choice of the locations, as well as a lack of clarity on what the parameters for the smart cities will entail.
Urban Development Minister M. Venkaiah Naidu is expected to unveil the governments vision shortly, but the delay
has caused concern for other projects, given a lack of coordination with some State governments.

Grooming women for jihad

The number of British women who have gone to Syria to join the jihadist forces of the Islamic State has been slowly
growing. Women are believed to account for around 10 per cent of the approximately 600 British citizens who have
left for Syria since the conflict began in 2013. Most of them are young, some no more than 15 and 16. They are won
over after a phase of grooming, primarily conducted online in a parallel world hidden from home, family and school.
Though the numbers of foreign women, at least from Britain, crossing over to Syria, are relatively small, they are
significant as they point to a new phase of occupation of Iraq and Syria by the Islamic State (IS). For the long-term
stability of the new power structure, jihadist fighters who have come from abroad must be allowed to start families
that will eventually replace the families they have left behind and may never see. Obedient wives who can manage the
domestic front and bear children are therefore important for the consolidation of the IS, and must be recruited from
the same countries and societies as the fighters come from.
Warnings and escapades
It was the case of the three girls from Bethnal Green Academy, who left for Syria this February in a daring getaway,
that underscored the strength of the pull factors that operate on young women. The friends, Shamima Begum (15),
Kadiza Sultana (16), and Amira Abase (15), were brilliant students with loving families who had no knowledge of their
daughters plans to leave Britain. Pieces of the jigsaw puzzle fell into place in evidence given by the police and the
families before a Home Affairs Select Committee in Parliament in March. It transpired that the police has issued
letters to parents warning them to watch their wards for signs of radicalisation after a 15-year-old girl left for Syria in
December last year. Instead of handing over the letters directly to parents, the school management gave the letters to
the students to do so. The letters were later found in the girls rooms.
While much of the grooming of women takes place online, there is usually a real figure or contact who plays a
decisive role, someone who knows that a person wishes to leave and helps her make the decision. For the Bethnal
Green trio, this person, it is believed, was their friend who left for Syria in December. March alone saw three incidents
of young people, a majority of them women, travelling to Syria. In mid-March, Jaila Nadra H., a 21-year-old British
woman, was arrested by Turkish security services as she waited to board a bus to Syria in Ankara. In late March, High
Court judge Anthony Hayden barred five teenage girls two aged 15 and three aged 16 from going overseas, over
concerns that they would flee to Syria. He confiscated their passports and made them wards of the state, also
impounding the passports of their adult carers. More pertinently, he revealed that the girls were all pupils at Bethnal
Green Academy and knew the trio who had left the previous month. Around the same time, nine young British
medical students four women and five men from a medical school in Khartoum travelled to Syria and are
believed to be working in hospitals in IS-controlled areas. Their families tried hard to persuade them to come home at
the Turkish-Syrian border, but to no avail. All the women who have left have done so at their own free will, although
the persuasion exerted on girls who are barely in their teens would fall under a different category of online tutelage.

Arzu Merali, a writer and one of the founders of the Islamic Human Rights organisation, warns not to see the outflow
of young women as an exodus. She points to the growing alienation that young people feel, even those who are
bright but who do not have a lot of life chances. The environment in which they are living is really very negative [with]
the media making them feel miserable about being a Muslim, and a relentless, anti-Muslim discourse.
Vulnerabilities
Mussarat Zia of the Muslim Womens Network U.K. identifies some of the vulnerabilities faced by young girls in
relation to the IS-type grooming. The first is being approached. For bodies like the IS, the first stage was about
insurgency and picking up arms, she told The Hindu . Now they want to become more established, and part of that
is that they need women. They want marriages and children. For that they need to entice and lure women. She
argues that in the U.K. Muslim youth who already feel very isolated are not engaged with their society, and have
issues around identity. In addition to normal teenage anxieties, they also have to contend with the Islamophobic
rhetoric that is going on all the time.
In the case of young girls, Ms. Zia makes the interesting point that it is the sense of gender equality and freedom an
element of British law that inspires in young British Muslim women the desire to go to Syria like their male
counterparts. The images of beheadings and executions and torture are not shown to the girls. What they see are
images of people doing charity work, or images of girls on horseback with weapons. And I dont doubt that the girls
are told that the images we see is propaganda of the West, she said. Professor Kamaldeep Bhui, Professor of cultural
psychology and epidemiology at Queen Mary University, conducted a survey of attitudes towards terrorism in order to
establish a risk of radicalisation index. He and his team interviewed 600 Muslims in the 18-25 age group from the
Bangladeshi and Pakistani community in Bradford and London. Those who were attracted to or supported terrorism
were likely to be younger, in full-time education and generally financially stable. However, they were also more likely
to be depressed and socially isolated, the study found. Poorer migrants were less likely to be radicalised because they
could remember the problems of their homeland, and were occupied with the need to earn a livelihood.
So, it does seem to be a phenomenon born of people who are at least not poor, Dr. Bhui said. They are engaged in
trying to meet social objectives or havent really got enough hope and optimism left. They are looking for meaning in
their lives in all sorts of place. Take these young girls of 15 and 16. Do they ever know the kinds of restrictions that will
be imposed upon them when they arrive? They really have no idea; they want a bit of adventure and they have made
bad decisions.
Governments approach
Both Dr. Bhui and Ms. Zia feel that the many government-led interventions to help families recognise and tackle the
phenomenon of radicalisation have not been effective enough, although things are changing. Ms. Zia had herself
worked with the governments Prevent and Channel strategies. Rather than saying, you know, we need Muslim
mothers to come forward and tell us about behaviour changes in their children, we need to equip those women with
how to deal with behavioural changes, she said.
Dr. Bhui feels that there has been a welcome change in the approach of the government from their initial attitude
towards those who fled to Syria as criminals, they have become more sympathetic and sensitive in the programmes
they now conduct. On the whole the aim should not be not to criminalise them, but to safeguard them and realise
they are vulnerable, he said.

Pakistan, Sri Lanka ink n-deal

Pakistan and Sri Lanka on Monday signed six agreements including one on nuclear cooperation, two months after Sri
Lanka inked an atomic deal with India.
The agreements were signed after Pakistan Prime Minister Nawaz Sharif had a meeting with visiting Sri Lankan
President Maithripala Sirisena here. According to an official statement, the two countries signed a Memorandum of
Understating (MoU) for cooperation between Pakistan Atomic Energy Commission and Atomic Energy Authority of
Sri Lanka.

Investment worth $5-8 b. to be discussed during PMs France trip

Ahead of Prime Minister Narendra Modis maiden visit to Europe, where his first stop is Paris, Indian and French
officials are discussing a wide range of agreements spanning everything, from preserving heritage buildings to a space
mission on Mars.
According to sources, among the agreements that are expected to be signed after the bilateral meetings between Mr.
Modi and French President Francois Hollande are memoranda of understanding on space cooperation, tourism, antiterror training between the National Security Guard and Frances GIGN special ops forces (National Gendarmerie
Intervention Group) who were at the forefront during theCharlie Hebdo operations.
During his visit to Airbus headquarters in Toulouse, Mr. Modi is also expected to make a pitch for his Make in India
project to have more parts sourced from India, while President Hollande is pitching for India to join the climate
change convention to be adopted at the COP21 conference in Paris in November.
France wants to commit to assist with about 10 per cent of Indias projected 100 gigawatt solar power planned
capacity. India and France also plan to work together on Mr. Modis recently concluded Sagar initiative for 40
coastal surveillance radars where they will share scientific information to jointly help the islands of Seychelles,
Mauritius, and Reunion. As The Hindu reported, an agreement on building smart cities is being discussed as well.
Officials and businessmen on both sides will also discuss investment and manufacturing deals amounting between $5
billion and $ 8 billion to be finalised over the next five years, an official confirmed to The Hindu . More than a 1,000
French companies operate in India, according to French Embassy trade figures, totalling an investment of $18 billion,
growing at an average of 1 billion each year. Prominent among the deals being negotiated is one for $500-million
port infrastructure in Gujarat to be developed by the joint venture between the Adani group and Frances CMA CGM
group.
However, officials close to the negotiations said they didnt expect much headway on the two big deals that are being
negotiated, the commercial contract for the 9,900 MWe Jaitapur nuclear power reactor project, as well as the $20
billion deal for 126 Rafale fighter aircraft to be bought by the Indian Air Force. Both deals have been a cause for
concern at successive bilateral meetings, and were discussed during French Foreign Minister Laurent Fabius and
Defence Minister Jean Yves Le Drians visits in the past year.
The nuclear deal for Jaitapur has been negotiated since 2010 between Frances Areva and the Nuclear Power
Corporation of India (NPCIL). NPCIL officials have argued that the rate of Rs.9.18/unit is much higher than the
Rs.6/unit they are willing to pay, while Areva officials have contended that the price is pushed up over the high cost of
financing the project and the parameters of the European Pressurised Reactors (EPRs) that have higher safety
standards.
The Prime Minister will visit France from April 9-12, where he will travel to Paris, Toulouse, and a memorial near
Lille, before flying to Germany and Canada.

Malaysia passes tough anti-terror law

Malaysia was accused on Tuesday of waging an assault on civil rights as its Parliament passed a tough anti-terrorism
law aimed at countering Islamic militancy.
The new law allows authorities to detain terrorism suspects without charge for extended periods. The political
Opposition and legal and rights groups had urged its withdrawal, saying it could be used by the long-ruling
government to stifle political dissent

Economic ties high on Narendra Modis agenda

Economic ties are at the top of Prime Minister Narendra Modis agenda as he begins a nine-day three-nation tour of
France, Germany and Canada.

While in France, the Prime Minister will focus on technology development and tourism cooperation, in Germany he
will pitch the governments Make in India theme, and in Canada he will focus on investment potential and engage
with the Indian diaspora that numbers more than 1.2 million.
If I were to pick a common theme, then it is that all three G-7 nations are industrialised democracies. We have
considerable economic interests with them, and politically as democracies, we have convergence of views, said
Foreign Secretary S. Jaishankar, announcing the visit from April 9-17.
In France, the Prime Minister will travel to three places Paris for the bilateral visit and meetings with CEOs,
Toulouse to visit the Airbus factory; the French space authority CNES and discuss building smart cities with
officials, and then to the northern town of Lille where he will drive to a memorial for Indians who fought and died in
the first World War. One highlight of this visit will be a boat ride down the river Seine along with President Hollande,
taking in the sights of Paris on Friday evening.
It will be a naav pe charcha (chat on a boat) situation, quipped Mr. Jaishankar, referring to a similar tte--tte
with the U.S. President where Mr. Modi and Mr. Barack Obama shared a cup of tea, dubbedchai pe charcha after
their talks.
Walk through fair
In Hannover, the informal tte--tte with Chancellor Merkel will be held in the form of a walk through the Hannover
Messe industrial fair, where India is a partner this year. The two leaders will inaugurate the India pavilion, and will
walk together as they discuss the potential for German manufacturers to Make in India. We have a very big
presence of India with almost 400 Indian companies displaying their products and 100-120 CEOs being present.
Around 3,000 German business delegates will be there, and there is clearly a lot of enthusiasm for Make in India and
investment possibilities, Mr. Jaishankar said.
Mr. Modi will then travel to Berlin for the official State visit and bilateral talks, and will also go to see the Berlin
Railway Station, which is known as a model railway station.
Speaking to the media on Mr. Modis visit, German ambassador Michael Steiner said: I think it is fair to say that in
the economic world there is more optimism now. The interest of economic business from Germany has grown. Yes,
there is a change but it takes time.
His final stop in Canada will be driven by two themes investment in India and reaching out to the Indian-Canadian
community. It is the first stand alone visit by an Indian Prime Minister to Canada since 1973 and Mr. Modi will travel
to Ottawa, Toronto and Vancouver. In Toronto, the Prime Minister will meet pension investment fund owners,
especially to pitch for Indian stocks.
If you were to see Canadas assets, their top five investment firms alone control about $700 billion, so this is a major
investment potential for us, said an official. Mr. Modi will begin his official visit in Ottawa on April 15, and then meet
with Prime Minister Harper for bilateral talks.
Sources said a deal for nuclear fuel could be announced during the visit. In a Facebook post, Mr. Modi wrote that he
looks forward to Resuming our civil nuclear energy cooperation with Canada, especially for sourcing uranium fuel
for our nuclear plants.

A meeting in Paris
There is quite an air of anticipation around the Indian Prime Ministers visit to France. The governments foreign
policy pace has been enviable, and Narendra Modi has demonstrated a remarkable aptitude in gauging the mood and
the space to manoeuvre with various partners. He has revitalised old relationships and lent them his energy. He has
also achieved some real strategic gains, such as the one in Seychelles. The visit to France is pregnant with possibilities
that are rooted in a historic context and which now need to be leveraged on a broader plane.
France has always been a critical partner to India in high technology areas. Its bid to aid India in the diversification of
its defence sector began as early as 1953, when the Dassault-Ouragan fighters were supplied to the India Air Force

and played a leading role in the 1961 liberation of Goa. Significantly, when India-U.K. defence relations soured in the
1970s, France emerged as the only western power willing to supply India with state-of-the-art weaponry and support
its space programme and nuclear development. The importance of France as a key partner was accentuated in 1998
when, following Indias nuclear tests, France actively thwarted United Nations Security Council sanctions and forced
a toning down of the final language even as the Russians dithered. During that period, Indias agreement to launch
satellites from French Guinea stayed intact despite the sanctions imposed by other European Union countries across
a range of technological sectors, especially space. In 1999, during the Kargil war, the French maintained a supply of
spares to the IAF, which allowed it to operate without worrying about expending smart weapon reserves.
France was arguably the first western country to de-hyphenate its relations with Pakistan from those with India,
deciding that the artificial balance of power equation between the two was pass. Today, France is at the forefront of
Indias ambitions of modernising its sub-surface fleet. Scorpne class submarines are being built at Mazagaon docks
and Dassaults Rafale has won the Medium Multi-Role Combat Aircraft (MMRCA) tender. Indias only dedicated
military satellite, the GSAT-7, was launched from Ariane 5, from Kourou.
Despite all this, it seems as if the tenor of the Indo-French engagement is being determined only by the progress on
the Rafale deal. Much like the U.S. and India relationship, which had to find a way past the Civil Nuclear Agreement
that hung heavy like the proverbial albatross, the India-France partnership must move beyond the circular
meanderings that the negotiations look like to outsiders. One way or another, we must strive for an early conclusion,
as this is not just about one set of aircraft but about investment in a host of current and future possibilities presented
by Indias growing economic and geo-strategic strength. The Rafale deal must be placed in a broader framework of
association. This framework could include three key elements, among others.
Nuclear cooperation
The first is for France to translate into action its previously expressed acceptance of Indias stance of nuclear
exceptionalism and for the two countries to enter into full-spectrum collaboration. Such a partnership should be
aimed at reducing the incubation time of Indian nuclear technologies and would cover the full nuclear cycle, including
reactors, enrichment and reprocessing. This nuclear cooperation would logically extend into the sphere of military
nuclear propulsion. The upcoming French Barracuda class SSN, for example, is optimally suited to the Indian Navys
needs. If India buying the Rafale is the truest sign of Indias commitment to the relationship, then the nuclear
submarine may well be the litmus test of French reciprocity.
But, again, it is important not to get fixated only on the big-ticket items but to use the other opportunities that
signature government initiatives like Skilling and Make in India offer alongside these big deals. The French could,
for example, help develop the defence sector eco-system in India, especially in the small and medium segments,
investing in skills and capacity building here. This is where the real value addition takes place in the defence business
and this could be the differentiator between France and other countries.
The second element must be regional cooperation. Increasingly, the interests of the two countries have intersected
and their views tend to be similar even if their positions are not. Much of this is because Indian and French foreign
policies share the same fundamental view of strategic autonomy and refuse to cede security primacy to one or two
actors. It was because of this that India had, in 2013, co-sponsored a UN resolution that paved the way for French
intervention in Mali. This is why it needs to cooperate in the Indian Ocean, West Asia and North Africa. India and
France have significant interests here and it is perhaps time to build a robust platform for dialogue that will allow the
two nations to cooperate meaningfully.
West Asia and North Africa are in the midst of a turbulent period of dramatic change. Indias chief task is to secure its
energy source, the safety of its diaspora, and the stability of its extended neighbourhood. France will continue to play
a significant role in the region.
As for the Indian Ocean area, France is a major power here and has demonstrated some degree of interest in
cooperating with India. A focussed engagement would also be a natural extension of the collaboration envisaged here
between the U.S. and India earlier this year. Co-investing with France in a research facility located in Mauritius may
serve as the point of convergence for such a regional play. This could form the basis for intensified cooperation on
maritime domain awareness, building capacity in Indian Ocean Rim countries, and in honing synergistic strategies to
deal with humanitarian assistance and disaster relief.
Accord on climate

Finally, France is set to host the most important of climate conventions at the end of this year, one that will determine
the successor to the Kyoto Protocol. This makes for an important area where the two countries can cooperate. The
climate agreement can impact energy access and energy options for most countries, including India. The French are
familiar with the Indian effort to eliminate poverty and the principal role that low-cost energy could play in meeting
this goal.
The Paris climate meet will be an optimal moment for India to stop being defensive about the issue. It must
unhesitatingly showcase all that it has already undertaken and achieved in responding to the challenge of climate
change. It must clearly signal what it seeks from the outcome to protect its development space. And France, with its
agenda-setting capacity and consensus-building role, must strive to ensure a climate deal that is fair and equitable
and allows India critical room to manoeuvre.
(Samir Saran is vice-president and senior fellow at the Observer Research Foundation.)
France was arguably the first western country to de-hyphenate its relations with Pakistan from
those with India.
France was arguably the first western country to de-hyphenate its relations with Pakistan from
those with India.

Border enclave dwellers offer land

Eight days after Union Home Minister Rajnath Singh visited an enclave on the India-Bangladesh border, residents of
enclaves have written to Prime Minister Narendra Modi stating that they are ready to donate land required for
rehabilitation of people once the Land Boundary Agreement (LBA) is ratified. A letter addressed to the Prime
Minister was sent on Wednesday by the Bharat Bangladesh Enclave Exchange Coordination Committee, representing
the enclave dwellers on both sides of the border. During his visit to the Balapukhri enclave on March 31, the Home
Minister said the LBA, envisaging the exchange of enclaves, must be sorted out on humanitarian grounds. Our
organisation has identified around 100 acres that will be donated for rehabilitation of families living in Indian
enclaves in Bangladesh who may decide to come back to the Indian mainland, the letter said.
The communication said the organisation had submitted 15.7 acres of land free, along with donor declaration to the
district administration of Cooch Behar. Having conducted several rounds of extensive survey in both Indian enclaves
in Bangladesh and Bangladeshi enclaves in India, we would like to state that none of the residents of Bangladeshi
enclaves [located in India] demanded any rehabilitation. They only want Indian citizenship after ratification of LBA,
the letter stated. While 51 Bangladeshi enclaves with a population of 14,000 residents are located in Cooch Behar
district of West Bengal, 111 Indian enclaves with a population of 38,000 are located in four districts of Bangladesh.

Iran deal spells good tidings for India

At a time when successful, negotiated outcomes to any intractable international dispute have become a rarity, the
understanding reached between Iran and the E3+3 (France, Germany and the United Kingdom + China, the Russian
Federation and the United States) is a remarkable achievement. A result of political resolve and deft negotiations, the
nuclear deal is set to end over three-and-a-half decades of unremitting hostility between Iran and the U.S.
The announced framework restrains Irans nuclear programme; it does not eliminate it. It allows Iran access to
nuclear energy for exclusively peaceful purposes and a comprehensive release from all sanctions. The spontaneous
street celebrations across Iranian cities testified its peoples support for an agreement that will reconnect Iran with
the world.
Key parameters
The details of the agreement currently being drafted will be spelt out by the end of June in the Joint Comprehensive
Plan of Action (JCPOA). The framework outlines that limits will be placed on Irans enrichment capacity, level and

stockpiles over the next 10 to 15 years. Iran will maintain no other enrichment facility except the one at Natanz, where
it will use only its 6,104 first-generation centrifuges (less than a third of their existing number). Irans underground
and fortified facility at Fordow, which the U.S. initially wanted to scrap and seal, will be converted into a nuclear
physics and technology centre.
Iran was building a 40MW heavy water reactor in Arak, fuelled by natural uranium and estimated to produce nine
kilogrammes of weapons-grade plutonium annually should Iran acquire reprocessing technology to separate
plutonium from the spent fuel. The redesigned Arak plant will ensure it does not produce plutonium. There will be no
reprocessing, and the spent fuel will be exported.
By providing the International Atomic Energy Agency (IAEA) enhanced access to its nuclear facilities, including full
life cycle cradle to coffin monitoring of nuclear materials and components, Iran has established its bona fides about
abjuring from the acquisition of nuclear weapons in the foreseeable future. In return, Iran shall have access to
international cooperation for civilian nuclear energy, including the supply of power and research reactors.
Irans greatest immediate gain will be the simultaneous termination of the sanctions levied by the six Iran-specific
Security Council resolutions as soon as it implements its commitments. Also slated to go are the additional sanctions
imposed by the U.S., the European Union and some others, which had crippled Irans international market access and
economy and disrupted its energy, shipping, transportation and financial sectors. If the Congress does not revoke
these sanctions, U.S. President Barack Obama might use his waiver authority to free Iran of their effect.
Changing regional landscape
Iran has gained strategic space, even dominance, in its western periphery, over the last dozen years as the unintended
beneficiary of the U.S. intervention in Iraq. With its abundant natural and human resources freed from the burdens of
sanctions, Irans economy will be unfettered and its potential unlocked. As a consequence, Iran will become more selfassured in its interactions with the world.
With mutual enemy images slowly fading many in the U.S. had regarded Iran as the core of the axis of evil and
the clergy in Iran had branded the U.S. as The Great Satan the reconfigured U.S.-Iran ties will inevitably
restructure the security architecture of the Gulf and the West Asian region. The U.S. will lean on Iran to seek its
cooperation in contending with a host of challenges in Irans contiguity, primarily the combat against Daesh in Iraq
and Syria, the war in Yemen, and the struggle to establish peace and stabilisation of Afghanistan.
Irans geostrategic location makes it an intrinsic part of Indias security and economic space. A stronger and more
globally integrated Iran will be an asset for India. India had rightly disregarded the Statement of Policy attached to
the 2006 Hyde Act enjoining India to sanction and contain Iran for its efforts to acquire nuclear weapons. Despite
critics of India within the U.S. establishment using this as a litmus test for India-U.S. relations, India rejected
sanctions not mandated by the Security Council.
Implications for India
Iran shares its borders with Afghanistan and Pakistan, which contain Islamist terrorist groups that act against both
India and Iran. These include the Jundullah, the Lashkar-e-Taiba, and the Haqqani network, in turn associated with
the al-Qaeda, the Taliban, and even the Pakistan Army. India and Iran, therefore, have a consonance of interests in
supporting the stabilisation of Afghanistan. The history of their association goes back to the support they together
extended to Commander Ahmad Shah Massoud when he was combating the Taliban. Like India, Iran is constructively
invested in Afghanistan and can play a much more significant role there as it gains strength in the post-sanctions
period.
India and Iran are poised to ink an inter-governmental agreement on the Chabahar port, where India is investing, in
the first phase, a modest amount of $85 million to equip two of its existing berths for container and multipurpose
cargo shipments meant for Afghanistan. Indias footprint in Chabahar will initially be light and its investment can be
stepped up as its cargo potential increases.
For decades, India has been exploring connectivity options for Afghanistan, Central Asia, and Russia by the overland
route through Iran. Due to lack of a better available option, Indian exporters have begun using the dedicated Chinese
facility for exports to Central Asia at the Lianyungang port this is connected by what China calls its uninterrupted

rail link to Almaty, along the alignment of the New Eurasian Land Bridge, part of its One Belt One Road
initiative. Irans Bandar Abbas port, conceived as the hub for the International North-South Transport Corridor
(INSTC), remains, nevertheless, the shortest and most economical route from India to Central Asia, Russia and
Europe.
India, Iran and Russia originally signed the INSTC Convention in December 2000, and nine more countries have
since joined it. Dry runs conducted last July from the Nhava Sheva port in Maharashtra on two trade routes, one to
Astrakhan in Russia, via Bandar Abbas and Amirabad, and another to Baku in Azerbaijan, via Bandar Abbas and
Astara, show that these can reduce shipment costs by $2,500 per 15 tons of cargo. India must seize the opportunity to
operationalise the INSTC by working with Iran and other interested stakeholders.
Energy security
As the country holding the worlds fourth largest oil and the second largest natural gas reserves, Iran complements
India, currently the worlds fourth-largest consumer and net importer of petroleum products. Iran slipped from the
second to the seventh largest source of crude oil imports to India between 2008-09 (21.81 million metric tons) and
2012-13 (13.14 million metric tons). With indigenous production flat at less than a million barrels per day (bbl/d),
Indias oil demand is expected to more than double from its present levels to 8.2 bbl/d by 2040. McKinsey predicts
that by 2030, India will have a primary energy import dependence of 51 per cent, compared to one and 20 per cent for
the U.S. and China.
As Indias most proximate oil exporting country, Irans role in Indias energy security remains important. The
oversupply and lower prices of oil and gas make India equally valuable to Iran as an assured, long-term buyer. India
could take a fresh look at the prospects of a gas pipeline or liquefied natural gas (LNG) imports from Iran, as also
investing in downstream projects for petrochemicals and gas-based urea plants in Iran. Indian firms need to be more
nimble-footed to deal with Western competitors rushing to Iran, as also with Iranian partners adept at driving a hard
bargain.
India-Iran defence cooperation could be given greater content through a Joint Working Group on defence. This was
never set up, though envisioned under a forward-looking India-Iran defence memorandum of understanding (MoU)
concluded in 2001. Besides ongoing training and port calls, India could extend its support for hydrography and more
intense naval interactions. The established tradition of exchanges between the National Security Councils and
Advisors of the two sides could prove useful in this context.
A congruence of regional interests does not by itself translate into upgraded strategic relations between India and
Iran. It will require patience and persistence traits possessed by Iranian negotiators in ample measure.
Curiously, the key challenge to India will be similar to that which confronts the U.S. and other global and regional
powers how to nurture a relationship with a resurgent Iran, without adversely affecting ties with the Arab-Gulf
countries led by Saudi Arabia, and Israel. The trick, says a senior Indian official, is to balance on a three-legged
stool with different sized legs.
India has important equities in Arab-Gulf countries. Collectively, they are home to almost seven million Indians, the
largest source of Indias imports, including energy supplies, its second largest export destination, and a growing
source of remittances and investments. India will have to demonstrate its diplomatic dexterity in managing this
difficult balancing act as it rebuilds its relations with Iran.

Plan to build Tibet-Nepal rail through Everest

China plans to build a 540-km strategic high-speed rail link between Tibet and Nepal passing through a tunnel under
Mt. Everest, a move that could raise alarm in India about the Communist giants growing influence in its
neighbourhood.
A proposed extension of the Qinghai-Tibet Railway to the China-Nepal border through Tibet would boost bilateral
trade and tourism as there is currently no rail line linking the two countries, state-runChina Daily reported on
Thursday.

The rail line was expected to be completed by 2020.

However, there was no word on the cost of the project.
The 1,956-km long Qinghai-Tibet railway already links the rest of China with the Tibetan capital Lhasa and beyond.
Wang Mengshu, a rail expert at the Chinese Academy of Engineering, said that engineers will face a number of
difficulties once the project begins. If the proposal becomes reality, bilateral trade, especially in agricultural
products, will get a strong boost, along with tourism and people-to-people exchanges, he said.
Mr. Wang said that the project is being undertaken at Nepals request and that China has begun preparatory work.
Losang Jamcan, Chairman of the Tibet Autonomous Region, told Nepalese President Ram Baran Yadav during his
visit to Tibets provincial capital Lhasa last month that China plans to extend the Tibet railway to Kermug, the
Chinese town nearest to Nepal border where a border trade port has been built.
Besides Nepal, China had earlier announced plans to extend its Tibetan rail network to Bhutan and India.

Creating facts on the water in South China Sea

China has long asserted ownership of the archipelago in the South China Sea known as the Spratly Islands, also
claimed by at least three other countries. But a series of detailed photographs taken of Mischief Reef shows the
remarkable speed, scale and ambition of Chinas effort to literally gain ground in the dispute.
They show that since January, China has been dredging enormous amounts of sand from around the reef and using it
to build up land mass what military analysts at the Pentagon are calling facts on the water hundreds of miles
from the Chinese mainland.
Rich in oil and gas
The Chinese have clearly concluded that it is unlikely anyone will challenge them in an area believed rich in oil and
gas and perhaps more important, strategically vital. Last week Adm. Harry Harris, the commander of the U.S. Pacific
fleet, accused China of undertaking an enormous and unprecedented artificial land creation operation. China is
creating a great wall of sand with dredges and bulldozers, Adm. Harris said in a speech in Canberra, Australia.
Defense Secretary Ash Carter, on his first trip to Asia, put the American concerns in more diplomatic language, but
the message was the same. In an interview to coincide with his visit, published on Wednesday in the Yomiuri
Shimbun , one of Japans largest dailies, Mr. Carter said Chinas actions seriously increase tensions and reduce
prospects for diplomatic solutions in territory claimed by the Philippines and Vietnam, and indirectly by Taiwan. He
urged Beijing to limit its activities and exercise restraint to improve regional trust.
While other countries in Southeast Asia, like Malaysia and Vietnam, have used similar techniques to extend or enlarge
territory, none have Chinas dredging and construction power. The new satellite photographs were taken by
DigitalGlobe, a commercial satellite imagery provider, and analyzed by the Center for Strategic and International
Studies, a Washington research group. They certainly confirm the worries expressed by Mr. Carter and Adm. Harris.
Chinas building activities at Mischief Reef are the latest evidence that Beijings land reclamation is widespread and
systematic, said Mira Rapp-Hooper, director of the centres Asia Maritime Transparency Initiative, a website devoted
to monitoring activity on the disputed territory.
Although these outposts are too vulnerable for China to use in wartime, she said, they could certainly allow it to exert
significant pressure on other South China Sea claimants, such as the Philippines and Vietnam.
Satellite imagery of the Spratlys publicised by IHS Janes in November showed how the Chinese had created an island
about 9,850 feet long and 985 feet wide on Fiery Cross Reef, about 200 miles west of Mischief Reef, with a harbour

capable of docking warships. IHS Janes said the new island could support a runway for military aircraft. New
York Times News Service
Chinas new outposts could allow it to exert significant pressure on other claimants like Philippines
and Vietnam

Pakistan Parliament votes for neutrality in Yemen

Pakistani lawmakers on Friday unanimously voted to stay out of the Saudi-led air coalition targeting Shiite rebels in
Yemen in a blow to the alliance, while planes loaded with badly needed medical aid landed in Yemens embattled
capital, Sanaa, in the first such deliveries since the airstrikes started more than two weeks ago.
Pakistans decision to stay out of the fight likely doesnt greatly affect the Saudi-led coalitions military capabilities.
But it was an embarrassment to Saudi Arabia and a crack in the solidarity of a block of Sunni-ed nations that the
kingdom was trying to garner against the rebels, who are supported by Shiite powerhouse Iran.
Information Minister Pervez Rashid said government will fully comply with the parliament resolution. But Saudi-led
coalition spokesman Ahmed Asiri, speaking in Riyadh, said Pakistans official government position has not yet been
announced and that there are consultations between Riyadh and Islamabad on the political level.
Still, he said that while Pakistans participation is in the interest of Yemen and would be an addition to the coalition,
its final decision will not affect the operations in one way or the other.
According to Pakistani officials, Saudi Arabia had asked Pakistan to send troops to take part in the campaign against
the rebels, known as Houthis, who have seized control of Sanaa and much of the country and forced Yemeni President
Abed Rabbo Mansour Hadi to flee the country.
But Pakistan appeared wary of getting involved in an increasingly sectarian conflict that has become a new proxy war
between Saudi Arabia and Iran -- and could enflame its own sectarian divisions at home. Pakistan is predominantly
Sunni but has a Shiite minority that is frequently targeted by Sunni extremists. Pakistan also shares a long border
with Iran.
The United States, Saudi Arabia and Hadi accuse Iran of arming the Houthis. Iran denies sending the rebels weapons
but says it supports their cause and sends them humanitarian help. Iran has been trying to garner international
support to stop the bombing and has stepped up its condemnation of the air campaign. Irans Supreme Leader
Ayatollah Ali Khamenei on Thursday called it genocide.
The debate put Pakistan in an awkward position. It has long had military ties to Saudi Arabia. Prime Minister Nawaz
Sherif was sheltered by Saudi Arabia after the coup that overthrew him in 1999. For weeks, Sunni hardliners,
including a group linked to militants, have organized rallies around Pakistan denouncing the Yemeni rebels and
urging Islamabad to join the coalition.
From the other side, Iranian Foreign Minister Mohammad Javad Zarif spent two days in Islamabad this week,
discussing Yemen with Sharif and other officials.
On Friday, after days of debate, Pakistans legislature declared the country should maintain neutrality in the Yemen
conflict so that it can help a diplomatic solution. Sirajul Haq, the head of Pakistans powerful JamaateIslami
Pakistan party, said Islamabad could play the role of a mediator. Sherif was present, suggesting his support for the
result.
It called for Yemens warring parties to resolve the conflict by dialogue and said Pakistans diplomats should initiate
steps before the U.N. Security Council to bring about an immediate ceasefire in Yemen and warned of regional
implications if the conflict becomes an all-out sectarian war.
As a nod to Saudi Arabia, they expressed unequivocal support for the kingdom and vowed to stand shoulderto
shoulder with it if its territory or people came under threat.

Zarif has said Iran is also ready to facilitate peace talks that would lead to a broadbased government in Yemen. He
also called for a ceasefire to allow for humanitarian assistance. We need to work together in order to put an end to
the crisis in Yemen, Zarif said.
The United Nations and Iran have called for a return to negotiations, and Saudi Arabia had offered to host the talks.
But with military operations intensifying, it was not clear who can bring the parties to the table. The rebels insist Hadi
has lost his legitimacy while Saudi Arabia and allies say they are working to restore his rule.
Egyptian Defense Minister Sedky Sobhi, whose country is a major partner in the coalition, met Friday with Saudi King
Salman to discuss the Egypts participation in the military campaign in Yemen and ways to consolidate joint action to
achieve the operations goals. Egypts jets and warships are taking part in the operation. Egyptian military officals
have spoken previously of the possibility of a ground incursion.
Experts had said that any potential ground operation in Yemen to secure territory for Hadi would involve Saudi,
Pakistani and Egyptian troops. The Saudis had held joint war games in southwest Saudi Arabia with several hundred
Pakistani troops, veterans of guerrilla warfare against militant Islamic groups in their countrys tribal regions along
the Afghan border.
Egyptian advisers have also been stationed near the Saudi border with Yemen.
As the airstrikes campaign entered its third week, humanitarian groups are struggling to cope with the rising casualty
numbers and shrinking food and fuel supplies. The World Health Organization said Wednesday that at least 643
civilians and combatants have been killed since March 19 in Yemen. At least 2,226 have been wounded, and another
100,000 have fled their homes.
The U.N. humanitarian coordinator for Yemen, Johannes Van Der Klaauw, said in Geneva that the humanitarian
situation in Yemen is getting worse by the hour and urged all parties to agree to an immediate humanitarian pause
to deliver lifesaving aid.
On Friday, Houthi supporters held rallies in Sanaa denouncing the air campaign.
The two aid planes from the International Committee for the Red Cross and the U.N. Childrens agency, UNICEF,
were the first international assistance deliveries to Sanaa. A smaller delivery had arrived in the southern, port city of
Aden by boat earlier this week.
ICRC spokeswoman in Sanaa Marie Claire Feghali said the 16.4 tons (18 U.S. tons) of medical supplies the
organization brought can treat up to 1,000 wounded. UNICEF representative in Yemen, Julien Harneis, said the
agency brought 16 tons (17 U.S. tons) of medical equipment and water supplies for about 80,000 people, along with
micronutrients for up to 20,000 children.
The supplies we have managed to bring in today can make the difference between life and death for children and
their families but we know they are not enough, and we are planning more of these airlifts, Harneis said from the
Jordanian capital, Amman.
The airport area was heavily shelled overnight, with airstrikes targeting military installations and weapons depots in
the area, according to witnesses who spoke on condition of anonymity for fear of reprisals.
Ground infighting between Hadi loyalists and rebel and allied fighters continued in the port city of Aden, Yemens
second largest city and a main bastion of Hadis allies.
Adens oil refinery, the main source of fuel for the city, was shut down after Hadi loyalists stormed it, accusing it of
shipping fuel to their rivals, a refinery official said, speaking on condition of anonymity because he was not authorized
to talk to the press.
The humanitarian group Oxfam warned that life has become increasingly difficult for civilians in Yemen,particularly
in Aden were fuel scarcity had already paralyzed coal water projects, cutting off water to entire communities.

The group said food has doubled in price and fuel has quadrupled in some areas as basic commodities run
dangerously low. Supplies of diesel, used for transportation and also for pumping of water for irrigation and drinking,
are dwindling.

The struggle for Syria

Inexplicable is the fate of Syria. Its ongoing conflict has claimed the lives of more than 2,00,000 people and sent 16
million Syrians out of their homes. A donors conference for the humanitarian crisis in Kuwait raised $3.8 billion, less
than half of what the United Nations had requested. Only half of the pledges are generally honoured, so the gap is
significant. The World Food Programmes Elisabeth Byrs said that a critical shortage of funding has led to a
retrenchment of aid. Malnutrition and illiteracy lie on the horizon for Syrian refugees.
Conditions within areas held by the Bashar al-Assad government remain perilous. In late February, Syrias
parliamentary speaker Muhammad al-Laham announced that diesel prices would be doubled. Increased transport
costs for scarce goods, depleted foreign exchange and increased military expenditure has weakened the Damascus
government.
Meanwhile, in the camps of al-Qaeda and the Islamic State(IS), funds remain for radical fighters. The going rate is
about $400 for Syrian fighters and twice that amount for foreigners. Most other goods such as housing are free. With
anaemic support for the humanitarian relief operations and with a drained Damascus exchequer, extremism appears
attractive. No doubt then that it is the extremist fighters of the al-Qaeda affiliate Jabhat al-Nusra and IS that remain
motivated on the battlefields of Syria.
The Syrian Arab Army, the governments force had been found to be wanting early in the conflict; it had been trained
for a different kind of war. Morale is uneven amongst the Syrian forces; they are exhausted by what appears to be an
endless confrontation. Better trained for the fight had been Hezbollah, the Lebanese militia that entered on the side of
the Damascus government in 2012. Hezbollah has firmed up a perimeter around Lebanon and secured the entry
points to defend against any challenge to its base. It is not clear if Hezbollah and other militias will once more lead the
struggle against the recent swift gains made by al-Nusra and IS.
Swift gains
Al-Nusra alongside the various outfits of the anti-Damascus bloc seized the provincial capital of Idlib near Turkeys
border. Now two capitals of Syrias 14 governorates are outside the control of the Assad government. The first to fall
was Raqqa, now the capital of IS. Despite U.S. and Gulf Arab bombardment, IS remains in control of its redoubt. Idlib
did not fall to IS, but to the al-Nusra (which was set up by IS in January 2012). Despite indications that an assortment
of fighters participated in the defeat of the government forces, it is clear now that al-Nusra is in charge of Idlib.
Idlibs capture appears to be far from symbolic. Over the past few months, al-Nusra has fought off any attempt by
Western-backed rebels to carve out a place for themselves. In March, it overran the positions of Harakat Hazm, the
U.S.-backed moderate rebel group. New weapons, more fighters and resupply from across the Turkish border
allowed al-Nusra to regroup to take Idlib. Al-Nusra sources say that they have received a fillip from these new
resources. As they made small gains in March, fighters who had previously fled into Turkey returned to fight under its
black flag. One al-Nusra source said that rather than make a dash to Aleppo in the north, they would turn southwards
to take Daraa, where the civil war began in 2011. Indeed, not long after taking Iblid, a massive car bomb went off on
March 31 an act of terror to hurt the morale of the Syrian armed forces. The next day, al-Nusra and the Southern
Front (Free Syrian Army) seized the Syria-Jordan Nassib border crossing, only 20 kilometres from Daraa. With
control in Idlib and Daraa, al-Nusra has opened up resupply routes from Turkey and Jordan.
A few months ago, al-Nusra seemed unable to make any major gains and yet, within a month, it has secured a
provincial capital (Idlib), a crucial border crossing (Nassib) and driven a wedge into Syrias western backbone, the
roads that link Damascus to the north-western coastline. Some of this is likely because of the assistance it has
received from regional players, including mysteriously Israel. Jabhat al-Nusra took the governments last
reconnaissance station in southern Syria at Tal al-Hara after Israeli warplanes bombed the troop detachment there
(according to the UN Disengagement Observer Force based on the Golan Heights). Israel has also allowed wounded
Jabhat al-Nusra fighters to enter the country for medical treatment, a situation that mirrors the kind of porous border
that IS has enjoyed with Turkey.

The most dramatic turn of events came when IS engaged its sleeper cells and its combatants from the Ghouta plains
to sweep into Damascus largely Palestinian neighbourhood of Yarmouk. About 18,000 residents remain in this
besieged area that once housed ten times the number of people. The UN has struggled with various factions, including
the Assad government, to gain access to Yarmouk with humanitarian supplies. Hunger has stalked the shells of these
homes. But that was nothing compared to the atrocity that has now befallen Yarmouk. The Palestinian group that has
taken up the defence of Yarmouk, Aknaf Beit al-Maqdis, allied with Hamas, continues to battle IS and its various
allies, but to no avail. Beheadings have begun in Yarmouk to compound the hunger and the desolation, a situation
that the UNs Chris Gunness called beyond inhumane. Amidst the chaos arises the spectre of al-Qaeda and IS
sweeping across not only the desolate parts of Syria but its most populated zones. The Carnegie Middle East Centers
director, Lina Khatib, recently wrote a report in which she argued that al-Nusra is more pragmatic than ideological.
Nusras pragmatism and ongoing evolution, Ms. Khatib wrote, mean it could become an ally in the fight. In other
words, she proposes that the faltering Western search for a military ally could be found in al-Nusra. It says a great
deal about the broken horizons over Syria that the West would find its allies amongst al-Qaeda, even if the actual
fighters are motivated less by ideology and more by the ferocity of the organisation. The history of such groups in
Pakistan, Afghanistan, Chechnya and elsewhere shows that the hierarchies of these fronts make the actual
motivations of the fighters less important than the orientation of the leadership. Al-Nusras moderation is merely in
that it would not declare an emirate before it has seized Damascus. This is what separates it from the impatience of
the IS.
Hope for peace in Syria might no longer vest in the exhausted population. Arms and promises of victory come from
regional powers who would like to see the conflict continue at whatever cost. The new accord between the P5+1 and
Iran offers the potential for a new road to open up. King Salman of Saudi Arabia welcomed the deal, as did the
Organisation of Islamic Cooperation. The political implications of that nuclear deal might be a bargain between at
least two regional rivals, Iran and Saudi Arabia. Dangerous conflicts in Syria as well as in Yemen, where Saudi
airplanes continue their bombardment, delivers the advantage to al-Qaeda. Lessening the chaos is imperative. One
way forward would be to cease pouring fuel into Syrias apocalyptic fire.

U.S., Cuba to take stock of negotiations

Presidents Barack Obama and Raul Castro are expected to hold talks on Saturday, a U.S. official said, raising the
prospect of the first substantive meeting between an American and Cuban leader in more than five decades.
Mr. Obama and Mr. Castro are in Panama for the two-day Summit of the Americas, Cubas first, raising expectations
of a landmark follow-up to their historic announcement on December 17 that their countries would restore ties
severed since 1961.
We certainly do anticipate that they will have the opportunity to see each other at the summit tomorrow, senior
Obama advisor Ben Rhodes told reporters on Friday. We do expect [them to have] a discussion tomorrow.
He said the extent of the meeting had yet to be decided, but that the two leaders will be able to take stock of the
negotiations to normalise relations and reopen embassies, as well as discuss lingering differences.
The meeting will be the first since Mr. Obama and Mr. Castro briefly shook hands at Nelson Mandelas funeral in
December 2013.
First substantive talks
An actual discussion would be the first substantive talks between U.S. and Cuban leaders since 1956, when President
Dwight Eisenhower met dictator Fulgencio Batista, who was toppled by Fidel Castro three years later.
That meeting also happened in Panama.
Mr. Rhodes said Mr. Obama and Mr. Castro had already discussed the ongoing negotiations and the upcoming
summit by telephone on Wednesday their first phone call since December, just before they announced the gamechanging diplomatic thaw.

But he said there was no decision yet on one of the key obstacles in the negotiations, Cubas presence on the U.S.
blacklist of state sponsors of terrorism.
Im not ruling out any announcement but ... we are not there yet in terms of a final recommendation being made to
the President, and the President making a determination, he said.
Cubas presence on the blacklist which also includes Iran, Syria and Sudan has been a major sticking point in
negotiations to reopen embassies.
If and when Mr. Obama decides Cuba should be removed from the list, Congress will have 45 days to decide whether
to override his recommendation.
Some 30 leaders were to gather from Friday evening at the summit, posing for pictures and sitting down for a seaside
dinner in a complex of ruins from the era of the Spanish conquistadors.
The U.S .and Cuban chief diplomats, Secretary of State John Kerry and Foreign Minister Bruno Rodriguez, made
history themselves on Thursday evening when they held talks the first such meeting since 1958, a year before Fidel
Castros revolutionary guerrillas seized power.
Both sides said the nearly three-hour talks were constructive and would be followed by further conversations to
resolve outstanding issues.
Cuba has other major demands, most importantly that the U.S .Congress lift an embargo that the communist regime
blames for the islands economic troubles.
Washington wants Cuba to lift restrictions on the movement of its diplomats on the island, giving them unfettered
access to ordinary Cubans. The reconciliation appears popular in both countries. AFP
The meeting will be the first since the two leaders briefly shook hands at Nelson Mandelas funeral

A turning point for the entire region: Obama

U.S. President Barack Obama and Cubas Raul Castro heralded a new era of bilateral relations on Saturday as they
both addressed a landmark Summit of the Americas ahead of historic one-on-one talks.
Sitting around an oval table with some 30 other regional leaders in Panama City, Mr. Obama and Mr. Castro spoke
one after the other in an unprecedented public exchange between the leaders of the Cold War-era foes.
This shift in U.S. policy represents a turning point for our entire region, Mr. Obama said. The fact that President
Castro and I are both sitting here today marks a historic occasion.
As the U.S. leader looked on, Mr. Castro declared: President Obama is an honest man.
Significant differences
But both leaders acknowledged that the two countries, as they negotiate to restore diplomatic relations that broke off
in 1961, will continue to have disagreements.
Mr. Obama cited the human rights situation in Cuba, while Mr. Castro renewed calls for the U.S. Congress to lift a
decades-old embargo.
I think its no secret, President Castro Im sure would agree, that there will continue to be significant differences
between our two countries, Mr. Obama said.

Taking their bid to restore diplomatic ties to a new level, Mr. Obama and Mr. Castro were to have a discussion on the
sidelines of the second and final day of the summit.
The two leaders already said hello late on Friday, greeting each other and shaking hands a gesture rich in
symbolism as other leaders looked on.
The face-to-face talks will be the climax of their surprise announcement on December 17 that, after 18 months of
secret negotiations, they would seek to normalise relations between their two nations.
It is the first time Cuba is participating at the 21-year-old summit.
Colombian President Juan Manuel Santos summed up the mood, saying an old obstacle in relations between Latin
America and North America is being removed. The last time U.S. and Cuban leaders met was in 1956, three years
before Fidel Castro came to power.
This is not just about two leaders sitting down together, said senior Obama advisor Ben Rhodes. Its about
fundamentally changing how the United States engages Cuba its government, its people, its civil society.
Cuba has demanded to be removed from a U.S list of state sponsors of terrorism before embassies can reopen, noting
that this has blocked the countrys access to bank credit. Mr. Castro told the summit that Mr. Obama was taking a
positive step by reviewing his countrys inclusion on the list.
The White House indicated that Obama was not yet ready to decide whether to remove Havana from the blacklist, but
that it could not rule out an announcement in Panama.
Mr. Obama has urged the U.S. Congress to lift the embargo on Cuba, which was imposed in 1962, barring most trade
with the island as well as tourism. AFP
Washington cites human rights situation in Cuba; Havana renews calls for the U.S. Congress to lift
trade embargo

China reaps rewards for standing by Iran

China is reaping energy rewards for standing by Iran, with Tehran now promising Beijing with new deals once the
sanctions related to the Iranian nuclear programme are lifted.
This country [China], as one of the biggest buyers of Irans oil, has been greatly cooperating with the Islamic
Republic under conditions of sanctions and we are willing for that cooperation to continue when sanctions are
removed, said Irans visiting Iranian Oil Minister, Bijan Namdar Zanganeh.
Last year, China bought 550,000 barrels of Iranian oil per day, marking a 28 per cent spurt in consumption over that
in the previous year.
Anticipating a phased end to sanctions after a final nuclear agreement with the six global powers is signed in June,
the Iranians have been quick off the block to engage with China. The upbeat mood was evident when Mr. Zanganeh
spelt out some of the talking points for an energy partnership with Beijing in the future.
The Wall Street Journal reported that China will build a pipeline that would bring Iranian gas to Pakistan, as part of a
deal that would be signed during Mr. Xis forthcoming visit to Islamabad.
The China Petroleum Pipeline Bureau, a subsidiary of Chinese energy giant China National Petroleum Corporation, is
expected to build 700 km of the pipeline from the western Pakistani port of Gwadar to Nawabshah, Pakistans gasdistribution centre in the Sindh province. Pakistan would build the 80 km of the pipeline from Gwadar to the Iranian
border, where it would hook up with the already existing 900 km pipeline link to the gas fields of South Pars.

The China backed Iran-Pakistan project is being revived because the existing sanctions on Irans energy exports are
likely to be lifted first, according to the nuclear framework agreement that was signed in Switzerland earlier this
month. The pipeline scheme, conceived in 1995, was earlier supposed to extend to India, but Tehran blames India for
dropping out of the project in 2009, under pressure from the United States. Indian negotiators, however say that
funding the project was difficult on account of exorbitant insurance costs that were involved for transiting Iranian gas
through Pakistans restive Balochistan province.
The evolving triangular partnership among China, Iran and Pakistan could get reinforced after Islamabad declined to
support Saudi Arabia, Irans chief rival in West Asia, during the on-going crisis in Yemen.

Obamas Cuba shift opens new era in ties with the region
The historic meeting between U.S. President Barack Obama and Cuban President Raul Castro on Saturday before the
Summit of the Americas closed provided the U.S. and Latin America with an opportunity to move beyond a history of
grievances and mistrust and set a course of closer cooperation.
The conciliatory tone was set by Mr. Castro, who joked that since Cuba had been barred from the previous summits he
was entitled to speak well beyond the eight minutes allotted to each of the 30-plus heads of state in attendance.
Since you owe me six summits when you excluded me, six times eight is 48, he said to laughter. While much of Mr.
Castros meandering remarks consisted of condemnation of U.S. aggression, the high point came when the aging
Cuban leader, in an abrupt about face, professed admiration for Mr. Obama, saying he had read his two memoirs and
was convinced that he was an honest man who hadnt forgotten his humble roots.
I have told President Obama that I get very emotional talking about the revolution, Mr. Castro said, noting that
Obama wasnt even born when the U.S. imposed sanctions on the communist island. I apologise to him because
President Obama had no responsibility for this. The two leaders later sat down for the first meeting between Cuban
and American heads of state since before the 1959 revolution that deposed Cuban strongman Fulgencio Batista.
Even Mr. Maduro eased up, forgoing a threat to deliver a petition signed by 10 million Venezuelans calling on Obama
to repeal the sanctions. Instead, as what he called the Summit of the Truth was closing, he also briefly spoke with
Mr. Obama in a private exchange that Mr. Maduro said could open the door to meaningful dialogue between the two
nations.
The U.S. and Latin American leaders avoided a final joint declaration. But the mood was considerably warmer than at
the last summit in Colombia in 2012, which ended with many leaders saying they would never hold another with the
U.S. unless Cuba was included.
In another small thaw, Ms. Rousseff announced she was accepting an invitation to visit to the White House, a trip
shed scrapped in 2013 after revelations of NSA spying on her private communications. AP
The mood was considerably warmer than at the last summit in Colombia in 2012

Black money: U.N. meet endorses Indias concern

In a major push towards recovering black money stashed in safe havens abroad, a U.N. conference here on Sunday
endorsed Indias suggestions on promoting global cooperation in fighting the menace of money-laundering,
international terrorism and cyber crime.
The 13th U.N. Congress on Crime Prevention and Criminal Justice was held here and a Doha Declaration was adopted
during the high-level segment of the meeting.

Following up on G20s endorsement of concerns raised by it on black money, India put immense importance on the
acceptance of a statement that will facilitate the eventual confiscation of money and other assets that have not been
accounted for and that are found in safe havens and succeeded in getting adopted measures that can help achieve the
goal.
A clause in the declaration prominently took care of the concern that the Indian government has been emphasising
recently at all possible forums. Minister of Law and Justice D.V. Sadananda Gowda, led a high-level delegation to the
Congress. PTI

For a robust economy in Afghanistan

The overarching focus in Afghanistan on political stability and effectiveness of the security forces is understandable
given the nature of the immediate challenges confronting the country. However, in the long run, economic stability
will have to figure in as an intrinsic driver towards sustainable peace. While the previous dispensation was
predominantly security-driven, President Ashraf Ghani, with his stint at World Bank and as Finance Minister
previously, is expected to underscore economic reconstruction as a key component of state-building.
Beyond providing fiscal cushioning, target-oriented economic interventions can help bridge the governance gap and
financial deficits hallmarks of the previous regime, which, as offshoots of a poorly managed economic toolbox,
contribute to a widening political and security vacuum. This vacuum, in turn, provides leeway for extremist forces to
move in, as established by Sarah Chayes (Carnegie Endowment) in her comprehensive study drawing linkages
between governmental corruption and religious extremism, especially in the context of Afghanistan.
Rebooting the economy
For a decade since 2002, Afghanistan witnessed an encouraging 9.5 per cent growth rate and single digit inflation, but
it was widely sustained by the inflow of donor funds and developmental aid. With the International Security
Assistance Force (ISAF) drawdown drawing close, the growth rate began to dip in 2013 and reached 3.8 per cent by
early 2015. With little indigenous infrastructure or capacity, Afghanistan is set to face a downward spiral, especially as
donor funding is beginning to dry up. While the Strategic Partnership Agreement with the U.S. in 2012 provides it a
stopgap retrieve (including financial support for another decade from 2015-2024), along with the trickling in of some
donor pledges made during the 2012 Tokyo conference, Kabul will ultimately have to devise concrete plans to reboot
its economy.
In fact, at the core of its structural weakness lies Afghanistans overt reliance on foreign aid deftly manoeuvred during
the Cold War when it played off both super powers to receive huge injections of aid.
At present, Afghanistan is banking on two factors to resuscitate its economy: its strategic location and its natural
resources. Situated at the cusp of three regions South Asia, the Persian Gulf, Central Asia and at the intersection of
the East-West trade corridor it hopes to channel its location as a hub of trade and transit activity by way of a land
bridge between these diverse, yet immensely endowed, regions. In this regard, it plans to revive the ancient Silk
Route. The U.S. has already drawn up plans for this opportunity in the form of its New Silk Road Initiative as has
China with its proposed Silk Route Economic Belt.
Also on the anvil is the transportation of energy from the energy-rich Caspian region to energy-deficit South Asia
through a network of pipelines, especially the TAPI (Turkmenistan, Afghanistan, Pakistan, India) pipeline and the
Turkmenistan-Afghanistan-China pipeline. Another energy project, CASA-1000, envisages the transmission of
hydroelectric power from Central Asia to South Asia via Afghanistan. Afghanistan and Pakistan also signed the
Afghanistan-Pakistan Transit and Trade Agreement in 2010 which is hoped to be pegged onto to the liberalisation of
trade between Pakistan and India, allowing for a free movement of goods across the region. Located in the vicinity of
rising economies China and India, Afghanistan also has the leverage of benefitting in areas such as investment,
technical expertise and technology transfer.
The other element of Afghanistans economic architecture is its natural resources. It has traditionally been rich in
resources such as coal, chromite and marble and has been exporting gas to Russia since 1967. Though some studies
undertaken in the 1970s and 1980s indicated the presence of vast mineral and hydrocarbon resources, it was not until
2010 that the U.S. announced the discovery of nearly $1 trillion in untapped mineral deposits. The previously
unknown deposits included huge veins of iron, copper, cobalt and gold, and critical industrial metals like lithium, so

much so that Afghanistan was slated to become an important centre of global mining. It has already attracted
considerable investment with China pledging $2.8 billion for the development of the Aynak copper mines and a
consortium of Indian companies in partnership with Canadian companies announcing to invest $14.6 billion for the
development of the iron ore mines in Hajigak. However, these investments, like those of the Silk Route land bridge,
are presently at a standstill due to the precarious security scenario. The infrastructure for both plans is also missing
and could take years to develop. In addition, the wealth of resources comes as a double-edged sword and could entail
a vicious cycle of violence if not carefully handled. So, while grand in design and exhibiting huge promise, the
enterprises are wrought with uncertainties and could take years to reach fruition.
Focussing on strengths
Meanwhile, Afghanistan could focus on its other strengths such as agriculture and livestock. Only 6 per cent of its
land is cultivated; it could increase the yield to its full potential and help switch over from a predominantly opiumdriven sector to alternative crops. This will address its issue of food insecurity. It could also harness its upper-riparian
position and enter into water-sharing agreements with neighbours, especially with Iran and Pakistan. It could further
build on its expanding service sector, undertake measures to plug corruption, and try bring its vast informal economy
within the formal tax net. Scams such as the Kabul Bank fraud, one of the worst in international banking history,
should be checked and an earnest effort to structurally reform the sector should be undertaken. Only by evolving a
robust economy will it become a bulwark.

Taiwan wont be an AIIB founder-member

Cross-strait frictions remerged on Monday as China said Taiwan wont be among the charter members of the Chineseled Asian Infrastructure Investment Bank, apparently because of a dispute over what name the island should use in
the institution.
Taiwan is among more than 40 countries applying for membership in the new bank, which Washington opposes as
unnecessary and potentially harmful.
Spokesman Ma Xiaoguang also confirmed a Hong Kong media report that quoted a bank official as saying Taiwan
would not be among the banks charter members, which are to be announced on Wednesday. AP

Russia lifts ban on missile delivery to Iran

President Vladimir Putin on Monday opened the way for Russias delivery of a sophisticated air defence missile
system to Iran, a move that would significantly bolster the Islamic republics military capability.
Russia signed the $800 million contract to sell Iran the S-300 missile system in 2007, but suspended their delivery
three years later because of strong objections from the United States and Israel. MR. Putin on Monday lifted that ban.

U.N. imposes arms embargo on Huthi rebels

World powers imposed an arms embargo on Tuesday on Yemeni rebels and demanded they relinquish territory seized
in a sweeping offensive that forced U.N.-backed President Abedrabbo Mansour Hadi to flee overseas.
The U.N. Security Council vote came soon after Iran, a key ally of the Huthi Shia rebels, proposed a peace plan for
Yemen calling for a ceasefire followed by foreign-mediated talks by all sides.
U.N. rights chief Zeid Raad Al Hussein called on Tuesday for investigations into the high level of civilian casualties
that account for almost half of the at least 736 deaths recorded in the conflict.
Also, in a setback for the Yemen-based Al-Qaeda in the Arabian Peninsula, it said its ideological leader Ibrahim alRubaish had been killed in a drone strike on Monday.

Russia, which has friendly relations with Iran, abstained from the U.N. Security Council vote, but did not veto the
measure that was put forward by Jordan and Gulf countries and backed by the other 14 of the 15 Council members.
The U.N. resolution was the first formal action taken by the Security Council since the start of the Saudi-led bombing
raids.
The resolution demands that the Shia Huthis withdraw from Sanaa and all other areas seized during their monthslong offensive.
It slaps an arms embargo on Huthi leaders and their allies, a measure that Russia sought to extend to all sides in the
conflict.
The resolution puts Huthi leader Abdulmalik al-Huthi and ex-President Ali Abdullah Salehs eldest son, Ahmed, on a
sanctions list, imposing a global travel ban and an assets freeze on the two men.

Will support Indias U.N. bid: Cameron

David Cameron has promised that a Conservative government will support Indias bid for permanent representation
on the United Nations Security Council.
Launching the partys election manifesto in Swindon on Tuesday, Mr. Cameron said that his party will, if elected,
Build on our strong relationship with India, push for an ambitious EU-India trade deal and support Indias bid for
permanent representation on the U.N. Security Council.
The manifesto also calls for strengthening ties and economic links with China, doubling support for British firms
selling goods there and championing an EU-China trade deal.
The reference to India comes at the end of the 81-page manifesto of what Mr. Cameron referred to as the party of the
working people. The manifesto presents his party as the go-to place for working people offering security at every
stage of your life.
He promised a range of measures in keeping with that pledge that had a definite Labour ring to them from lifting
taxes on working people who work at minimum wages for 30 hours a week; to increasing spending on the National
Health Service to 8 billion a year by 2020, and double free childcare to 30 hours a week.
Green Partys manifesto
The Green Party also released its manifesto on Tuesday, choosing the Arcola theatre in east London as a venue to
showcase the fuel-efficient business that it runs. The party had only one MP in the last elections, but could play a role
in government formation if it performs better, more so there is a hung Parliament.
The focus of its manifesto was on ending economic austerity and addressing the environmental crisis. Hopeful of a
green surge, the Green Party leader Natalie Bennett said that they would support a Labour government on issues.
The manifesto has promised 85bn of spending on energy saving schemes, an increase in welfare benefits, renationalising the railways and a 10 per hour minimum wage by 2020.
For the non-whites
The only party to launch a separate manifesto for the BAME (Black African Minority Ethnic) population, the Labour
chose Leicester to do so a city where 55 per cent of the population is non-white, and where the high-profile Indianorigin Labour politician Keith Vaz is standing.
Promising a better plan to break down the barriers still faced by people from non-white backgrounds in Britain,
Labour leader Ed Miliband pledged a cross-government race equality strategy to drive progress across government.

On the crucial issues of immigration, terrorism and the radicalisation of British Muslim youth, the manifesto had
nothing to say.

Nigeria marks anniversary of kidnapping

Nigerias President-elect Muhammadu Buhari on Tuesday cautioned he could not make promises on the return of 219
schoolgirls kidnapped by Boko Haram, as the country marked the first anniversary of their abduction.
The comments by Mr. Buhari, who takes office on May 29, stand in contrast to outgoing President Goodluck
Jonathan, who has repeatedly said the girls will be found, and the military, which said last year it knew where the
teenagers were being held.
A march was held in Abuja symbolically involving 219 schoolgirls, part of a number of events around the world to
mark the abduction, which Amnesty International said was one of 38 since the start of last year that had seen at least
2,000 women taken by the militants.
The U.N. and African rights groups also called for an end to the targeting of boys and girls in the conflict, which has
left at least 15,000 dead and some 1.5 million people homeless, 800,000 of them children.
Mr. Buhari said there was a need for honesty in his new governments approach to the girls abduction, with nothing
seen or heard from the students since last May when they appeared in a Boko Haram video. We do not know if the
Chibok girls can be rescued. Their whereabouts remain unknown. As much as I wish to, I cannot promise that we can
find them, he said in a statement.
But I say to every parent, family member and friend of the children that my government will do everything in its
power to bring them home.
Schoolgirls, wearing red T-shirts and holding placards with the kidnapped girls names on them, marched to the
education ministry to demand the hostages immediate release.
We, the Chibok Girls Ambassadors, are demanding that the government of Nigeria should give us clear details of
what is being done to bring back our sisters, said one, Rebecca Ishaku. We ask that the government, as a matter of
priority, makes education safe in all parts of Nigeria while prioritising the return of our sisters.
The U.N. special envoy on education, Britains former Prime Minister Gordon Brown, described the campaign as the
most iconic fight of a freedom struggle.
The fight will be won some day. No injustice can last forever. But for the sake of these girls, it must be won soon, he
wrote in The Guardian . #BringBackOurGirls organisers thanked supporters across the world, from ordinary men,
women and children to public figures such as US First Lady Michelle Obama and Nobel laureate Malala Yousafzai.

Syrian regime used chemical weapons: HRW

Eyewitness accounts and evidence collected from northwestern Syria strongly suggest regime forces dropped toxic
chemicals on civilians several times last month, Human Rights Watch (HRW) said on Tuesday.
HRW said the chemicals appeared to have been packed into crude explosives-filled barrels that were dropped by
military helicopter on rebel-held areas during heavy fighting for Idlib.
Evidence strongly suggests that Syrian government forces used toxic chemicals in several barrel bomb attacks in
Idlib governorate between March 16 and 31, 2015, it said.
It called on the U.N. Security Council to investigate what would be a breach of both its own resolutions and
Damascuss obligations under the Chemical Weapons Convention. HRW said it had investigated six reported attacks
in Idlib and villages outside.

A Syrian security official said these were lies that the rebels spread to explain their failures to their funders. AFP
Evidence suggests that Syrian government forces used toxic chemicals in Idlib between March 16
and 31

White paper on Tibet denounces middle way

The Chinese government on Wednesday has issued a white paper on Tibet, which rejected the middle way path
advocated by the Dalai Lama.
Titled Tibets Path of Development Is Driven by an Irresistible Historical Tide, the document observes that rather
than pursuing autonomy, the middle way of Dalai Lama is a cover for gaining independence. Xinhua reported that
the middle way negates a sound developmental path and is an attempt to establish a state within a state on
Chinese territory as an interim step towards the ultimate goal of full independence.
The white paper states that in tune with the improvement of relations between China and the United States in late
1970s, Dalai Lamas group shifted its attempts from achieving open independence to achieving disguised
independence by cloaking them with what is called the middle way. The document counselled that, The only
sensible alternative is for the Dalai Lama and his supporters to accept that Tibet has been part of China since
antiquity, to abandon their goals of dividing China and seeking independence for Tibet, and to begin to act in the
interests of Tibet and the country at large.
The government said that the Dalai Lama and his supporters had little understanding of modern Tibet and, instead,
held a sentimental attachment to the old theocratic feudal serfdom.
An e-mailed response from Dharamsala , where Dalai Lama lives in exile said that the middle way Policy seeks
genuine autonomy within the framework of the Constitution of the Peoples Republic of China which is a win-win
proposition for all parties and one lauded throughout the world including various governments.

An end to the idea of rogue states

Barack Obamas decision to remove Cuba from the U.S. list of state sponsors of terrorism marks another important
step towards the elimination of its pernicious but surprisingly resilient post-cold war concept of the rogue state.
Mr. Obama on Tuesday had notified Congress of his intent to rescind Cuba's inclusion on the blacklist, after a
lengthy review launched late last year as Washington openly began a rapprochement with its Cold War foe.
In a roll call of supposed infamy that once included almost a dozen countries worldwide, only North Korea still scores
as in all four evil-doer categories, as defined by the former U.S. President George W. Bush. Specifically, it maintains
weapons of mass destruction, supports terrorists, abuses human rights and threatens U.S. interests.
Ronald Reagan kick started Americas fixation with recalcitrant second-tier powers that defy Americas will. In 1985,
he warned the U.S. would not tolerate attacks from outlaw states by the strangest collection of misfits, Looney Tunes,
and squalid criminals since the advent of the Third Reich.
This switch in focus to what Reagan dubbed Murder Inc came despite the ongoing cold war struggle with the Soviet
Union, a superpower rivalry that still had six years to run.
As if anticipating the next stage of global conflict, Reagan picked on Muammar Qadhafis noisily anti-American
Libyan regime in 1986, firing cruise missiles at Tripoli in a failed attempt to silence him. The unilateral Libya attack,
in part a punishment for Qadhafis involvement in terrorism, set a modern precedent in terms of ignoring
international law on loosely defined grounds of self-defence.
Anthony Lake, Bill Clintons national security adviser, formally defined the rogue state concept in 1994, focusing on
recalcitrant and outlaw states that not only choose to remain outside the family [of democratic nations] but also

assault its basic values. Following Reagans Looney Tunes list, he nominated North Korea, Iraq, Iran, Libya and Cuba
as founding members of the rogue state club. Conservatives such as John Bolton, a former senior Bush administration
official, subsequently widened the definition and varied the terminology. Regimes in Afghanistan, Syria, Burma, the
former Yugoslavia, Belarus, Nicaragua, Venezuela, Panama, Sudan and Zimbabwe have all been demonised at various
times.
Washington uses a variety of tools to undermine rogue state foes. Economic sanctions are the norm, backed up by
political and diplomatic ostracism and the targeting of key individuals, as in Iran and North Korea.
But Mr. Obamas overall less confrontational approach since 2009 points to an end to the longstanding American
policy of setting up international bogeymen, then knocking them down. Where U.S. interests and values are
challenged, Mr. Obama has made increasing use of regional coalitions.

China thinks big ahead of Modis visit

China is thinking big ahead of Prime Minister Narendra Modis visit, opening out the possibility of a partnership with
New Delhi in reclusive areas such as nuclear technology and aviation, along with joint forays in West Asia and Africa.
Speaking to a section of the Indian media on Wednesday, Liu Jinsong, Deputy Director General in the Chinese
Foreign Ministry, said in his agenda-setting briefing that the two countries should now look beyond their successful
interaction in Information Technology, where Indias software advantages have complemented Chinese strengths in
the hardware arena. For many years we have talked about our economic cooperation in terms of hardware and
software. However, we now need to further talk about bringing in industry, observed Mr. Liu.
The Chinese are now looking at three advanced areas for collaboration an aspiration that is partly driven by
Beijings Belt and Road policy doctrine, of reviving the land and maritime dimensions of the ancient Silk Road.
China is good at three areas such as high speed railway, nuclear power stations and electricity facilities, Mr. Liu
stressed. He added that India could also partner Beijings rapidly developing aerospace industry.
The Chinese seemed to have factored long term stability along the disputed Sino-Indian border, while defining their
aspirational goals for a deeply enmeshed geo-economic relationship with India.
After its globally acclaimed success in making bullet trains, which have led to discussions with India on the
development of a New Delhi-Chennai high speed link, China has now sharpened its focus on civil nuclear technology
exports. The Chinese are currently engaged in talks with Microsoft founder Bill Gates, who is heading TerraPower a
start-up for developing the travelling wave reactor which can run on depleted uranium to produce significantly
lower nuclear waste.
Beijing is looking at advanced areas, like nuclear technology and aviation,
for cooperation

Sanctions politically motivated: Putin

President Vladimir Putin said on Thursday Russias economy could return to growth in less than two years, despite
Western sanctions which he said were intended to contain his country.
In a confident performance during a televised call-in show, Mr. Putin sounded defiant and patriotic, assuring viewers
that Russia will survive an economic crisis deepened by the sanctions and low oil prices, and will always stand up to
the West. The former KGB officer, in power for 15 years, made clear he mainly blames the West for Russias economic
problems, including the weak rouble, high inflation and falling revenues.

Sitting at a desk in a television studio in front of rows of telephone operators taking calls from viewers, Mr. Putin,
wearing a suit and tie, said the sanctions were politically motivated by Western powers which he accused of wanting
to contain Russia.
Mr. Putin defended a decision this week to lift a self-imposed ban on the delivery of the advanced S-300 missile
defence system to Iran following an interim deal at talks on Tehrans disputed nuclear programme. He said, however,
that Russia would work as one with its partners at the United Nations - signalling Moscow will not violate sanctions
still in place on Iran - and that the S-300 deliveries would be a deterrent to violence in the Middle East. Mr. Putin has
held a call-in almost every year since he was first elected president in 2000.

Xi comes calling to Pak., bearing gifts worth $45bn

Chinese President Xi Jinping is heading to Islamabad on a two-day visit starting Monday, which, deepened by billions
of dollars of likely investments, is expected to test Beijings capacity to avoid antagonising India too much.
The Chinese President is expected to sign infrastructure and energy deals estimated at $45 billion, which would be
used to build the Pakistani node of Beijings ambitious Maritime Silk Road (MSR).
In turn, this would provide China another point of access into the Indian Ocean, from Pakistans Arabian Sea port of
Gwadar.
The Financial Times is reporting that $34 billion of the $45-billion investment will go into new energy projects.
Another $11 billion will be pumped into new infrastructure projects linked to the Pakistan-China economic corridor,
which has been woven into the MSR initiative.
The Karachi-Gwadar-Kashgar rail and road link is at the heart of this project.
During Mr. Xis visit, China is expected to finalise with Pakistan, a deal for eight diesel electric submarines a move
that is bound to raise concerns in India. In a measured response, Defence Minister Manohar Parrikar observed,
during the course of an interview, that India will have the capability to match the proposed Pakistani acquisitions.
$34 billion to be invested in new energy projects

India factor in Silk Road project to temper Beijing-Islamabad ties

China is expected to finalise with Pakistan a deal for eight diesel-electric submarines during President Xi Jinpings
visit next week. Defence Minister Manohar Parrikar, however, has said New Delhi has the ability to match the
proposed acquisitions by Islamabad.
I do not see it as a big problem because we will have enough submarines by the time Pakistan gets these eight. By the
time they get the deliveries, we can manufacture 15-20 submarines, he said in an interview.
Second nuclear-strike capability
But analysts say the devil would be in the detail, for Indian security interests could be gravely affected if China
cooperates with Pakistan to turn the submarines into platforms for a second nuclear-strike capability.
Reports in Bloomberg have quoted Iskander Rehman of the Washington-based Atlantic Council as saying that
Pakistani naval commanders may want to follow Israels example of equipping conventional submarines with nucleartipped missiles.
Pakistan formed the Naval Strategic Force Command Headquarters in 2012, which would be in charge of the nations
second-strike capability, a statement on a Pakistan military website had said.

Despite the special relationship between China and Pakistan, observers say that India has acquired fresh leverage in
its ties with Beijing, which is seeking New Delhis cooperation to fulfil its aspirations to develop the critically
important Silk Road blueprint.
Some Chinese academics in government-linked think tanks say that China is wary that the United States in the
Western Pacific, India in the Indian Ocean, and Russia in Central Asia could be possible impediments to the belt and
road initiative, a coinage that encompasses Chinas plan to develop the land-based Silk Road Economic Belt and the
21st century MSR.
Indias concerns
Ahead of Prime Minister Narendra Modis visit to China, there appears to be greater sensitivity in Beijing to Indias
concerns regarding terrorism that originates from Pakistan. In a conversation with a group of Indian journalists, Hu
Shisheng, of the China Institute of Contemporary International Relations, stated that, Indias concerns over
terrorism will be addressed in a more constructive way.
Anti-terror cooperation
However, he pointed out that China and Pakistan have been undergoing very close anti-terror cooperation,
especially to safeguard the Gwadar-linked economic corridor an observation that reflects Beijings emerging
dilemma of striking a balance between Chinas all-weather ties with Pakistan and a rapidly maturing relationship
with India, under President Xis watch.

Sri Lanka neither pro-India nor pro-China: Wickramasinghe

Sri Lankan Prime Minister Ranil Wickramasinghe has said Sri Lanka is neither pro-India nor pro-China.
Mr Wickramasinghe was replying to questions from reporters during his visit to the Sreekrishna Temple here on
Saturday. As about his controversial statement in an interview to a Tamil TV channel that Indian fishermen might be
shot if they intruded into Sri Lankan waters, he said: The Sri Lankan government primarily represents the interests
of Sri Lankans.
Calling for better ties between the two countries, Mr. Wickramasinghe said: We must move ahead, pointing to visits
by Sri Lankan President Maithripala Sirisenas to India and Prime Minister Narendra Modis visit to Sri Lanka.
Mr. Wickramasinghe said his visit to the temple was for thanksgiving. I had promised to offer worship in the temple
if the results in the Sri Lankan elections were favourable. His wife Maitree Wickramasinghe and Sri Lankan Minister
for Resettlement, Reconstruction and Hindu Religious Affairs D. M. Swaminathan accompanied him. He offered
thulabharam with sandalwood.

Accord to transfer tax to Palestine

Israel has agreed to transfer in full hundreds of millions of dollars in taxes collected for the Palestinian Authority (PA)
but frozen in a row over the International Criminal Court, the Palestinian Premier said.
Rami Hamdallah, in a statement from his office late on Friday, said Israel pledged at a meeting with Palestinian
officials to hand over the taxes collected between December and March, amounting to almost half a billion dollars.
Israeli media said the transfer of 1.8 billion shekels would take place on Monday.
The monthly funds account for two-thirds of the Palestinians annual budget, excluding foreign aid.

Yemen clashes: 44 killed

Clashes between rebels and pro-government forces in Yemen and Saudi-led air strikes killed 44 people, medics and
local sources said on Sunday, as Riyadh pledged to cover a U.N. humanitarian aid appeal. The U.N. says hundreds of
people have died and thousands of families fled their homes since the air war was launched on March 26 at the
request of embattled President Abedrabbo Mansour Hadi.
Ten Huthi rebels and four members of the popular committees militia fighting on the side of Mr. Hadi were killed in
pre-dawn clashes in the southwestern city of Taez, the sources said. The city has become the scene of fierce clashes
over the past week, after having been largely spared in fighting that has spread across several Yemeni provinces.
Saudi King Salman ordered the aid pledge following a U.N. appeal on Friday for $274 million in emergency assistance
for the millions affected by Yemens multi-sided conflict. AFP
Saudi Arabian King pledges aid following U.N. appeal

Xi launches $46-bn investment plan in Pakistan

Project aims to create direct links between China and the Arabian Sea.
Brushing aside Indias concerns, China on Monday cemented its allweather ties with Pakistan by agreeing to build
a strategic USD 46billion economic corridor through the PoK as part of 51 deals signed, expanding the communist
giants influence in the region.
Chinese President Xi Jinping unveiled his countrys biggest overseas investment the ambitious 3,000 kmlong
ChinaPakistan Economic Corridor (CPEC) during his historic maiden state visit to Islamabad.
A total of 51 agreements were signed in different fields, including infrastructure projects, energy generation,
agriculture, education, telecommunications and research.
Of the 51, 30 agreements were linked to the strategic corridor, regarded as the biggest connectivity project between
the two countries after Karakoram highway built in 1979.
It will shorten the route for Chinas energy imports from the Middle East by about 12,000 kms.
The CPEC will link Chinas underdeveloped farwestern region to Pakistans Gwadar deepsea port on the Arabian
Sea via PoK through a massive and complex network of roads, railways, business zones, energy schemes and
pipelines.
The corridor expected to be ready in three years and provide about 10,400 MWs of electricity gives China direct
access to the Indian Ocean and beyond.
Pakistani Prime Minister Nawaz Sharif, who along with Mr. Xi witnessed the agreements signing ceremony after
holding talks with him earlier, said the two countries decided to increase regional and economic cooperation and that
it considers Chinas security as important.
I have assured Xi, Chinas security is as important to us as Pakistans security, Mr. Sharif said, adding: Friendship
with China is the cornerstone of Pakistans foreign policy.
Today, we have planned for the future, he added.
Mr. Xi who is also the General Secretary of the ruling Communist Party has undertaken his first foreign visit this
year, choosing to go to Pakistan after postponing it earlier.
The Chinese President approved the project, said to be worth USD 46 billion, despite serious security concerns in
Chinas restive Muslimdominated Xinjiang province as well as the Taliban threat in Pakistan.

The CPEC is part of the mega Silk Road project initiated by China to firm up its connectivity to Europe, Asia and
Africa through roads and port networks.
Pakistan hopes the investment the initial focus of which is on electricity will end its chronic energy crisis and
transform the country into a regional economic hub by stabilising its cashstrapped economy, that had forced it to
seek loans from the World Bank and the IMF in the past.
Mr. Xis trip is taking place ahead of Prime Minister Narendra Modis visit to China next month.
Assistant Foreign Minister Liu Jianchao had played down Indias concerns of it being laid through the PoK, saying
that it is a commercial project.

India to hand over three Cheetal copters to Kabul

Prime Minister Narendra Modi is scheduled to hand over three indigenously-built Cheetal multi-role helicopters
during the visit of Afghanistan President Ashraf Ghani to India at the end of this month, diplomatic sources
confirmed. This comes amid increasing perception that Indias strategic space in Afghanistan is under threat after
formation of the new Unity government there and its major policy shift towards Pakistan and China.
Cheetals are the upgraded variants of Cheetah light utility, multi-role helicopters built by Hindustan Aeronautics
Limited. They can be used for personnel transport, casualty evacuation, reconnaissance and aerial survey, logistic
support and rescue and can operate in high-altitude areas, a critical requirement for Afghanistan's mountainous
regions. They have been customised as per the requirements of Afghanistan and will not be armed, the sources said.
Repeated requests
Afghanistan has in the past repeatedly requested India for military assistance and lethal hardware, including tanks,
helicopters and artillery guns among others in addition to training of military personnel. But India had been reluctant
to antagonise Pakistan which views Indias role in Afghanistan with suspicion.
Strategic patnership
Officials said that the choppers are being supplied under the strategic partnership agreement between the two
counties signed in 2011.
They were promised to Afghanistan in 2014 when Afghanistan President Hamid Karzai visited India and met with
then Prime Minister Manmohan Singh and National Security Adviser Shivshankar Menon but the delivery got
delayed for several reasons.

Emphasis on Gwadar-Kashgar economic corridor

China on Tuesday catapulted itself as Pakistans unrivalled partner, riding on a string of mega deals, mainly focussed
on developing the Gwadar-Kashgar economic corridor a passage that would allow Beijing strategic access to the
Indian Ocean.
On Monday, visiting Chinese President Xi Jinping and Pakistani Prime Minister Nawaz Sharif signed agreements
worth $28 billion, which nearly equals the amount that Islamabad has received in a decade from the United States in
support of its war in Afghanistan.
Economic corridor
The bulk of this amount is being spent on the development of the 3,000 km China-Pakistan Economic Corridor
(CPEC), which will host roads, railways, energy pipelines and industrial parks. Pakistan says China will invest up to
$37 billion in energy projects that would generate 16,400 MW of power.

Concessional loans will fund infrastructure projects worth $10 billion. China wants to develop the corridor as one of
the arteries that head out of its restive province of Xinjiang, which can then access the markets of South Asia, West
Asia and Africa. This is possible on account of Gwadars location on the tri-junction of these lucrative geographic
zones. China is also investing heavily in Xinjiang as a gateway to Central Asia and Europe as part of the Eurasian Silk
Road Economic Belt (SREB), President Xis signature belt and road initiative.
Though CPEC will pass through a lawless, insurgency-prone zone, Pakistan has promised to counter it by deciding to
deploy a Special Security Division, consisting of nine battalions of the Army and six battalions of the civilian forces.
These troops are meant to ensure the safety of the Chinese workers who are expected to arrive in strength in the area.
During the visit, Mr. Xi met the chiefs of Pakistans armed forces, but there was no official word on Tuesday about the
widely anticipated $6 billion submarine deal that the two countries were expected to finalise during his stay.
A major part of assistance to Pakistan being spent on development of the 3,000 km corridor

Morsy sentenced to jail for 20 years

An Egyptian court on Tuesday sentenced ousted President Mohamed Morsy to 20 years in prison for abuses against
protesters but acquitted the Islamist leader of charges carrying a possible death penalty.
Morsy was convicted of ordering the arrest and torture of demonstrators involved in clashes in 2012 when he was
President, in a verdict Amnesty International denounced as a travesty of justice.
Fourteen others were convicted of the same charges, with most also sentenced by the Cairo court to 20 years in jail.
It acquitted the defendants of inciting murder in connection with the deaths of a journalist and two protesters during
the December 5, 2012 clashes outside the presidential palace in Cairo.
Morsy, dressed in a white prison uniform and standing in a soundproof cage, raised his fists when the verdict was
announced, an AFP correspondent reported from the courtroom.
Defence lawyers said they would appeal the convictions while rights groups voiced alarm at the ruling, the first in a
series of trials Morsy is facing.
This verdict shatters any remaining illusion of independence and impartiality in Egypts criminal justice system,
said Hassiba Hadj Sahraoui, Amnestys deputy Middle East and North Africa director.
She called for a full retrial or the ex-presidents release.
Egypts first freely elected leader, Morsy came to power following the 2011 ouster of long-time autocrat Hosni
Mubarak in a popular uprising.
But after just a year in power, Morsy was himself toppled by then-army chief and now President Abdel Fattah al-Sisi
following mass street protests.
Morsys Muslim Brotherhood has been blacklisted and targeted in a government crackdown that has seen hundreds
killed and thousands thrown in jail.
Other Brotherhood leaders have been sentenced to death and Tuesdays decision to acquit Morsy on the incitement to
murder charge left some surprised. We were expecting them to be convicted of murder, Ramy Ghanem, a lawyer for
an anti-Morsy protester who was wounded in the clashes, told AFP.
But the sentences are not bad. We were expecting life in prison, but then 20 years is not very different, he said. A life
sentence in Egypt is 25 years.

California Assembly describes 1984 riots as genocide

The California State Assembly has passed a resolution describing the 1984 riots as genocide and recognised the
responsibility of the Indian government in the alleged rape, torture and murder of thousands of Sikhs across India.
Co-authored by Sacramento area assembly members Jim Cooper, Kevin McCarty, Jim Gallagher and Ken Cooley, the
resolution states government and law enforcement officials organised, participated in, and failed to intervene to
prevent the killings.
Further remarks declared that the atrocities were a genocide since it resulted in the intentional destruction of many
Sikh families, communities, homes, and businesses, said the American Sikh Political Action Committee.
Although we cannot change the horror of the events of 1984, as an Assembly member representing families of
genocide victims, I felt it was important that we tell the truth about those events and honour the thousands of victims.
Sikhs around the world should know that, here in California, we will always stand against intolerance and will not
forget the tragedy of 1984, said Mr. Cooper

Slew of pacts under discussion ahead of Ghani visit

Agreements on mutual legal assistance, motor vehicles movement and between chambers of commerce are under
discussion ahead of Afghanistan President Ashraf Ghanis visit to India from April 27 to 29.
The Afghan President, on his first state visit to India, is expected to meet with Prime Minister Narendra Modi on April
28, when India will announce the handing over of three Cheetal helicopters. In a sign of the close relationship
between the two countries, President Ghani will be staying at Rashtrapati Bhavan as a guest of President Pranab
Mukherjee.
While the mutual legal assistance agreement will allow India and Afghanistan to cooperate on criminal and civil
matters, the motor vehicles agreement will allow Indian and Afghan vehicles to traverse each others countries.
Pressuring Pakistan
The motor vehicle agreement will only exist on paper until Pakistan also signs similar treaties with India and
Afghanistan. The agreement is being seen as a way of putting pressure on Pakistan to expedite the process. Pakistan
had held up a SAARC agreement on the issue in November last year, citing objections from its truckers lobby to free
access for vehicles.
India and Afghanistan are also keen to push Pakistan to allow trade between the two countries to transit through
Pakistan, according to the Afghanistan Pakistan Transit Trade Agreement (APTTA), while increasing bilateral trade
through other routes.
Transit trade agreement
Afghanistan is also hopeful of signing a trilateral transit trade agreement with Iran and India soon, once India
completes its ongoing project to refurbish the Chabahar port, Ambassador to India Shaida Abdali said recently.
During Mr. Ghanis visit, India may also step up cooperation on defence training by increasing the number of slots for
Afghan National Army (ANA) officers and soldiers, according to unconfirmed reports. Since the 2011 Strategic
Partnership was signed, India has regularly trained Afghan army personnel, and about 300 defence cadets are
presently undergoing training here.
As The Hindu had reported earlier this week, the three Cheetal helicopters India is giving to Afghanistan have been
built by Hindustan Aeronautics Limited (HAL) and can be used for personnel transport, casualty evacuations,
reconnaissance missions and support and rescue operations. An earlier request from Afghanistan to fit these with
Light Machine Guns was, however, declined as India has avoided supporting offensive operations in Afghanistan or

providing the Afghan National Security Forces (ANSF) with lethal weaponry. Even so, the aircraft is much needed
by Afghanistan for its ability to handle mountainous terrain.
In a testimony to the internal security committee of the parliament in Kabul last week, Chief of Army Staff General
Sher Mohammad Karimi had said that his armys fast depleting and few aircraft were responsible for a sharp spike
in civilian and military casualties this year.
During his visit to Delhi, President Ghani will deliver a lecture, entitled The (re)birth of the Asian Continental
Economy: Regional cooperation and Afghanistans cooperative advantage. Analysts say he will also seek to address
concerns in New Delhi that Afghanistans new government has taken a more distant view of its relations with India,
vis--vis Pakistan and China, both countries Mr. Ghani has visited already.

Asian giants promise jobs, trade

Sixty years after the Bandung Conference, China, Japan and India are opening their wallets, and perhaps their hearts,
to woo Asia and Africa signalling how developmental economics has upstaged the non-aligned doctrine that was
the flavour of the day in 1955.
In his keynote address at the Asian African Conference here, Chinese President Xi Jinping, announced duty free
access to 97 per cent items produced in the Least Developing Countries, that have diplomatic ties with China.
The Chinese President also attempted to bolster his countrys Soft Power, by offering to train 1,00,000 people in
developing countries in Asia and Africa over the next five years.
He reiterated his countrys focus on integrating and developing the economies of Eurasia under the Silk Road
initiative. China has deployed a $40 billion Silk Road fund, and has played a leading role in forming the Asian
Infrastructure Investment Bank (AIIB), which will be used to develop infrastructure along the Asian leg under the
belt and road plan.
Bolstered by its pioneering role along the Silk Road, President Xi advised industrialised countries not to tie political
conditions to their aid to developing countries. He also called for injecting positivity in international relations, which
should be based on fairness, and seek win-win outcomes.
At the summit, India also showed that it had fresh ideas to re-engage developing countries in Asia and Africa.
External Affairs Minister Sushma Swaraj noted in her address that considering they were part of its extended
neighbourhood, India had launched the Act East policy towards Asia, complemented by the renewed Africa policy.
India was also collectively engaging Africa under its flagship India-Africa Forum Summit, whose third edition would
be held in October this year.
Japan, Chinas main regional rival, launched its charm offensive targeting the Afro-Asian cluster that had assembled
in the Indonesian capital.
Asian and African nations are no longer Japans aid recipients, said Shinzo Abe, Japanese Prime Minister. They are
now Japans partners for growth. He pointed out that Tokyo would offer industrial training and technology to
3,50,000 people throughout the region. The Prime Minister added that trade deals under negotiations, such as the
Trans-Pacific Partnership, Regional Comprehensive Economic Partnership and Free Trade Area of the Asia-Pacific
will all eventually head toward Africa.
Xi-Abe meet
The summit provided an opportunity for a 29 minute, one-on-one exchange between President Xi and Premier Abe.
At the end of the meeting, which analysts said signalled recognition by both countries of the need not to derail ties,
Mr. Abe sounded statesmanlike. The development of relations between our countries is in the interests of the people
of Japan and China, he observed. By promoting strategic, mutually beneficial relations, we contribute to the stability
and prosperity of the region and the world.

Armenians mark 100 years since Ottoman massacre

Armenians on Friday marked the centenary of the massacre of up to 1.5 million of their people by Ottoman forces as
tensions mounted over Turkey's refusal to recognise the killings as genocide.
In the capital Yerevan, Armenian President Serzh Sarkisian and first lady Rita Sarkisian laid a wreath at a hilltop
memorial at the start of a solemn ceremony commemorating the mass killings that began in 1915.
Under a leaden sky shedding rain, foreign diplomats followed, each holding a yellow rose to put into the wreath laid at
the foot of a monumental 44-metre needle, symbolising the nation's rebirth.
French President Francois Hollande and Russia's Vladimir Putin, who are among a handful of world leaders to visit
for the anniversary, then joined the ceremony.
Hundreds of thousands of Armenians will later join a procession to the genocide memorial Armenia's most visited
landmark carrying candles and flowers to lay at the eternal flame.
Members of the massive Armenian diaspora that came into existence as a result of the slaughter that went on until
1917 were also to commemorate the sombre anniversary in cities around the world.
The patchy list of foreign dignitaries attending commemorations in Yerevan highlights the lack of international
consensus over Armenia's bid to get the massacres recognised internationally as a genocide.
Many foreign leaders shied away for fear of upsetting Ankara.
More than 20 nations including France and Russia have so far recognised the Armenian genocide, a definition
supported by numerous historians. Turkey has said up to 500,000 people were killed, but mostly due to war and
starvation, and rejects the use of the term genocide.

Iran backs Chinas inclusion

Extension of Iran-Pakistan pipeline will be a blow to India: experts
Iran has jumped decisively on the belt and road bandwagon, flagging its interest in linking China with its proposed
natural gas pipeline to Pakistan.
I don't think it's too far away [for] this pipeline to be extended to China through Pakistan. That is something that
would be of common interest to Iran, China and Pakistan, Irans ambassador to China Ali Asghar Khaji told South
China Morning Post .
Irans Press TV is reporting that China has signed an initial agreement to construct the pipeline from Gwadar to
Nawabshah in the southwest of Pakistan, during President Xi Jinpings visit to Pakistan, which concluded earlier this
week. Gwadar is also the starting point of the China-Pakistan Economic Corridor (CPEC) which was formally
inaugurated during the presidential visit. The CPEC will terminate in Chinas Xinjiang province which is already an
energy hub from where imported gas from Central Asia is channeled to Chinas industrial heartland along the coast.
Analysts say that extension of the Iran- Pakistan pipeline to China will be a blow to India, which had pioneered with
Iran, the concept of the an Iran-Pakistan-India (IPI) peace pipeline in 1995. The Iranians have blamed India of
dropping out of the project under pressure from the United States in 2009. As reported then by The Hindu , the
Iranians had responded to Indias concerns, stated, in the form of non-paper in 2008, which included clarifications
regarding the precise origin of the gas in Iran, as well as the point of delivery along the India-Pakistan border .
The Wall Street Journal had earlier reported the China Petroleum Pipeline Bureau, a subsidiary of Chinese energy
giant China National Petroleum Corporation, will build the 700 km pipeline to Nawabshah, which is Pakistans gasdistribution center in the Sindh province.

Pakistan would build the 80 km of the pipeline from Gwadar to the Iranian border, where it would link with the
already existing 900 km pipeline link to the gas fields of South Pars.
Flurry of activity
There has been a flurry of activity in anticipation of a possible lifting of sanctions against Iran, following the nuclear
framework agreement that Tehran had signed in Switzerland, with the six global powers, earlier this month. That has
included the visit to Beijing by Irans oil minister, Bijan Namdar Zanganeh, who went on record to laud China for
backing Tehran during the peak of sanctions. He went on to say that the Islamic Republic was willing for that
cooperation to continue when sanctions are removed.
On Thursday, the Iran-China relationship seemed gather greater political substance. During a meeting in Jakarta, on
the sidelines commemorating 60-years of the Bandung conference, President Xi told his Iranian counterpart , Hassan
Rouhani of Beijings intent to forge a long term and stable energy cooperation with Iran.

Changed variables, same equation

The Afghanistan President, Dr. Ashraf Ghani, will be in India this week, beginning today, on his first official visit here.
There has been speculation about the fact that he is visiting New Delhi after having made, ever since assuming office
in late September 2014, two visits in the region, namely to China (October 2014) and also to Pakistan (November
2014), and then to the United Kingdom (December 2014), Saudi Arabia (March 2015), and the United States (March
2015). Therefore, this delay sends out its own message about a reprioritisation in Afghanistans foreign policy calculus
about relations with India. It marks a sharp contrast to the kind of warmth that his predecessor, Hamid Karzai,
displayed towards India and the comfort levels that he enjoyed with the Indian leadership, cutting across party lines.
Afghanistans first Strategic Partnership Agreement was signed with India in 2011 and was supported across the
board in the Afghan Parliament at the time of ratification. While Dr. Ghani is no stranger to India, this time around
he will be under scrutiny for what he says about how he visualises India-Afghanistan relations and, equally, what
questions he chooses to sidestep. He will do well to keep in mind that he is engaging with a new Indian leadership
which has adopted a more robust and active foreign policy posture and displayed no anxiety about the fact that he
waited for six months before visiting New Delhi.
Trajectory of violence
Incidentally, Mr. Karzai also had his share of ups and downs with India. In the early years, he tried hard to build
relations with Pakistan, confident that the U.S. would back him in this effort but became disillusioned when he
discovered that it had no stomach for reining Pakistan in, even after realising that the growing Taliban insurgency had
its roots across the border. The first Presidential election in Afghanistan in 2004 passed off peacefully because U.S.
President George Bush had virtually read out the riot act to General Pervez Musharraf, ensuring Pakistans
cooperation in controlling the border. But after October 2005, when the parliamentary elections were over, it was as if
a tap had been turned on with the number of suicide attacks and improvised explosive device (IED) blasts
skyrocketing. Between 2001 and October 2005, there had been four suicide attacks in Afghanistan; the figure jumped
to 15 during the last quarter of 2005. As Gen. Musharraf candidly acknowledged in an interview a couple of months
ago, Pakistans Inter-Services Intelligence (ISI) was supporting the Taliban in its efforts to destabilise Mr. Karzais
government. Such was Gen. Musharrafs paranoia about Indias role in Afghanistan that he once told Mr. Karzai
during an official meeting that India was running more than 25 consulates in Afghanistan! Gen. Musharraf, and
subsequently former Chief of Army Staff Gen. Ashfaq Kayani, would demand evidence from Afghanistan every time
Mr. Karzai complained about the activities of the Quetta and Peshawar shuras or the Haqqani group (led by Hussain
Haqqani); a charade that only ended after Osama bin Laden was killed in Abbottabad in 2011.
Internal pressures
As violence levels rose in Afghanistan, so did Western casualties. Gradually, the nature of the Pakistan Armys double
game became apparent, but by this time, Western countries had lost the appetite for their Afghan engagement and
were seeking an exit. Mr. Karzai foresaw this as early as 2007. He also realised that this would leave Afghanistan at
the mercy of the ISIs manipulations and concluded that he had to engage the Taliban in a peace process. Initially, the
U.S. was opposed to the idea but Mr. Karzai went ahead with the setting up of the High Peace Council in 2010. He
persuaded former Afghan President Burhanuddin Rabbani to chair it. The Council did not achieve much and the

following year, Rabbani was killed in a Taliban suicide attack. Mr. Karzai wanted to control the peace process, and
through the Council tried to wean away some of the Taliban commanders, but the ISI stranglehold proved to be too
strong. Eventually, when the U.S. put its weight behind opening the Taliban office in Doha, Qatar, to promote
reconciliation, it came to the same conclusion and the process has remained stillborn.
Unlike his predecessor, Dr. Ghani is more of a technocrat rather than a politician. As Finance Minister during
President Karzais first term, Dr. Ghani conceptualised the National Solidarity Programme (NSP), a local communityled development programme. Incidentally, this highly successful scheme was ably implemented by Mohammad Hanif
Atmar who is now Dr. Ghanis National Security Adviser. Unlike Mr. Karzai who could spend hours interacting closely
with tribal leaders, Dr. Ghani is more at home with policy wonks, graphs and power point displays and hardly
tolerates dissent. Second, he is a man in a hurry. He knows that his election was a contested one. His legitimacy rests
on the tenuous compromise of a National Unity Government, backed by the U.S.s heavy diplomatic lifting, with
presidential candidate Dr. Abdullah Abdullah reluctantly accepting the newly created post of a Chief Executive
Officer. On September 21, 2014, the Independent Election Commission of Afghanistan had merely announced the end
of the election process and declared Dr. Ghani the President but voting results were withheld with no mention being
made about the internationally monitored comprehensive audit of all the ballots. Power sharing between the
President and the CEO has not happened leading to strains within the political system and delaying cabinet formation
and crucial administrative appointments. This is why both leaders undertook a joint visit to the U.S. last month. Dr.
Ghani also realises that the U.S. is headed for elections in 2016 and while he was able to persuade U.S. President
Barack Obama to maintain the current U.S. troop presence of nearly 10,000 till end-2016, there is uncertainty about
the U.S. and Western role and commitment, post-2016.
Dr. Ghani is under pressure to conclude a peace process with the Taliban and get some investment into the Afghan
economy so that economic growth, which has declined from nine per cent annually, during the last decade, to two per
cent is resumed. He is all too aware of Pakistans ability to play the role of spoiler and has tried hard to start on a
clean slate with Pakistan. To demonstrate his goodwill, he made it a point to call on Gen. Raheel Sharif at the General
Headquarters in Rawalpindi, in 2014, in a notable departure from protocol. In December last year, Latif Mehsud, a
senior Tehreek-e-Taliban Pakistan (TTP) commander, who was held in Bagram, Afghanistan, was handed over to the
Pakistani authorities. TTP infiltration across the Durand Line has been blocked by strengthening Afghan Army
deployments in provinces like Kunar and Nuristan. Also, for the first time, six Afghan cadets are training at the
Pakistan Military Academy at Kakul. But, so far, there is little to show for it. The Taliban has launched the spring
offensive by declaring its Operation Azm. A deadly suicide attack in Jalalabad, Pakistan, claimed more than 30
civilian lives on April 18. On April 10, an Afghan Army outpost in Badakhshan was overrun by militants who
beheaded eight soldiers. The brutality has led to speculation about whether these incidents might be the handiwork of
the Islamic State (IS) making forays into the Afghan theatre or by yet another militant group incubated in the AfPak
nursery under a different name.
Looking to China
In addition to wooing the Pakistan Army, Dr. Ghani is also trying to get China to invest in Afghanistans
reconstruction. Given the uncertainty about sustained Western financial support, if the Chinese can be tempted to
invest as part of the One Belt, One Road initiative, it could even generate pressure on the ISI to enable a meaningful
peace process with the Taliban to move forward. The announcements made during Chinese President Xi Jinpings
recent visit to Pakistan, in April, about projects worth $46 billion being launched around the China-Pakistan
Economic Corridor, coupled with Gen. Sharifs statement that a dedicated division could be raised to ensure security
for the Chinese-aided projects would have sounded encouraging to Dr. Ghani.
Engaging with India
India need not feel unduly concerned about Dr. Ghani testing his Pakistan-China project. This does not diminish the
wealth of goodwill built up over the past decade with all sections of the Afghan community covering countrywide
economic cooperation projects, infrastructure, health, nutrition, institution building, human resource development
and industry. This cooperation should be expanded provided security is managed. Dr. Ghanis desire not to purchase
military hardware from India is not a rebuff, for Indias capabilities to provide lethal military hardware are extremely
limited. Instead, we should urge Dr. Ghani to use his influence to open up transit through Pakistan for India-Afghan
trade so that Afghan farmers can rediscover their traditional markets for fruit and dry fruits. Today, the Afghan
Pakistan Transit and Trade Agreement (APTTA) is seen as a barrier because of delays at the borders, restrictions on
vehicles, and Afghan trucks having to return empty as they are barred from picking up Indian goods! At the same
time, India needs to accelerate the expansion of the Chabahar port on the Iranian coast which provides an alternative
route to Afghanistan and Central Asia.

Even as Dr. Ghani clears the air about his agenda, India should wish him well, for as a proud Pashtun, and as a proud
Afghan, he understands that India is a strategic partner because we share the same vision of a stable, united,
independent and democratic Afghanistan where all its ethnic groups live and prosper together.
India should urge Ashraf Ghani to use his influence to open up transit through Pakistan for trade
so that Afghan farmers can rediscover their traditional markets for fruit and dry fruits.
Though no stranger to India, Ashraf Ghani will now be under scrutiny for what he says about how
he visualises India-Afghanistan relations. He will be engaging with a new Indian leadership that
has displayed no anxiety about the fact that he waited for six months before visiting New Delhi

China to integrate Mongolian, Russian initiatives with MSR

In tune with its effort to interface Indias Mausam and Spice Route projects with its Maritime Silk Road (MSR)
initiative, China is making headway in integrating a Mongolian and a Russian initiative to develop another spur of its
ambitious Silk Road land corridor.
China wants to include Mongolias Steppe road initiative, and link up with the Moscow-driven transcontinental rail
plan to develop the China-Mongolia-Russia (CMR) economic corridor.
The CMR initiative is similar to two other undertaking initiated by China: the recently inaugurated Pakistan-China
economic corridor, and the Bangladesh-China-India-Myanmar (BCIM) corridor.
China is encompassing a string of initiatives, hoping to sprout several new growth engines in Eurasia under the
Belt and Road umbrella.
Faced with the challenge of convincing governments to integrate their national plans within the Belt and Road
initiative, the Chinese have already sounded their readiness to enmesh Indias Mausam and Spice Route projects
within the framework of its larger plans.
Link with Mausam
Chinas ambassador to India, Le Yucheng told The Hindu , in an interview that China was willing to strengthen
communication and coordination with India, to link the Belt and Road initiatives with Indias Spice Route and
Mausam projects, and bring tangible benefits to the peoples in our two countries and throughout the region.
Beijing wants to include Mongolias Steppe road initiative, and link up with the Moscow-driven
rail plan

U.S., Japan agree on new defence rules

The United States and Japan unveiled new rules for defence cooperation Monday in a historic move that will give
Japanese armed forces a more ambitious global role amid concerns over Chinas rising sway.
Under the revised guidelines, Japan could come to the aid of U..S forces threatened by a third country or, for example,
deploy minesweeper ships to a mission in the Middle East.
New doctrine
U.S. Secretary of State John Kerry and Defense Secretary Ashton Carter and Japanese Foreign Minister Fumio
Kishida and Defense Minister Gen Nakatani revealed the new rules after talks in a New York hotel.

Although officials said the new doctrine is not aimed at China, there has been increasing concern over moves by
Beijing to try to scoop up disputed areas of the South China and East China Seas.
But they pointedly made mention of North Korea as another source of tension in the region.
Mr. Kerry stressed that the United States saw the disputed Senkaku islands, known in Chinese as the Diaoyus, as
firmly under Japans control.
Washingtons commitment to Japans security remains ironclad and covers all territories under Japans
administration, including the Senkaku islands, Mr. Kerry said. The sovereignty of the isles have been the source of
friction between Tokyo and Beijing for decades.
The guidelines came a day before U.S. President Barack Obama rolls out the red carpet at the White House for
Japanese Prime Minister Shinzo Abe for a high-profile visit.
Reinterpretation
Under the previous rules, Japanese forces could assist American troops only if they were operating in the direct
defence of Japan.
The amended guidelines were drawn up to reflect a reinterpretation of Japans Constitution by Mr. Abes government
last year, which allows for collective defence.
The new defence guidelines are part of Mr. Abes bid to soften Japans constitutional commitment to pacifism.
Tokyos readiness to embrace what Mr. Abe calls proactive pacifism comes amid growing anxiety in Japan and
across Asia over Chinas rising military and economic might.

Sri Lanka adopts 19th Amendment

Marking the beginning of a new chapter in the contemporary political history of Sri Lanka, the Parliament on
Tuesday night adopted the 19th Constitutional Amendment with an overwhelming majority. The legislation envisages
the dilution of many powers of Executive Presidency, which had been in force since 1978.
Marathon sitting
At a marathon sitting that lasted over 12 hours, the 225-strong Parliament cleared the Bill with 212 members voting in
favour of the legislation. Ten members were absent. While one voted against the Bill, another member abstained from
the voting. The 14-member Tamil National Alliance (TNA) also supported the Bill.
After announcing the results of the third reading at about 11 p.m., Speaker Chamal Rajapaksa adjourned the House.

President Maithripala Sirisena and Prime Minister Ranil Wickremesinghe thanked all the parties that supported the
Bill.
Among the important features of the Bill are: the reduction in the terms of President and Parliament from six years to
five years; re-introduction of a two-term limit that a person can have as President; the power of President to dissolve
Parliament only after four and a half years [unlike one year, as prevalent now]; the revival of Constitutional Council
and the establishment of independent commissions.
Though the abolition of the Executive Presidency was the major electoral promise of Mr Sirisena, the Supreme Court,
in its ruling early this month, held that certain provisions, such as those making Prime Minister the head of Cabinet
and empowering PM to determine the size of Cabinet, would require a referendum. So, the President remains the
head of Cabinet. However, he can appoint Ministers on the advice of Prime Minister.
Earlier in the day, two issues cropped up objections to the composition of Constitutional Council and the provision
regarding the appointment of Ministers.
Eventually, the government agreed to include seven MPs in the Constitutional Council as against the original proposal
of having only non-political members.
225-member Parliament clears the Bill with 212 MPs voting in favour

Amid outrage, Jakarta defends executions

Indonesia faced a storm of international protest on Wednesday for putting seven foreign drug convicts before a firing
squad, but Filipinos rejoiced after a compatriot was spared at the last minute.
Australia withdrew its Ambassador in protest at what it called cruel and unnecessary executions, Brazil expressed
strong regret and France vowed a diplomatic battle to save a citizen still on death row.
Indonesia staunchly defended the executions as a vital front of its war on drugs, as testimony emerged of how the
condemned men went singing to their deaths.
The seven two from Australia, one from Brazil and four from Africa were shot along with one Indonesian, despite
strident foreign appeals and pleas from family members.
Brazil expressed deep regret at the execution of its national, who was mentally ill according to his family, and said it
was weighing its next move. The condemned men reportedly all refused blindfolds and sang hymns, among them
Amazing Grace, as they went to face the firing squad in a jungle clearing, according to a pastor who was with them.
As the clock ticked down to midnight, a group of tearful supporters also sang hymns, embraced and held candles aloft
during a vigil at the port in Cilacap, the gateway to the prison island of Nusakambangan.
A Filipina originally set to be executed was given an eleventh hour reprieve after a woman who allegedly duped her
into ferrying drugs to Indonesia came forward to police in the Philippines.
Reprieve for Filipino
The reprieve for Mary Jane Veloso was hailed in the Philippines as a miracle and a gift from God, but Indonesian
Attorney General Muhammad Prasetyo stressed it was only a postponement to allow time for police investigations.
He added: We are fighting a war against horrible drug crimes that threaten our nations survival.
But we must do it in order to save the nation from the danger of drugs. We are not making enemies of countries from
where those executed came. What we are fighting against is drug-related crimes.

China hits back over South China Sea

The war of words between China and its two main detractors in the South China Sea Vietnam and Philippines
became shriller after Beijing, accused of reclamation work on disputed islands, charged Manila and Hanoi of illegal
construction.
For a long time, the Philippines, Vietnam and other countries have been carrying out reclamations on the Chinese
islands they are illegally occupying in the Nansha Islands, building airports and other fixed infrastructure, even
deploying missiles and other military equipment, said Chinese Foreign Ministry spokesman, Hong Lei, during his
daily briefing.
Mr. Hong was referring to Spratly islands, called by China as Nansha islands.
Detailing his accusations, Mr. Hong said that the Philippines is building an airport and expanding a wharf on Thitu
Island.
Turning to Vietnam, the Foreign Ministry said that Hanoi has been building docks, runways, missile positions, office
buildings, barracks, hotels, lighthouses and helicopter pads on more than 20 islands and shoals.
Stop the infringements
China is resolutely opposed to these illegal activities and demands the relevant countries immediately stop their
infringements on Chinas sovereignty and rights, Mr. Hong observed. Chinas construction in the Nansha Islands is
totally within the scope of our sovereignty; it is reasonable, fair and lawful.
Beijing says its construction in Spratly Islands is within the scope of its sovereignty

BUSINESS
Cabinet approves gas pooling for fertilizer sector
The Cabinet on Tuesday approved a proposal to pool or average out prices of domestic natural gas and imported LNG
used by fertilizer plants to make the cost of fuel uniform and affordable.
Fertiliser plants consume about 42.25 million standard cubic metres a day (mscmd) of gas for manufacture of
subsidised urea. Out of this, 26.50 mscmd comes from domestic fields and the balance 15.75 mmscmd is imported
liquefied natural gas (LNG).
The $5.18 per million British thermal unit price of domestic gas is about half the cost of LNG.
Briefing reporters about the decisions taken by the Cabinet, headed by Prime Minister Narendra Modi, Telecom
Minister Ravi Shankar Prasad said gas pooling would help save Rs.1,550 crore in subsidy, and would benefit 30 urea
plants.
The cost of gas, which is the most important component for production of urea, varies from plant to plant owing to
differential rates at which imported LNG is contracted as well as the cost of transportation.
The Cabinet Committee on Economic Affairs (CCEA) has approved averaging of different rates of domestic and
imported gas to ensure supply of fuel to all urea plants at a uniform delivery cost.

This would help in focusing on improving plant efficiency and might help in price advantage in sourcing of LNG, he
said. The move would help bring down the cost of fuel and help save subsidy.
Sources said the Oil Ministry in its proposal to the CCEA had proposed making state-owned gas utility GAIL India as
the pool operator.
The Department of Fertilisers will determine the total requirement of natural gas and draw plant-wide requirement,
which would then be informed to the pool operator, GAIL.
The pooling mechanism will be effective from next month

12-15% mobile tariff hike likely, say operators

In defiance of the governments dismissal of reports of rate increases last week, the Cellular Operators Association of
India (COAI) said on Tuesday that mobile phone tariffs could go up by 12-15 per cent because of high spectrum prices.
the industrys analysis of the financial implications of the [spectrum] auction indicates an increase of more than 1215 per cent on the present tariffs, to make up for the cash outflows of the operators, COAI said in a statement.
Last week, Telecom Minister Ravi Shankar Prasad said a simple calculation, based on TRAI data, showed that if at all
required, tariffs would not increase by more than 1.3 paise per minute.
Seeking a clarification on these calculations, COAI said the government seemed to have failed to factor in inflation
and the interest on debt the operators would have to pay for funds raised to acquire spectrum in the auction that
ended last week. It said the operators would have to pay 13-14 per cent of their revenues as licence fee and spectrum
usage charge.
While we wait for the answers from the government, we maintain that owing to the increased financial burden, the
industrys cost structure will change drastically and the operators will not be left with much choice but to increase the
tariffs to meet the financial commitments to the government, it said.

Stock options, new blood as PSBs ready for change

The search for talent is more important than banks raising capital to meet tougher international regulatory rules
State Bank of India may offer employee share options, recruit specialists and promote faster-radical changes that
promise to shake up a bloated, debt-heavy sector.
Public sector banks (PSBs) are under pressure to improve profitability and slash bad loans, creating a more agile
sector to help fuel economic growth. For the government and the banks, that has put the focus firmly on one issue:
people.
The primary problem we have to solve in the banking sector is of performance and talent, Minister of State for
Finance Jayant Sinha said recently, noting the search for talent is more important than banks raising capital to meet
tougher international regulatory rules.
SBI enjoys greater autonomy than some of its smaller rivals, but even straight-talking Chairman Arundhati
Bhattacharya is wrestling with basic problems ranging from poor pay to the fallout of a 1990s hiring freeze that left
PSBs with a dearth of senior managers. The Reserve Bank of India has dubbed 2010-20 the retirement decade.
Like her counterparts, Ms. Bhattacharya is grappling with an inflexible recruitment system where mid-career hires of
outsiders are unheard of. PSBs hire largely through a nationwide exam system, bringing in entry-level staff who rise
through the ranks over years.

Ms. Bhattacharya, whose bank employs more than 2.15 lakh people, is also working with the government to
circumvent a 2013 court ruling banning PSBs from campus recruitment at elite universities, using contracts to pull in
the much needed specialists, and even consultants for specific expertise.
Basic problems range from poor pay to the fallout of a 1990s hiring freeze that left public sector
banks with a dearth of senior managers
PSBs hire largely through a nationwide exam system, bringing in entry-level staff who rise through
the ranks over years
The Modi government has promised greater autonomy for individual banks
The Reserve Bank of India has dubbed 2010-20 the 'retirement decade'

Areas like credit, risk, human resources, IT, of course, economic research, analytics: wherever we have specialised
areas, we can get people laterally on a contract basis, she said.
This is a departure for banks that long offered only the option of a job for life, offsetting low cash pay with a web of
benefits such as housing and a generous pension.
Weve flagged to the government that at least a portion of our recruitment we should be able to do from campuses.
The government has assured us they are working on this, Ms. Bhattacharya said.
This should come as a relief to many in the sector who saw the ban supposed to enhance democratic hiring as
emblematic of banks struggles to meet private sector productivity targets while shackled by state constraints.
They want efficiency, but they are tying our hands, fretted one senior official at a large public sector bank.
Prime Minister Narendra Modis government has promised greater autonomy for individual banks such as SBI, and is
also due to allow PSBs to specialise. Recruitment could test its political will not least radical moves like the share
option scheme being debated by the SBI board.
It has not yet fully gone through. But we are working on it, Ms. Bhattacharya said. Definitely in the next 12 months
youll see a lot of changes. That much I am quite sure.

Industry must brace for subsidy withdrawal: Commerce Secretary

Commerce Secretary Rajeev Kher said here on Thursday that the new Foreign Trade Policy had laid down a
framework for not only increasing exports of goods and services but also having more value addition in Indias export
basket.
Addressing trade and industry representatives at a national seminar on the policy organised by the Federation of
Indian Chambers of Commerce and Industry, he said industry must remain alive, and respond, to the fact that in two
to three years, the global trading architecture would undergo a paradigm shift, with competition becoming the key
and subsidies no longer available. The institutional architecture for trading too would change with foreign trade
stakeholders having to take into account mega-regionals such as the trans-pacific partnership and regional
comprehensive economic partnership agreements.
He said the Foreign Trade Policy statement, unveiled by the Modi government on Wednesday, reflected the composite
thinking and strengths of all government departments. It rested on the planks of dovetailing the trade policy with
domestic policy-making; aligning it with a thrust on manufacturing and services; synchronisation with the ecosystems
that were sought to be created for the country; an institutional framework that was inclusive in nature; and
involvement of the State governments as stakeholders in a bid to make India a competitive foreign trading nation.

Director-General of Foreign Trade Pravir Kumar said the thrust of the statement was on simplification of processes
and procedures and making it simpler to do business.
In times to come, subsidies will have to be phased out, he said.
The policy statement reflected the departments effort to bring in 100 procedural reforms. Consultations with the
departments and interactions would be in the digital mode, he said.

Push to finance infrastructure should not override financial stability: Rajan

The required national push to finance infrastructure should not override financial stability, which is key to national
security, Reserve Bank of India (RBI) Governor Raghuram Rajan said here on Thursday.The nation has enormous
financing needs in infrastructure, and far too many of our banks already have too much exposure. Big corporate
infrastructure players have also taken too much debt. Going forward, we need to develop new sources of risk capital
so that our infrastructure needs can be financed with moderate amount of debt, even as we help the system
deleverage, Dr. Rajan said at a function, organised by the RBI to celebrate the its 80th anniversary where Prime
Minister Narendra Modi was the chief guest.
He said India needed deep markets to absorb risks that stayed too often in banks or in corporations.
Here too our track record has been strong. Though many developing country governments are forced to borrow only
in foreign currency, the RBI has fostered a liquid rupee government bond market, where the government today is able
to contemplate issuing 40-year bonds. The rupee is truly becoming international as foreign institutions queue up to
issue rupee denominated bonds, he said
Dr. Rajan said new products supported by the RBI, such as the recently introduced interest rate futures contract, were
doing a roaring business on exchanges.
He said now technology was playing a major role in the banking sector and some banks were even allowing customers
to do all their banking transactions on a mobile phone, without entering a branch or touching a pen.
Our intent is to create an ownership neutral, institution neutral, technology agnostic level competitive arena. For
example, technologies enabling touch-and-go payments will find use even as banks focus on acquiring and analysing
information and reducing transactions costs as they compete to extend financial services to all, he said
The RBIs state-of-the-art payments system would support technology, even as the RBI strengthened its cybersupervision and cyber-security, he added.
Stating that the RBI was today respected for the dedication and capability of its people past and present as well as for
its integrity, the Governor said Strong national institutions are hard to build. Therefore, existing ones should be
nurtured from the outside, and constantly rejuvenated from the inside, for there are precious few of them. In the 81st
year of this great institution let us rededicate it to helping the nation secure prosperity and economic opportunity for
all.
'We need to develop new sources of risk capital so that our infrastructure needs can be financed
with moderate amount of debt'

Understanding green bonds and greener way of financing

Yes Bank and Export-Import Bank of India (Exim Bank) recently tasted success launching what are
called green bonds, a relatively new way to finance renewable energy projects.

As reports suggest, higher interest rates and unattractive terms under which debt is available in India raise the cost of
renewable energy by 24-32 per cent compared to the U.S. and Europe.
What are green bonds?
A bond is a debt instrument with which an entity raises money from investors. The bond issuer gets capital while the
investors receive fixed income in the form of interest. When the bond matures, the money is repaid.
A green bond is very similar. The only difference is that the issuer of a green bond publicly states that capital is being
raised to fund green projects, which typically include those relating to renewable energy, emission reductions and so
on. There is no standard definition of green bonds as of now.
Indian firms like Indian Renewable Energy Development Agency Ltd and Greenko have in the past issued bonds that
have been used for financing renewable energy, however, without the tag of green bonds.
Green bonds are issued by multilateral agencies such as the World Bank, corporations, government agencies and
municipalities. Institutional investors and pension funds also have appetite for such bonds. For instance, investment
funds BlackRock and PIMCO have specific mandates from their investors to invest only in bonds which fund green
projects. The issuer provides periodic reports about the project.
Why are they in the news?
In March, the Exim Bank of India issued a five-year $500 million green bond, which is Indias first dollardenominated green bond. The issue was subscribed nearly 3.2 times. The bank has said it would use the net proceeds
to fund eligible green projects in countries including Bangladesh and Sri Lanka. Earlier, in February, Yes Bank raised
Rs 1,000 crore via a 10-year bond, which was oversubscribed twice.
Why are green bonds important for India?
India has embarked on an ambitious target of building 175 gigawatt of renewable energy capacity by 2022, from just
over 30 gigawatt now. This requires a massive $200 billion in funding. This isnt easy. As reports suggest, higher
interest rates and unattractive terms under which debt is available in India raise the cost of renewable energy by 2432 per cent compared to the U.S. and Europe. India has big goals in terms of renewable energy installations, but a
big hurdle has been financing and the cost of financing, says Raj Prabhu, CEO and Co-founder of Mercom Capital
Group, a global clean energy research and communications firm.
Budget allocations have been insufficient. Renewable energy is still part of the larger power/infrastructure funding
basket in most banks, and with most financing going towards coal power projects, there is very little funding left for
renewable energy. Currently, options for raising funds and investing in the renewable energy story in the public
markets in India is very limited, he says. Thats why green bonds seem like a good option.
Still, why are green bonds an attractive option?
Shantanu Jaiswal, analyst at Bloomberg New Energy Finance, says, Green bonds typically carry a lower interest rate
than the loans offered by the commercial banks. Hence, when compared to other forms of debt, green bonds offer
better returns for an independent power producers, Samuel Joseph, Chief General Manager, Treasury and Accounts
Group, Exim Bank of India, says as these bonds are meant for specific investors looking to invest in renewable energy
projects, pricing could be attractive.
The banks green bond was priced at 147.50 basis points over US Treasuries (whereas, usually, bonds are priced at
treasuries plus 150 basis points) at a fixed coupon of 2.75 per cent per annum.
Why should an investor get excited with lower interest?
Because, it inherently carries lower risk than other bonds. According to a KPMG report, in case of a green bond,
proceeds are raised for specific green projects, but repayment is tied to the issuer, not the success of the projects.
This means the risk of the project not performing stays with the issuer rather than investor.

How well have green bonds performed globally?

According to Bloomberg New Energy Finance, a record $38.8 billion in green bonds were issued in 2014, 2.6 times
the $15 billion issued in 2013. Most issuances of international green bonds have been oversubscribed suggesting a
strong appetite for them especially when done by a strong issuer like a large corporate or a government agency, the
report says.
Who have been the issuers of these bonds?
In the period between 2007 and 2012, supranational organisations such as the European Investment Bank and the
World Bank, as also governments, accounted for most of the green bond issue. Since then, corporate interest has risen
sharply. In 2014, bonds issued by corporations in the energy and utilities, consumer goods, and real estate sectors
accounted for a third of the market, according to KPMG.
What are the risks and challenges?
Globally, there have been serious debates about whether the projects targeted by green bond issuers are green
enough. There have been controversies too. Reuters a few months back reported how activists were claiming that the
proceeds of the French utility GDF Suezs $3.4 billion green bond issue were being used to fund a dam project that
hurts the Amazon rainforest in Brazil.
There could also be a currency risk.
From an Indian perspective, a challenge of making investors subscribe could be the tenor and rating of green bonds,
reckons Bloombergs Jaiswal. The downside is that green bonds in India have a shorter tenor period of about 10
years in India whereas a typical loan would be for minimum 13 years. This is less when compared to many
international issuances. Also, he says, Many target buyers of Indian green bonds may not invest in any bonds that
are rated lower than the AAA-.

Centre to sell 5 per centstake in REC tomorrow

Hopes to garner about Rs.1,600 crore
he Central Government will sell five per cent stake in Rural Electrification Corporation (REC) on April 8 to mop up
close to Rs.1,600 crore, marking the first disinvestment of the current fiscal.
Taking the offer for sale (OFS) route, government will sell over 4.93 crore REC shares.
The offer shall take place during trading hours on a separate window of the stock exchanges and shall commence on
April 8, REC said in a filing to the BSE.
On Monday, shares of REC closed at Rs.335.60, down 0.52 per cent over the previous close on the BSE. The
government is likely to fix the floor price for the OFS at a discount to the current market price.
The five per cent share sale would fetch the exchequer about Rs.1,600 crore.
As much as 20 per cent of the offer size will be reserved for retail investors, who can bid for shares worth Rs.2 lakh.
They will be offered shares at 5 per cent discount to issue price.
Besides, 25 per cent of the offer will be allotted to mutual funds and insurance companies.
REC will be the first PSU to hit the market with OFS in the current fiscal.
The government has budgeted to raise Rs.41,000 crore through minority stake sale in 2015-16.

The disinvestment department has a pipeline of companies to sell minority stake to avoid bunching up of
disinvestment towards the end of the fiscal. It is not very healthy to bunch stocks towards the end of fiscal because
then you cannot watch the market and there is limited depth in market. So one may not get the full worth also. We
will not be bunching them together, Disinvestment Secretary Aradhana Johri had said earlier. PTI

India Incs major portion of staff suffer from depression

Depression is reported to be one of the significant health problems facing the employees of India Inc, says a report of
Assocham.
Demanding schedules, high stress levels and performance-linked perquisites are having a toll on the health of
corporate Indias employees. Obesity is the second life style disease they are facing. High blood pressure and diabetes
are the third and fourth major diseases, respectively.
Nearly 42.5 per cent of employees in private sectors are afflicted from depression or general anxiety disorder,
compared to government employees with lesser levels of psychological demand at work, points out the study
coinciding with the World Health Day.
Nearly 38.5 per cent of corporate employees sleep less than 6 hours in a day, due to high stressed levels that arise out
of tough targets set by employers.
Also, around 57 per cent of the employees in private firms do not exercise at all. But, a majority of the government
employee said that they do exercise and physical workout to stay fit.
The rate of emotional problems such as anxiety and depression has increased by 45-50 per cent among corporate
employees in the last 8 years. Corporate employees have to survive the stiff global competitive environment to save
their jobs, adding pressure on their health, says D.S. Rawat, Secretary General of Assocham.
The report is based on the views of 1,250 employees from 150 companies across 18 broad sectors. A little over 200
people were selected from each of the following cities Delhi-NCR, Mumbai, Bengaluru, Kolkata, Chennai,
Ahmedabad, Hyderabad, Pune, Chandigarh and Dehradun, among others.
Around 55 per cent of the surveyed were 20-29 years, followed by 30-39 years (26 per cent) and 40-49 years (16 per
cent), among others.

Transmission conundrum
As Reserve Bank Governor Raghuram Rajan left interest rates untouched in his monetary policy Tuesday, he did so
expressing disappointment that monetary transmission hasnt yet taken place.
As Reserve Bank Governor Raghuram Rajan left interest rates untouched in his monetary policy Tuesday, he did so
expressing disappointment that monetary transmission hasnt yet taken place. What exactly is monetary
transmission, Sanjay Vijayakumar explains:
What is monetary transmission?
To put it simply, monetary transmission is the process through which changes in a central banks monetary policy
gets reflected in the real economy. So, for instance, if a central bank reduces interest rates it charges borrowing banks,
it would expect that reduction to be passed on to eventual customers as a result of the monetary transmission process.
Usually, there is a lag between the actions of the central bank and those of the commercial banks. The lag is less when
central banks raise interest rates.
Why is monetary transmission being mentioned now?

So far this year, the Reserve Bank of India has cut the interest rates it charges borrowing banks by 50 basis points
(from 8 per cent to 7.5 per cent). And yet, commercial banks have largely resisted passing this benefit on to their
borrowers. Lower interest rates are important to spur consumption as also investment, and therefore economic
growth.
In the first monetary policy meeting of the financial year 2015-16, the RBI signalled that it may not be inclined to
further interest rate reductions without appropriate rate actions by banks.
Why are banks unable to cut rates?
Banks can raise lending rates faster after a policy rate hike because loans are mostly at variable rates and can be repriced faster. However, keeping pace with a policy rate cut is unpalatable for commercial banks. Thats because the
cost of deposits cant be reduced in the short term, they carrying a fixed rate of interest. Also, with competition from
small savings instruments, it is difficult to cut rates it offers depositors.
What are the other challenges for banks?
One view is that business is tepid, as credit offtake is low. For instance, the credit growth has slowed to 11 per cent in
2014-15, down from 15 per cent previous year. Banks have also seen a major stress in their balance sheets due to a
high level of bad loans. And as a report by brokerage Anand Rathi indicates, public sector banks get little fee-based
income, i.e. income that isnt dependent on interest rates. This makes the monetary transmission process longer.

Raises red flag on the economy

The Reserve Bank of India (RBI) has raised red flag on the economy on growth, exports, consumption and
investments.
When full details on real activity becomes available, the Central Statistics Offices growth estimates for 2014-15 could
be revised downwards, Governor Raghuram Rajan cautioned on Tuesday in the first bi-monthly monetary policy
statement of 2015-16.
The RBI projected growth of 7.8 per cent in 2015-16 will be barely 30 basis points faster than in 2014-15 (7.5 per
cent). The persisting contraction in consumer durables production for over two years could be reflecting the
underlying weakness in consumer demand, it said.
The RBI also warned that capital goods output has been relatively lumpy and volatile, and more positive readings
are needed to be confident about a durable pick-up in investment demand. Export performance has been
progressively weakening and contraction set in on both non-oil and petroleum product exports since December 2014,
the Governor said.
Monsoons
Initial estimates indicate that as much as 17 per cent of the sown area under the rabi crop, Dr. Rajan said, may have
been affected by unseasonal rains and hailstorms.
Retail inflation, he warned, firmed up for the third successive month in February. Food inflation did not fall despite
seasonal decline in prices of vegetables and fruits as the prices of protein-rich items such as pulses, meat, fish and
milk remain elevated.
Going forward, further rate cuts would depend among other factors on acceleration of policy efforts to make available
key inputs such as power and land, repurposing of public spending from poorly targeted subsidies towards public
investment and on reducing the pipeline of stalled investment, he said.
The Governor also said that though the national accounts statistics suggest consumption demand for services is
robust, and purchasing managers are reporting new orders, a variety of coincident indicators such as railway and

port traffic, domestic and international passenger traffic, international freight traffic, tourist arrivals, motorcycle and
tractor sales as well as bank credit and deposit growth remain subdued.
Positive side
On the positive side, the Governor highlighted exports of services have helped to hold down the current account
deficit (CAD). As a result, , capital inflows mainly portfolio flows into domestic debt and equity markets and foreign
direct investment have exceeded the external financing requirement and enabled accretion to the foreign exchange
reserves which reached an all-time peak of $343 billion as on April 3, 2015.
Compression in imports of petroleum products has narrowed the trade deficit in the last three months to its lowest
level since 2009-10. Gold imports have remained contained.
He also noted that manufacturing appeared to be regaining momentum and said that the outlook for growth was
improving gradually.
Lending rate cuts by banks would improve financing conditions for the productive sectors of the economy, he said.
The RBI projected retail inflation to moderate to around four per cent by August but firm up to reach 5.8 per cent by
the end of 2015.
Firms are reporting a substantial easing of input price pressures and inflation expectations of households are in
single digits, although they too exhibit some firming up during the January-March quarter, the Governor said.

Fiscal consolidation should be assessed differently: CEA

The path to fiscal consolidation should be assessed by looking at the consolidated finances of Centre and State, Indias
Chief Economic Adviser Arvind Subramanian said.
He said that an assessment of 17 State budgets along with centre showed a decline in two metrics fiscal deficit and
revenue deficit.The capital expenditure is going to go up in centre, but when it is combined with the states, the
increase is almost 0.5 per cent, from 4.6 to 5.1 per cent. For me, this is a kind of Eureka moment. If you look at
centre and state finances as a whole it will give better quality of fiscal consolidation, because revenue expenditure and
defecit are coming down and you get desire towards shifting to capital expenditure.
Mr. Subramanian was speaking at an interactive session on the Economic Survey 2014-15 at Madras School of
Economics. He also said the ray of hope for India came from the acceptance to 14th Finance Commission
recommendation on giving more funds to the states, which was a watershed departure from an order of centralised
decision-making and directives on investments. He said it would spur more competition among States in terms of
governance and attracting investments. Recently, I heard a car company moved out of Tamil Nadu to Gujarat
because the state had not sorted out its power problem. Not sure if it is true, he added.

Raju gets 7 years for Rs. 7,000-cr. fraud

Former chairman of Satyam Computer Services Ltd. B. Ramalinga Raju and nine others, two of them family
members, were sentenced to seven years rigorous imprisonment on Thursday in the countrys largest-ever corporate
fraud.
The special court imposed a fine of Rs. 5.5 crore each on Raju and his brother Rama Raju, ex-managing director, and
about Rs. 50 lakh each on their sibling Suryanarayana Raju and seven others.
Confessional statement
A confessional statement by Raju on fudging of accounts by his company on January 7, 2009, following the aborted
acquisition of Maytas Properties and Infra, shook the corporate world as his meteoric rise had made him a household
name among stock market investors.

Raju, seated in the accused box, looked calm as Judge B.V.L.N. Chakravarthi delivered the verdict. Initially, the judge
who pronounced them guilty, did not disclose the quantum of punishment as he wanted to hear the accused and their
counsel.
He delivered the sentence after the lunch break. Only the lawyers and accused were allowed inside the court hall while
media personnel waited in the corridor outside.
The court found the accused guilty under 14 counts for various offences and sentenced them to imprisonment for
different periods besides imposing fines.The sentences will run concurrently and the maximum punishment each
accused will get is seven years.Raju has already spent nearly 29 months in jail.

Growth in Euro zone and India accelerating, says OECD

Economic growth is accelerating in the euro zone and in India but slowing in China, Russia and Brazil, the
Organisation for Economic Co-operation and Development (OECD) said on Thursday.
In a monthly update, the OECD said that within the euro zone, France and Italy were showing signs of better growth
and that the outlook was also improving in Germany, the euro zone's largest economy.
The international think tanks leading indicator, a measure supposed to capture turning points in the economy, rose
to 100.7 for the euro zone as a whole, from 100.6 a month earlier.
With 100.0 representing a long-term average, the OECD index rose to 100.7 from 100.5 in France, the second-largest
euro zone economy, and increased to 101.0 from 100.8 in Italy, the third-largest. In Germany, it rose to 99.8 from
99.7. Indias prospects continued to improve, with an index that rose to 99.5 from 99.3 in the latest monthly report.
But Chinas reading dipped to 98.4 from 98.5 and Russia's to 98.9 from 99.0.
The U.S. index dipped to 100.0 from 100.1. Japan's rose to 100.0 from 99.9.

Banking sector set for transformation: Rajan

Indias banking sector is set to transformative changes in the coming future accompanied by a pulsating derivatives
market and IT-induced banking, said Reserve Bank of India (RBI) Governor Raghuram Rajan on Friday.
Speaking at the 11th convocation of the National Institute of Bank Management (NIBM) in Pune, the RBI Governor
also spelled out the changes in the offing for the public sector banks.
Mr. Rajan suggested that in the next two years, the RBI might issue licences for setting up of payment banks, small
finance banks and perhaps, a postal bank as well.
The apex bank, on February 4, had released the names of applicants for small finance banks and payments banks. It
had received a total of 72 applications for the former and 41 for the latter. Observing that the countrys banking sector
was laden with opportunities, he said it was important that banks had begun operating in the social sector.
Stating that India is a bright spotin the world economy, Chief Economic Advisor (CEA) Arvind Subramanian said
that the Indian growth rate currently exceeded that of Chinas.
Skilled man power is not easily available in the country, yet our country is attempting to grow on it, he said. The
economic prosperity was helping to bridge social verticals in India at a pace far more rapid than in Europe, he added.
Mr. Subramanian said that the countrys democratic set-up was a crucial decider in the rate of growth, and pointed
out how in recent electoral cycles bad governance had been penalised in the polls which, he felt, was a very good sign.
In the next two years, the RBI may issue licences for setting up of payment banks, small finance
banks and perhaps, a postal bank as well.

Net neutrality will remain: Airtel

Stating that the Internet is neutral and will continue to be so, a senior official from Bharti Airtel Friday asserted that
an operator has a right to maximise revenue from customers.
The Internet, I believe, was neutral, is neutral and will be neutral. There is absolutely no agenda, no direction, no
industry force coming in way, Bharti Airtel chief for strategy Shyam Mardikar said at a conference.
Growing debate
But what we are confusing here is the concept of service neutrality to net neutrality, he added. His comments comes
amidst a growing debate over net neutrality, wherein a section of the society has been blaming telcos such as Airtel,
for violating rule of neutrality through attempts to charge for voice over Internet calls and also the recent move
incentivising usage of only certain applications under Airtel Zero plan.
Mr. Mardikar cited the case of voice, saying, it had nothing to do with the Internet and bypassing regulations was
not going to work as the law of the land under which the telcos operated was sacrosanct.
We believe that in the guise of net neutrality if were starting things that suggest neutrality, then next step would be
to abolish licensing regime, and get on a free for all, he said, adding in such a case, there was no need for companies
to pay high premia for spectrum. The market forces should decide on pricing. Charges for using a service was an issue
which the company and the customer had to figure out, he said, pointing out that the average revenue per user was
one of the lowest in the country and the companies needed to figure out how to increase the same. PTI
Charges for using a service was an issue which the company and the customer had to figure out.

Textile Minister promises early end to TUFS imbroglio

The Centre, on Saturday, assured the textile industry that it would soon resolve the issue of pending claims under its
technology upgradation scheme.
The Textile Upgradation Fund Scheme (TUFS) is an interest subsidy scheme for upgradation of technology as part of
measures to boost textile and jute sectors.
The textile industry has been facing issues such as non-allocation of around Rs.3,000 crore to meet pending cases
under TUFS, which include committed liability, left out cases and blackout period.
I had a talk with the Finance Minister and the Prime Minister about this issue, and I can assure you that the issue
will be resolved soon, Textiles Minister Santosh Gangwar told textile traders here. Mr. Gangwar also suggested the
industry to take up the issue with the Prime Minister.
I will request Gujarat to give some suggestions to Prime Minister Narendra Modi. I met him (Mr. Modi) four days
ago and spoke on the issue... he listened to me but did not give an answer. If you people will write to him, he will
surely offer a solution, he said.
He was replying to textile traders on TUFS issues, including non-allocation of subsidy and delayed reimbursement, at
Gujarat Chamber of Commerce and Industries (GCCI) here.
Talking about technical textile sector, the Minister said the business of the sector was estimated at about Rs.17 lakh
crore, while Indias contribution was just around Rs. 1 lakh crore.
The Prime Minister keeps a tab on this sector, and, therefore, projects of Rs.425 crore have been approved especially
for the north-eastern States. Gujarat has the ability and the State has been making good efforts to become the hub of
technical textile, Mr. Gangwar said. PTI

TUFS is an interest subsidy scheme for upgradation of technology as part of measures to boost
textile and jute sectors.

L&T inks MoU with AREVA

Larsen & Toubro (L&T) has announced signing a memorandum of understanding (MoU) with AREVA of France for
co-operation to maximise localisation of the EPR nuclear power plant to be built at Jaitapur, Maharashtra.
The MoU with AREVA represents a major step forward for L&T in the field of pressurized water reactor technology.
This is a significant addition to L&Ts existing capabilities and the lead role it has played in equipment manufacture,
construction and project management for pressurized heavy water reactors in Indias domestic nuclear power
program, L&T said. This partnership will add new dimensions to the capabilities of Indias manufacturing sector in
the nuclear business, M. V. Kotwal, Whole-time Director and President, Heavy Engineering, said. AREVA will
transfer technology to utilise the forging capabilities of L&T Special Steels and Heavy Forgings (a joint venture with
Nuclear Power Corporation of India Ltd.).

Caught in a dilemma
Banks say that unless cost of funds comes down, they will not be able to reduce their lending rates. The
RBI, on the other hand, argues that further rate cuts will depend upon banks reducing their rates in
response to previous rate cuts.
The first bi-monthly Monetary Policy Statement for 2015-16 announced on April 7 was in line with expectations.
Neither the policy repo rates nor the reserve ratios cash reserve ratio (CRR) and statutory liquidity ratio (SLR)
were changed. Ahead of the monetary statement, the consensus among important market participants was for a status
quo on interest rates. A small number anticipated a CRR cut and a fewer still a reduction in the SLR.
RBIs inaction on the monetary tools, however, did not make the policy statement a non-event. Quite the contrary,
there have been a number of takeaways which in the months to come might herald significant changes in the way
monetary policy will operate.
A change in the nomenclature of the statement is significant. Not very long ago, the Reserve Bank of India (RBI) used
to release in April or early May an annual policy statement for the whole year covering besides monetary matters,
development and regulatory issues in substantial detail. Coming a month after the Union Budget, the monetary policy
was used to take note of the fiscal policy changes and their impact on the monetary economy.
This was supplemented with a half-yearly review in October. Although it has gone out of fashion now, the annual
policy statement in April used to be called the slack season statement, while the half-yearly policy statement in
October was meant to take care of the busy season requirements. The fundamental changes in the structure of the
Indian economy have made the age-old distinctions between busy and slack season obsolete. Agriculture contributes
less to the GDP than industry and services.
The need to increase the frequency of interactions with the financial markets necessitated policy statement releases at
shorter intervals at one stage once in 45 days. Even then, the April statement enjoyed a degree of primacy.
However, following the Urjit Patel committees recommendations, bi-monthly policy statements have been the norm.
Turning to the latest statement, if status quo was widely anticipated what is new or unexpected? An interest rate cut,
it was widely believed, would not happen because of the feared impact of adverse weather conditions on the rabi crop.
Of particular concern has been the volatile vegetable prices. Even granting that these are supply side causes, not
usually amenable to monetary policy action, retail inflation the new benchmark has been inching up lately,
though well within the RBI comfort zone.
The real reason for RBI holding out may be something that is inferred from the statement as well as the Governors
articulation at the post-policy conferences. Although a blunt explanation may not do justice to a nuanced policy which
the monetary policy is, it is certain that the RBI would wait for banks to pass on the benefits of the earlier rate cuts
before effecting new ones.

That squarely brings into focus the problem of inadequate monetary transmission the inability or unwillingness of
banks to respond to monetary actions. Banks have their own problems. The chairperson of State Bank of India, the
countrys biggest bank, had said that the perception that interest rates would go down had made several depositors
shift from the relatively inexpensive savings and current accounts to term deposits. Moreover, banks arrive at their
cost of funds taking into account several parameters such as market borrowing, pattern of credit disbursements and
so on.
Banks dilemma
The issues raised from the dilemma may not be as stark as one PSB Chairman pointed out. Short-term repo rates are
one but not the most important determinant of commercial lending rates. For all government-owned banks, the
deposit rates they offer may be more crucial. However, squeezing the deposit rates and fall in line with RBIs
expectation is far from being realistic. Previous credit policies have highlighted depositors concerns, and nothing has
changed since then to downgrade them. RBI Governor Raghuram Rajan hopes that competition among banks for
quality business will force interest rates down. However, in the past, banks were forced to offer sub-optimal rates to
highly rated customers with borrowers at the other end of the spectrum not getting the treatment they deserve.
As for the suggestion to calculate their cost of funds on the basis of marginal costs, (rather than the present average
costs), a few private banks have pointed out that there are deficiencies in Indias financial structure that make such
calculation difficult except over the medium term.
Transmission by force
By far, the most important message from the policy statement is that the central bank is not averse to persuade banks
to lower their rates. In conjunction with the better known pressures from the government, monetary transmission
might be driven by executive fiat rather than market forces. That, as every one interested in sectoral reforms will
vouch for, is not a good thing.

S&P warns Centre of fiscal pressures

According to the report titled Indias Fiscal Roadblocks Could Stall Infrastructure Progress, the latest-year deficit
reduction did not come easy.
India may find it difficult to sustain the increase in public investment spending on infrastructure without further
fiscal reforms, said Standard & Poors Rating Services in a report on Monday.
Although Indias budgetary performances have strengthened in recent years, its hard-won fiscal improvement could
yet unwind because of a financial or commodity shock, said Standard & Poors credit analyst Kim Eng Tan in a
statement from Singapore.
Subsidy spending is one key source of weakness, despite fuel-subsidy reforms in 2014. Another constraint is the
heavy government debt, the analyst added.
According to the report titled Indias Fiscal Roadblocks Could Stall Infrastructure Progress, though Indias budget
deficit had fallen in recent years, the latest-year deficit reduction did not come easy.
Due to lower tax collections, total revenue for fiscal year 2014-15 was 6.3 per cent below governments initial budget
projection.
The government had to cut spending to prevent the budget shortfall from widening. Since the subsidy bill came in
above expectations, the government made significant cuts to capital investments to bring spending down, the report
added.
Mr. Tan said Indias willingness to cut spending to rein in the budget deficit indicated the high priority of fiscal
prudence.

From an institutional and governance point of view, this supports the sovereign credit rating on India
[BBB-/Stable/A-3]. However, structural fiscal weaknesses continue to be vulnerabilities of Indian sovereign
creditworthiness, Mr. Tan added.
As per the report, Indias large interest payments and subsidy spending are signs of fiscal risks because they leave
little for the central government to spend at its discretion.
Further constraining public infrastructure financing is the governments relatively small share of GDP that it collects
as revenue. This is why public investment in India has been persistently lower than that of some other developing
countries, the report said.
To change this, India has increased capital spending for 2015-16 by more than 25 per cent, which is significantly
higher than the average 5.4 per cent growth since 2011-12.
According to Standard & Poors, an unexpectedly sharp increase in interest rates could raise Indias budgetary interest
payments. Similarly, if food and fertilizer prices go up, the subsidy bill could be larger than expected.
In either scenario, particularly if divestment targets are also not met, the government could find it necessary to cut
capital spending again to meet its deficit target, the report added.

Retail inflation drops to 5.17 % in March

Easing of food prices, mainly milk and vegetables, pulled down the March retail inflation to a three-month low of 5.17
per cent. It was 8.25 per cent in March last year. The retail inflation as measured by Consumer Price Index was 5.37
per cent in February, and 5.19 per cent in January.
The easing prices of milk, vegetables and fruits brought down the CFPI (consumer food price index) to 6.14 per cent
in March from 6.79 per cent recorded in February.
Inflation declined for cereals and products, although it was up in the case of protein rich items like meat and fish, as
per the government data released on Monday.
The rate of price rise in the food and beverages segment as a whole was 6.2 per cent in March, lower than 6.76 per
cent in the previous month.
The CPI-based retail inflation has been calculated with a new base year of 2012.
Inflation in the fuel and light segment was 5.07 per cent last month, up from 4.72 per cent in February.
In the housing segment, inflation was 4.77 per cent last month, as compared to 4.98 per cent. For the rural segment,
the overall retail inflation was 5.58 per cent in March and 4.75 per cent for urban centres.

Net neutrality: nuts and bolts

Whats Net neutrality?
It is the principle that all traffic on the Internet must be treated equally by Internet service providers. Those
advocating Net neutrality believe all bits of data are equal, and, therefore, should not be discriminated on the basis of
content, site or user. This has largely been the default mode since Internet started.

Why has there been so much of noise about Net neutrality in recent months?
First, Indias top telecom company Bharti Airtel, towards the end of last year, decided to charge subscribers extra for
use of apps such as Skype and Viber. These apps compete with the voice and messaging services of telecom providers,
and are even cheaper. There was uproar, after which Airtel stayed its decision, saying it would wait for regulator
Telecom Regulatory Authority of Indias (TRAI) Consultation Paper on Regulatory Framework for Over-the-top
(OTT) services.
Then, Facebook brought to India internet.org, a pre-selected bouquet of Web sites offered free to subscribers of
Reliance Communications. There was not much controversy then.
The buzz became really big after TRAI put out a 118-page consultation paper asking the public for its opinion on 20
questions, most of them about how the Internet can be regulated. Views were also sought on Net neutrality.
By evening of Tuesday, over 4.2 lakh mails had been sent in support of Net neutrality through the savetheinternet.in
Web site. Political parties such as the Congress, political leaders such as Arvind Kejriwal and celebrities such as Shah
Rukh Khan joined the bandwagon, as has the comedy group All India Bakchod through a video. All of them argue why
the Internet should not be touched. TRAI will be open to taking comments till April 24, and counter comments by
May 8. In between all this, Airtel last week launched Airtel Zero, which is a free offering of a slew of apps that sign up
with the telecom provider. On Tuesday, Flipkart pulled out of the platform after initially agreeing to be on it, saying it
was committed to Net neutrality.
Who benefits from Net neutrality? How?
Every Internet user. Think through how you would like to browse the Internet. Wouldnt you like to access the Web
without worrying about how differently videos will be charged compared to other forms of content? Wouldnt you like
to access the Web without the telecom service provider getting to serve some sites faster than others? If yes for both,
you are pro-Net neutrality.
New ventures benefit too. In fact, one of the key reasons for start-ups to have come up in a big way in recent decades
is the openness of the Internet. The Internet has reduced transaction costs and levelled the playing field.
A start-up can come up with an app today, and can immediately attract a global audience. The likes of Googles and
Facebooks could have struggled to grow if the Internet had not been open.
Then, why do we need to think about regulating the Internet?
Essentially because the telecom companies do not like the way the apps are riding on their networks for free. The
companies complain that voice-calling and messaging apps are cannibalising on their business. On top of all this, it is
they who have to invest billions in getting access to spectrum and build networks as also adhere to regulations.
So, absence of Net neutrality will benefit telecom companies?
It could make them a gatekeeper to a valuable resource, a role that supporters of Net neutrality feel will be misused to
create winners and losers. They could charge companies a premium for access to users.
It would not be a telecom companies versus internet players issue, as could be mistakenly perceived. For, the absence
of Net neutrality could also benefit established Internet companies who are flush with money. They could nip
challengers in the bud with vastly higher payoffs to telecom companies.
Is this an issue in India alone?
No. The Federal Communications Commission just recently voted for what is seen as strong Net neutrality rules. This
is to ensure Internet service providers neither block, throttle traffic nor give access priority for money. Europe is
trying to correct a 2013 proposal for Net neutrality, in which privileged access was allowed to specialised services.
This was vague and threatened Net neutrality. Chile last year banned zero-rated schemes, those where access to social
media is given free to telecom subscribers.

Net neutrality debate rages

Its a major victory for the proponents of net neutrality and a big setback for service provider Airtel. As the ecommerce firm Flipkart pulled out of talks on joining the controversial Airtel Zero platform, launched by Airtel last
week, the debate on net neutrality has taken a fresh turn in the Indian context. In the wake of a virtual uproar in
social media and following wide condemnation by votaries of net neutrality, Flipkart has to just give in. With Flipkartinduced new twist in the net neutrality game, the Internet Service Providers (ISPs), mostly telecom operators, are
running for cover without knowing how to deal with the evolving situation that has the potential to adversely affect
their business.
While Airtel has put out a statement on the pull out by Flipkart, other operators are playing a cautious game. And,
they are unwilling to comment on a subject that has become an emotive issue. There are, however, voices which seek a
middle path as solution to this issue.
We are in favour of net neutrality. But this has to be defined in the Indian context. That is what TRAI is precisely
doing. The debate on net neutrality is appropriate and important. All stakeholders should be able to decide what is net
neutrality for India after due debate, said Rajan Mathews, Director-General, Cellular Operators Association of India
(COAI). We must have a holistic approach to this issue. There should be rational debate, and we are committed for
open and non-discriminatory Internet, Mr Mathews added. A thought must go into protecting the interest of telecom
operators as well, he felt.
While supporting net neutrality, analysts have voiced concern over its impact on the finances of telecos. Net
neutrality is a fair concept but it must take into account the concerns of telecom operators and ensure that their
revenue and margins are not significantly impacted, said Rajiv Gupta, Partner and Director, BCG. Some kind of
middle path needs to be achieved, Mr Gupta said. Only a few countries so far have made net neutrality into a law.
We are yet to see whether our governments moral support for net neutrality can translate into a law, Mr Gupta
added.
Surprisingly, Airtel which has come under flak on two occasions in last four months for alleged violation of net
neutrality norms, too, has pledged its support for net neutrality! Airtel fully supports the concept of net neutrality.
There have been some misconceptions about our toll free data platform Airtel Zero. It is a not a tariff proposition but
is an open marketing platform that allows any application or content provider to offer their service on a toll free basis
to their customers who are on our network The statement made by Flipkart regarding their decision not to offer tollfree data service to their customers is consistent with our stand that Airtel Zero is not a tariff proposition. It is merely
an open platform for content providers to provide toll free-data services, Airtel said. Without spelling out the future
of Airtel Zero, it said The platform remains open to all companies who want to offer these toll free data services to
their customers on a completely non-discriminatory basis. Over 150 start-ups have already expressed willingness to
come on board Airtel Zero.
Pranesh Prakash, Policy Director, Centre for Internet and Society, said, The need for net neutrality is very real and
urgent. There are many practices that telecom companies are trying to engage in, such as blocking of WhatsApp to
force customers to pay more money for it, which ought not to be allowed. On Airtel Zero plan, he said We should
clearly separate out the issue of "zero rating" from that of "net neutrality". ``Only anti-competitive instances of zerorating - for instance, Airtel offering it's own Hike service for free, or Airtel entering into an exclusive deal with Flipkart
for zero-rating its app are problems. Competitive zero-rating, with regulatory safeguards to ensure a fair and
efficient marketplace, should be allowed, just as we allow free TV channels and allow toll-free numbers. Banning is
akin to a brahmastra in a regulator's arsenal: it should not be used lightly, Mr Prakash said.
No such plans: Snapdeal
Snapdeal said, We have no such plans at this point, especially given the regulatory framework is unclear.
Zero rating is a practice among mobile network operators, where customers are not charged for a certain volume of
data by specific applications or internet services.
An Amazon spokesperson said, Amazon supports net neutrality - the fundamental openness of the Internet - which
has been so beneficial to consumers and innovation.

Earlier, Facebook and Reliance Communications had partnered for Internet.org. Reliance had announced in 2012
that it would offer free Facebook and WhatsApp for Rs 16 a month, without any additional data costs.
Amidst the debate on net neutrality, Telecom Minister Ravi Shankar Prasad said a six-member panel had been
constituted by the telecom department to submit its recommendations regarding the same by early next month.
Start-ups for net neutrality:
Sumit Jain, Co-Founder & CEO, CommonFloor.com
Its well acknowledged that Internet has disrupted the world of business like no other technology has in last few
decades. It has enabled start-ups with hardly any capital and clout to make a mark. So by rejecting net neutrality, we
will be shutting the door on the entrepreneurial aspirations of millions and will leave telcos to play the gate-keeper to
a valuable resource as the Internet and challenges the democratic behaviour that Internet in known for.
Sameer Parwani, CEO & Founder, CouponDunia
We will stand for net neutrality. India has been in the forefront of digital world. It is the Internet that has given the
country hope and aspirations to the common man to be informed and entertained. Not being able to give equal access
will just make the situation anti- competitive and it will have a negative effect on the upcoming businesses.
Kashyap Vadapalli, Chief Marketing officer, Pepperfry
Lack of net neutrality supports a monopolistic market which will adversely affect the growing start-up eco-system.
While heavily funded businesses will be able to maintain their supremacy over consumers start-ups will stand to lose
out heavily. We do not encourage discrimination of any sorts when it comes to consumer's access to information.
Yogendra Vasupal, Founder of Stayzilla
Airtel Zero seems like an innovative solution to bring Internet to every person. Whether this is on a firm footing or a
slippery slope will be decided by the actual implementation. The current way of individual companies buying Internet
for their consumers is a slippery slope. The right way to do it would be through a central consortium formed from the
e-commerce companies and who has the interests of both the start-ups in this sector and the end-users in mind. After
all, Internet is all about freedom of choice. Keeping in mind that currently it would be free only if you use a particular
company makes it free at the cost of the freedom of choice it offers. This is everyone's loss.
Ritesh Agarwal, CEO, OYO Rooms
Net neutrality is absolutely essential for a free and competitive market especially now since there is a start-up boom
in the country particularly in the online sector. Most importantly, Internet was created to break boundaries and as
concerned industry players, we should maintain that. We support net neutrality and will do all needed to build this
further.

Solar power picks up steam in more States

Though Gujarat and Rajasthan are at the forefront of solar power development in the country, other states are also
making rapid progress in harnessing energy from sun.
Presently, Gujarat and Rajasthan account for over 50 per cent of Indias grid-connected solar energy capacity
additions. However, states such as Madhya Pradesh and Maharashtra are also catching up fast, supported by their
solar programmes.
As of February this year, total installed capacity of solar power was 3,383 MW, constituting 10 per cent of total
installed renewable power capacity in the country.

Gujarat contributed 949 MW and Rajasthans installed capacity was 902 MW. Madhya Pradesh has added 500 MW,
while Maharashtras commissioned solar power capacity was 334 MW. Other states, that have added more than 100
MW in solar, include Andhra Pradesh (237 MW), Punjab (120) and Tamil Nadu (112 MW).
The country has achieved more than its targets in grid solar and off-grid solar under the Phase-1 (2010-2013) of Solar
Mission. Against the target of 1100 MW of grid solar power, 1686 MW of projects (including large plants, rooftops and
distribution grid plants) were commissioned.
The Indian government has set an ambitious target of adding 100,000 MW by 2022.
The plan would include large scale deployment of rooftop projects under both net metering and feed in metering to
achieve 40,000 MW of capacity till 2022.
Secondly, the Government would lay emphasis on grid connected projects to achieve 40,000 MW by 2022. For this,
Solar parks have been set up in Gujarat and Rajasthan, and others have been planned in over 15 states.
Thirdly, the Centre would focus on large scale projects (100 MW minimum.) to generate the remaining 20,000 MW
capacity.
Total installed capacity of solar power was 3,383 MW as of February 2015

Jayant Sinha bats for full convertibility

India needs to take many policy measures over a period of time, including moving towards full capital account
convertibility, to become a leading global economy, Minister of State for Finance Jayant Sinha has said.
There are many policy measures and many things that we have to do over a period of time, if indeed India has to
become a leading global economy... We have to make it possible for our capital markets to be broader, deeper and for
that to happen, capital account convertibility also becomes important, Sinha told reporters at an event here.
Definitely, we have to play our rightful, responsible role in the global economy, we have to move in that direction
(capital account convertibility), he added.
The Ministers statement assumes significance as Reserve Bank of India (RBI) Governor Raghuram Rajan had
recently said that the central bank was looking at allowing full capital account convertibility in a few years.
Stating that the RBI was fairly open to capital inflows, the Governor had said: The only place today that we have
some restrictions is inflows into debt, especially very short-term debt.
Full capital convertibility means a foreign investor can repatriate his money into his own local currency at will, which
is not allowed in the country as of now.
National Pension System
Stressing that the old age traditional support system for retired people is increasingly eroding in India, Mr. Sinha
highlighted on the need for making National Pension System (NPS) universal.
We are going to support retired people. If we will make NPS universal, then we will have a pool of savings, which can
finance infrastructure projects, he said.
NPS was initially introduced for the central government employees joining on or after January 1, 2004. Later, in order
to facilitate organised entities, including public sector organisations, a customised version of NPS, known as NPSCorporate Sector Model, was introduced in December 2011.

New interest subvention scheme for farmers on anvil: RBI

A week after the Prime Minister announced higher compensation for damaged crops, the Reserve Bank of India
(RBI) on Thursday said a new scheme for interest subvention for farmers was being worked out though it might take
some time.
In the meanwhile, the earlier interest subvention scheme would continue till June 30, the RBI) said.
As regards the scheme for the year 2015-16, the Government of India has advised that presently various alternative
approaches for improving the efficacy of the scheme are being examined, the finalisation of which may take some
time, it said through a notification.
RBI further said it has been decided by the government, as an interim measure, to implement the interest
subvention scheme for 2015-16, till June 30, on the terms and conditions approved for the scheme for 2014-15.
All banks are, therefore, advised to take note and implement the interest subvention scheme for 2015-16
accordingly, it said.
In 2014-15, interest subvention of two per cent was made available to banks on funds used for short-term crop loans
up to Rs.3 lakh per farmer provided they make available short term credit at the ground level at 7 per cent.
Also, additional interest subvention at the rate three per cent was made available to farmers repaying loans promptly.
On April 8, Prime Minister Narendra Modi had announced the governments decision to raise by 50 per cent the
quantum of compensation to farmers affected by crop losses due to recent unseasonal rains. Besides, the criterion of
50 per cent crop damage for providing compensation to farmers has been reduced to 33 per cent, which will help
more people get better compensation for the crop loss. He also said insurance companies have been instructed to
expeditiously settle the claims of the distressed farmers.

CII expects economy to grow at 7.8-8.2 % in FY16

Driven by growth in industry and services sector, CII on Thursday said it expected Indias economy to grow in the range of 7.8-8.2
per cent in the current financial year.
India is currently the fastest growing economy in a global environment that remains soft. CII expects GDP growth to lie in the range
of 7.8-8.2 per cent in 2015-16, the newly appointed President of the industry body, Sumit Mazumder, told reporters.
He added industry and services were expected to continue on the path of recovery though there were risks that agriculture might be
a dampener if there were disappointments on the monsoon front.
In the medium term, he said, a multi-pronged strategy of focusing on the manufacturing sector, providing greater impetus to skill
development and investing in agriculture and infrastructure would raise the growth rate to 9-10 per cent.
Backing the Land Acquisition Bill, which was is facing stiff opposition from various quarters, Mr. Mazumder said land acquisition
was a key bottleneck that was preventing the implementation of large infrastructure projects.
It would be beneficial for the poor and underprivileged. Farmers who have surplus land to sell are unable to do so under the current
provisions of the land legislation.
On the tax demand notices of Rs.40,000 crore to foreign institutional investors (FIIs) recently, CII President Designate Naushad
Forbes said, I don't think it will actually have an impact on investments because this is focused on FIIs; it is not focused on broader
investment environment. I think the broader investment environment is very positive.

Industry and services are expected to continue on the path of recovery though there are risks that agriculture
may be a dampener if the monsoon disappoints

India is below Bhutan in broadband reach: TRAI

India is ranked below Bhutan and Sri Lanka in terms of broadband penetration and the multi-layered structure involved in the
decision making for the sector needs to be overhauled, telecom regulator TRAI said on Friday.
India ranks 125th in the world for fixed broadband penetration. Some of our neighbours such as Bhutan and Sri Lanka are ahead of
us. We need to seriously think about it, TRAI Chairman Rahul Khullar said while sharing details of recommendations on the subject
of Delivering Broadband Quickly.
To promote the use of fixed-line broadband, TRAI also proposed that the licence fee on the revenues earned from fixed line should
be exempted for 5 years.
In the wireless or mobile broadband segment, India is ranked at 113th with a penetration of 3.2 per 100 inhabitants.
The regulator also suggested the need to revamp government bodies involved in decision making that impact spread of broadband
including that of Wireless Planning Commission (WPC) custodian of spectrum at Department of Telecom.
TRAI said WPC should be converted into an independent body by de-linking it from DoT and suggested that it could be converted
into a statutory body reporting to Parliament or any other existing statutory body.
The regulator has said that multi-layered structure for decision making, for National Optical Fibre Network (NOFN), was not
suitable and structure needs immediate overhaul.
NOFN project aims to spread broadband across 2.5 lakh village panchayats by 2016 but has missed its target of completing roll out
in first 50,000 panchayats by March 2015.
TRAI has also called for an audit of spectrum held by all the bodies. PTI
TRAI suggests that the licence fee on the revenues earned from fixed line should be exempted for 5 years.

SEBI bars 129 entities, suspects money laundering

In a fresh crackdown on suspected tax evasion and laundering of black money through stock markets, regulator Securities and
Exchange Board of India (SEBI) on Friday barred Mishka Finance and Trading and 128 other entities from the securities market.
While the total amount involved could not be ascertained, these entities are estimated to have shown fictitious capital gains to the
tune of Rs.254 crore and just 29 of them made unlawful gains to the tune of Rs. 92 crore on an investment of just Rs. 2 crore.
SEBI has also referred the case to other enforcement agencies, including income tax department, enforcement directorate and
Financial Intelligence Unit, to probe suspected money laundering or tax evasion by these entities and take necessary action.
So far, SEBI has suspended trading in nearly 30 listed companies for such violations while action has been taken against more than
500 entities, including promoters and others, for tax evasion of over Rs.3,000 crore.
For violations related to capital markets, SEBI in its order on Friday restrained 129 entities from accessing the securities market and
from buying, selling or dealing in securities, either directly or indirectly, with immediate effect till further directions.
The entities include promoters and top executives of various listed companies as well, including Bhushan Steel, some of whom have
been involved in similar cases where SEBI has already passed orders.
The regulator has also asked stock exchanges and depositories to ensure that all its directions are strictly enforced.

Apart from being a possible case of money laundering or tax evasion which could be seen by the concerned law enforcement agencies
separately, SEBI said that it is prima facie also a fraud in the securities market in as much as it involves manipulative transactions
in securities and misuse of the securities market.
The manipulation in the traded volume and price of the scrip by a group of connected entities has the potential to induce gullible
and genuine investors to trade in the scrip and harm them, it added.

A lasting solution for sugar mills

Ethanol, which is a plentiful product in the sugar manufacturing process and is blended with petrol, can be a vital revenue earner for
the mills.
According to Abhinash Verma, Director General Indian Sugar Mills Association (ISMA), ethanol blending is only at around 3 per
cent. It could easily be raised to 10 per cent for which around 130 crore litres of ethanol would be consumed, he pointed out.
Even at 100 crore litres, it will reduce sugar surplus by 1.7 million tonnes, Mr. Verma said.
Mr. Verma felt that the government should do away with the 12.5 per cent excise duty on ethanol to further incentivise its use.
However, if mills sacrifice their sugar, they should be compensated for loss of revenue at around Rs.7 more a litre. The mill-gate
price of Rs.41 per litre is not remunerative enough as oil marketing companies (OMCs) pay Rs.48.5-Rs.49.5 a litre, including levies
and taxes. This, though, will be a long-term solution.
The sugar industry feels that increasing the import duty on sugar from the current 25 per cent to 40 per cent will be a solution for
the longer-term.
Record sugar output
Under normal circumstances, a record output will be a reason for cheer. But sugar mills across the country have little to celebrate
their fifth surplus year as the Indian sugar industry finds itself in an unenviable position.
Mr. Verma said sugar prices had been declining while the price of sugarcane had been steadily increasing rendering the operations
of sugar mills unviable. Clearly, any industry where the cost of the final product is lower than the cost of the input for a sustained
period is heading for a disaster, he said.
Worryingly, ex-sugar mill prices fell by Rs.8-9 a kg. in the last six months from the start of the sugar season their lowest level in
seven years and are below the cost of production by Rs.7,000-9,000 a tonne.
The ex-mill prices have been falling to the extent of Rs.25 per quintal on a daily basis, Mr. Verma said. In India, while the average
cost of sugar production is Rs.28.64 a kg., selling price is Rs.25 a kg. in north India and Rs.22 a kg. in Maharashtra.
ISMA figures show that in the sugar year (ending September) up to April 15, 2015, sugar mills production was 12 per cent higher
over the previous year at 26.26 million tonnes over the previous year. ISMA expects mills will produce 27 million tonnes in the
current season a surplus of 2.2 million tonnes over estimated consumption. Cane price arrears are alarmingly close to Rs.20,000
crore.
Creating buffer best option
The closing balance end-September 2015 would be 9 million tonnes. Industry carries three months consumption totalling 6 million
tonnes and the surplus 3 million tonnes is what is causing the mismatch.
ISMA has suggested that the government should buy 3 million tonnes of sugar at cost of production and store it as a buffer. It would
set a precedent but if they do that, Rs.7,000-8,000 crore of cash comes into the system and not only takes out the surplus, but the
distress levels reduce, market sentiment would improve and sugar prices could recover, Mr. Verma said.

The other options to solve the problem seem limited. In February 2015, the government approved export subsidy of Rs.4,000 a
tonne on exports of up to 1.40 million tonnes of raw sugar. This was clearly a missed opportunity, Pallavi Munankar, commodity
analyst at Geofin Comtrade said. The announcement came towards the end of the crushing season leaving little scope for mills to
gear up for raw sugar. India exported 7 lakh tonnes of raw sugar in the sugar year ended October 2014.
Also, given the weak global prices, exports are not viable anymore as international prices have declined due to a glut. Brazil
determines global sugar price, and it exports 40 per cent of its production. Brazilian real depreciated by almost 50 per cent in the
last six months and India cannot compete with them. Remember that Indian mills pay highest price for cane globally, Mr. Verma
said.

Neutrality myth
Net Neutrality is the new hot subject. Simply put, it means giving equal treatment to all traffic on the Net by Internet service
providers. The subject has gained considerable visibility in the wake of Airtel launching Airtel Zero. Its a new platform that allows
Airtel customers free browsing of websites of companies that join the platform for a fee. Airtel Zero has drawn wide condemnation
on the social media. And, the Netizens have unleashed a vociferous campaign to protest against what they claim a devious Airtel
move to throttle freedom of access to the Net browsers by practicing discrimination.
Undeniably, discrimination is an accepted way of our life. There exists a much larger constituency of incapacitated consumers, who
silently suffer the deliberate denial of neutrality everyday at common places. Savvy Netizens have a way of articulating their points of
view. And, they use the social media with sophisticated fineness.
The unsung citizens, however, have remained in the realm of obscurity, and their voices are often drowned in the authoritarian
assertion rather imposition of supremacy by self-styled rule-setters at assorted places in our own neighbourhood. These poor
citizens have neither the tool (which the Netizens have in the powerful social media) nor the wherewithal to fight the blatant nonneutrality that is unleashed on them every time they make a buy. Comprehending the loaded meaning of a sophisticated term such
as neutrality may be beyond their simple thought process. Somewhere in their minds, however, they do feel and recognise that they
are being unfairly forced to accept discrimination. Yet, they chug along accepting discrimination as a necessary concomitant of life!
CAUGHT IN THE NET

1. There exists a much larger constituency of incapacitated consumers who silently suffer the deliberate denial of neutrality everyday
at common places
2. Reality is replete with innumerable instances where favoured treatment, nay discrimination, is a norm than an exception
3. Undeniably, discrimination is an accepted way our life. There exists a much larger constituency of incapacitated consumers who
silently suffer the deliberate denial of neutrality everyday at common places.
4. The Internet Age has thrown a new class system comprising Netizens and Citizens.
A mobile flower vendor just opposite a temple is a classical case of offline non-neutrality that exists in the real world. No new
vendor can just park outside the temple even for a few fleeting moments and sell flowers. There is an unwritten understanding
between the rule-setter in the vicinity of the temple and the lone mobile flower vendor, which provides for a protected space for
doing business. This rule-setter may not necessarily have any official authorisation. For the cover given to the mobile flower vendor,
he charges a fee. The implication of this unwritten pact is akin to what the Netizens accuse Airtel of trying to practice with the launch
of its new platform. A poor citizen has no choice but to buy from the lone flower vendor. He is denied alternative options, thanks to
the unwritten understanding between the rule-setter in that area and the mobile flower vendor.
Take a roadside hotel on the highway. The hotel thrives, thanks to the benevolence of bus operators more precisely the crew. An
understanding between the crew and the hotel ensures that the bus stops at this particular hotel on the highway. It may not
necessarily be the best of hotels on the stretch. Yet, passengers are compulsorily driven into that! Where is option for these
passengers in terms of picking the hotel of their choice! This pecuniary understanding, nay collusion, between the service providers
of different sort (such as the rule-setter in the vicinity of the temple and the bus crew) and vendors (such as the flower seller and
hotel) has ensured that there is no real fairness in business environment.

Perfect competition, as articulated in the classical economic sense, is a non-existent theoretical possibility. Is it really possible to do
business in a non-discriminatory way? Reality is replete with innumerable instances where favoured treatment, nay discrimination,
is a norm than an exception. The Internet Age has thrown a new class system comprising Netizens and Citizens. Thanks to the social
media, the Netizens have become a powerful force. And, their collective bargaining capacity is proving to be an effective trendsetting tool. The conventional citizens, on the other hand, are a fragmented voice. The moot point is: Is the Net Neutrality debate a
wholesome articulation of an entire class? Or, is it just a ventilation of anger by a new rising class?
One of the applications on Internet.org is AP Speaks, an application of Andhra Pradesh Government. This allows the citizen of the
State to provide feedback to key initiatives of the State Government. Should this application too be banned along with all other forms
of zero-rating? Well, the debate is set to take classical twists and turns in the days to come.

Investment via P-Notes surges

Investments into Indian markets through participatory notes (P-Notes) has surged to the highest level in over seven years at Rs.2.72
lakh crore (over $43 billion) at the end of March 2015.
P-Notes, mostly used by overseas HNIs (high networth individuals), hedge funds and other foreign institutions, allow such investors
to invest in Indian markets through registered foreign institutional investors (FIIs).
This saves time and costs for investors, but the flip side is that the route can also be used for round tripping of black money.
According to the data released by Securities and Exchange Board of India (SEBI), the total value of P-Note investments in Indian
markets (equity, debt and derivatives) rose to Rs.2,72,078 crore at the end of March from Rs.2,71,752 crore in the preceding month.
Highest investment
This is the highest investment since February 2008, when the cumulative value of such investments stood at Rs.3.23 lakh crore.
The quantum of FII investments through P-Notes, too, climbed to 11.3 per cent last month from 11.1 per cent in February. Till a few
years ago, P-Notes used to account for more than 50 per cent of the total FII investments, but their share has fallen after SEBI
tightened the disclosure norms and other regulations for such investments.
P-Notes have been accounting for mostly 15-20 per cent of the total FII holdings in India since 2009, while it used to be much higher
in the range of 25-40 per cent in 2008.
It was as high as over 50 per cent at the peak of Indian stock market bull-run in 2007.

Tea industry launches pilot scheme with Israeli company to tackle drought
Drip irrigation technology offered by the Indian subsidiary of an Israeli company was being harnessed on a pilot basis in a few
gardens in north and south India amid growing concern over crop loss due to paucity of rainfall.
The Indian tea industry, especially the gardens in the north Indian tea estates in Assam and West Bengal, has suffered two
consecutive years of crop loss due to drought like conditions in the first three months of the year. These two States account for 75 per
cent of Indians annual tea output, which averages at around 1,000 million kg.
The impact was severe in 2013, when nearly half the crop (amounting to nearly 20 million kg.) of the first quarter was lost to adverse
weather conditions. This year, the impact is perhaps less but what is worrisome is that it is a decline on a decline.. the trend is
persisting and early estimates reveal that over a million tonne has been lost in March 2015 over the same month in 2014, Monojit
Dasgupta, Secretary General of the Indian Tea Association, the apex body of the north Indian tea industry told The Hindu.
He said that drip irrigation was being tried out on an experimental basis at certain tea estates with different agro-climatic
conditions. He said that this was part of ITAs initiative towards establishing sustainable farm practices at the tea gardens. We have
recently associated with the Netherlands (Utrecht) based Solidaridad for this, he said.

The organisation supports a network of nine regional centres, which pioneers, innovates and are transition managers in sustainable
farm practices. The thrust really is on water-conservation and water-harvesting, Mr. Dasgupta said, adding that practices such as
creation of water bodies, collecting water on roof tops of tea factories and ground water recharging would be addressed.
While the January to March period was not one of high production, but the tea-season commences from March.
And the production of some of the priciest teas commence during this period. Weather uncertainties worry the industry which has
tried out methods such as canopy irrigation, which often leads to over irrigation of the plant leading to stunting and retarding of the
root-system.
The Indian tea industry has suffered two consecutive years of crop loss due to drought like conditions in the
first three months of the year.

RBI to focus on bill payment systems

Reserve Bank of Indias Deputy Governor H.R. Khan, on Tuesday, said that the central bank was focusing on bill payment systems,
which was the next big thing for which Bharat Bill Payment System and National Payments Corporation of India (NPCI) were on
board and other bill aggregators were expected to join soon.
Issuance of Payment Bank Licences would be a game-changer in the field of remittances and bill payments, Mr. Khan said while
addressing the 9th edition of CIIs Banking Tech Summit.
On the role of RBI in technology adoption, Mr. Khan mentioned about e-kuber, a core banking platform adopted by RBI and said
that connecting mobile with Aadhaar under the Jan Dhan Yojana would be the solution going forward for financial inclusion.

Telecom Commission sends back to TRAI

Regulator is expected to send final comments in 15 days
The Telecom Commission has decided to send the Telecom Regulatory Authority of India (TRAI)'s guidelines for spectrum sharing
and trading back to it, seeking clarifications on some issues.
The TRAI proposals were discussed during a meeting here on Wednesday, sources said, adding, This decision was expected, as the
DoT (Department of Telecom) and the regulator are not on the same page on certain issues. There are some aspects that need more
information.
TRAI is now expected to send the final comments in 15 days, post which these will be placed before the commission, which is the
highest decision-making body of DoT. The industry had been seeking clarity on these guidelines for a long time now. These
guidelines are important as spectrum sharing will allow telecom companies to share their unutilised airwaves with other service
providers in the same telecom circle.
TRAI had last year recommended sharing of all categories of telecom airwaves held by operators, including spectrum allocated at old
price of Rs.1,658 crore or assigned without auction. The regulator had also recommended trading of spectrum, which will enable
telecom operators that have a lower subscriber base or unutilised spectrum to trade in it.

Ready to tackle monsoon deficit: Jayant Sinha

Union Minister of State for Finance Jayant Sinha said that the government was fully prepared to tackle the fall-out of a deficient
monsoon.
We are fully prepared this year. We have a number of contingency plans and a rapid response mechanism in place, he said in
response to a question on predictions of a deficient monsoon this year.
Mr. Sinha said that despite last years 88 per cent rainfall deficiency, the government had managed the overall situation in terms of
food supplies and prices.

We managed well. And, inflation has now come down, leading to lower interest rates. So, we are fully prepared this year we will be
able to handle, he said.
Mr. Sinha, who was addressing a special session of the Bharat Chamber of Commerce in Kolkata, said that moving the stalled
projects was one of the bigger challenges before the government. There were structural reasons such as land acquisition and
environmental hurdles, which led to stalled projects, he said.
To a question on CST compensation, he said that in order to remove the trust deficit created between the Centre and the States over
this issue during the previous regime, the NDA-2 government planned to clear the arrears in three phases by March 2017.
The first Rs.11,000 crore was paid by March 2015. This fiscal, two more pay-outs will be made to the States, clearing the CST
compensation by March 2017.
To a question on political opposition to GST, he said that as of now, there was a broad-based consensus and the GST Constitutional
Amendment should be possible in the current session of Parliament. The few issues that were remaining in terms of implementation
and formulation of GST Bill would be considered at the meeting of the GST Council on May 8.
PTI adds
Maintaining that higher borrowings by individuals would lead to purchase-led growth, Mr. Sinha said interest rates should fall and,
hopefully, the Reserve Bank of India (RBI) would look into that.
Interest rates should fall so that higher borrowings will lead to more purchases of articles and the RBI should look into that aspect,
Mr. Sinha said at an interaction organised by the Bharat Chamber of Commerce here.
RBI is a very professional data-driven organisation and they would obviously look at the facts before taking any decision, the
minister told reporters, when asked specifically whether the central bank should cut rates.
So, let us see how the data play out, he said, with a cautious tone, clarifying that a rate cut was not imperative for re-starting stalled
projects.
Public debt management
Referring to branching out public debt management from the ambit of the RBI, Mr. Sinha said there had been a lot of resistance
from the officers and employees of the central bank.
Worldwide, public debt was being managed by an outside entity and not the central bank. But RBI was doing a very fine job... When
you are reforming, you can expect opposition.
Even the RBI Governor feels strongly about creation of a separate public debt management body, Mr. Sinha added.

The knotty issue of MAT

The taxation dispute between the Indian government and foreign investors seems never-ending. It came to the fore again this month
when foreign investors (FIs) were asked to pay a minimum alternative tax (MAT) for capital gains made in Indian stock markets.
The estimates of the tax demand vary between Rs. 40,000 crore, a figure that has also been cited by Finance Minister Arun Jaitley,
and just over Rs.600 crore, as quoted by his junior minister Jayant Sinha. Whatever the number is, the tax issue has been a sore
point with foreign investors. Sanjay Vijayakumar has this explainer on MAT.
What is MAT?
MAT was first introduced in 1996 to make companies pay at least some tax. That is because some were paying little or no tax, as they
were enjoying tax exemptions, but at the same time were reporting profits and even paying handsome dividends to the shareholders.
According to brokerage CLSA, the list of MAT companies in India includes several large companies such as Shree Cement, Dabur,
and Godrej Consumer, power utilities such as NTPC, Power Grid Corporation, and JSW Energy, and infra developers such as Adani

Ports. The core business of these companies enjoys certain tax exemptions. But these companies do report accounting profits. And
so, the Government levies MAT.
How is MAT calculated?
MAT is calculated at 18.5 per cent on the book profit (the profit shown in the profit and loss account) or at the usual corporate rates,
and whichever is higher is payable as tax. Payers of MAT are eligible for tax credit, which can be carried forward for 10 years and set
off against tax payable under normal provisions.
Why is this an issue for foreign institutional investors in Indian capital markets now?
As mentioned in the introduction, foreign portfolio investors, or foreign funds that invest in stock markets here, have received
notices for liabilities under MAT to the tune of Rs.40,000 crore. But how is this possible, especially after Mr. Arun Jaitley said in his
recent Budget speech that he was exempting foreign investors from paying MAT taxes? True, he said that, but that is effective only
from April 1, 2015, and does not cover prior years.
How much are foreign institutional investors taxed currently?
Foreign investors in India have had to pay 15 per cent on short-term listed equity gains, 5 per cent on gains from bonds, and nothing
on long-term gains.
What does the new tax demand mean to them?
According to CLSA, MAT will be applicable on short-term and long-term capital gains and interest income. Also, the potential tax
liability could go back as far as financial year 2008-09.
What is the stance taken by the foreign institutional investors?
According to Vikas Vasal, Partner-Tax with consultants KPMG, foreign investors are of the view that MAT should be levied only on
the domestic companies and not on foreign companies or foreign investors. One of their key arguments is that MAT can be levied
only on book profits, to compute which there must be a requirement to maintain books of accounts. As there is no such requirement,
foreign investors argue, they should not be asked to pay MAT.
How are the tax authorities going about this?
Taxmen are disputing the stance of foreign investors. They are going ahead with their demand, as the 2015 Budget did not provide
for MAT relief retrospectively. The relief is available only from April 1, 2015.
The tax authorities would also be looking forward to how a tax case involving Castleton Investments, a fund, is decided. In 2012, the
Authority for Advance Rulings ruled that Castleton, having transferred shares from a Mauritius entity to a Singapore one, is liable to
pay MAT. The Authority for Advance Rulings is constituted to provide clarity on tax assessment in cases largely involving nonresidents. Their rulings, however, are only persuasive and not binding.
The case is now pending in the Supreme Court.
Are there any other rulings on such issues?
A note by consultancy EY cites a few, including a 2010 case involving Timken and Praxair Pacific Ltd. In this, the Authority for
Advance Rulings held that foreign companies not having presence in India are not liable to MAT provisions.
And in September 2014, the Delhi Income-tax Appellate Tribunal delivered a similar ruling in a case involving The Bank of Tokyo
and Mitsubishi UFJ. It observed that the intention of the legislature was very clear that MAT provisions are not applicable to
foreign companies.
So, the Supreme Court judgement on the Castleton case would be keenly watched for more clarity on the issue.

Has the Finance Minister responded in any way?

Yes, the ministry has said that foreign investors domiciled in countries that have tax treaty pacts with India do not have to pay MAT
taxes. These countries include Singapore and Mauritius. Also, the Central Board of Direct Taxes has directed authorities to close
treaty cases in a month. According to Rajesh H. Gandhi, partner, Deloitte Haskins and Sells LLP, more than 30 per cent of
investments by foreign institutional investors come from treaty countries.
However, those outside of treaty countries, it could be long drawn legal battle. About a third of such investments come from the U.S.
Indias treaty with the U.S. does not cover capital gains provision, according to London-based ICI Global, a lobby representing
foreign investors.
Why is this important for Indian markets?
Foreign investors have been the major drivers of the stock market. They have pumped in over $50 billion in the Indian markets since
the election of Prime Minister Narendra Modi in May last year. Any uncertainty over tax is likely to hurt investor sentiment.

Is time ripe for the plunge?

It is not for the first time that the topic of full convertibility of the rupee, as capital account convertibility is otherwise called, has
engaged policy-makers at the highest levels. Just this month the Reserve Bank of India (RBI) Governor Raghuram Rajan and the
Minister of State for Finance Jayant Sinha have expressed the hope that India will move to full convertibility status sooner rather
than later. Neither of them indicated definite timelines but, according to Mr. Sinha, a full convertibility of the rupee will enable India
to play a positive and useful role in the global economy.
No policy announcements have been made, but the statements have stirred a debate on the possible moves towards convertibility. In
many ways, there is a sense of deja vu.
The subject, when first mooted by the government in the 1990s, created plenty of unnecessary excitement with the very mention of
full convertibility conjuring visions of ordinary people being able to open checking accounts in places such as Luxemburg without
any restrictions whatsoever. But full convertibility is much more than that, and to understand it better one has to interpret terms
such as convertibility of the rupee in relation to current account and how it differs from capital account. The Indian experience so far
can be a guide.
Two points are very relevant here. Even experts agree that there can be no watertight division between current account and capital
account convertibility. The distinction very often is a matter of semantics. Second, no country in the world has full convertibility of
its currency, which, as we shall see below, involves unfettered capital flows in and out of the country.
In a full convertibility regime, money can freely flow in and out of the country with minimal restrictions. It needs to be stated here
that for India, fully compliant on the current account, full convertibility remains a goal and the path towards it needs to be
measured.
Expert groups, the two Tarapore Committees (1997 and again in September 2006), have defined road maps, where progress is to be
measured in terms of the attainment of specific goals such as those relating to fiscal and current account deficits and inflation. The
road maps drawn by the committees might not have been fully adhered to but there is no denying that much of Indias moves
towards a fuller convertibility are based on the two reports.
The twin deficits current account and the fiscal deficits have posed problems, but over the recent past, the government of the
day seems to have got a grip on these. The CAD has plunged from 4.8 per cent of the GDP in 2012-13 to 1.7 per cent during the next
year. Fortuitous circumstances such as lower oil prices and curbs on gold imports (since relaxed) have no doubt helped. The size of
the two deficits obviously matter in monitoring macro-economic balance. In fiscal deficit, the government managed to contain it at
4.1 per cent but the recommended target of 3 per cent of the GDP has been pushed back by a year. Indias growth prospects will
naturally weigh with the policy- makers. The prospect of a less than satisfactory monsoon for the second year in succession is not
good news. On a brighter note, inflation appears to be firmly under control. A healthier public sector banking system is obviously
another prerequisite.

The above are some of the macro-economic goals that the Tarapore Committee had recommended. It does not matter that the
timeframe suggested by the committee could not be adhered to. The reports brought in a measure of realism to the debate over
convertibility.
The reason why the Governor and the minister dwelt on the subject may have to do with drawing attention on the host of issues that
need to be tackled for India to march ahead towards convertibility.

OPINION AND EDITORIAL

The West and its flawed anti-IS strategy

If there are any doubts about a global double standard when it comes to West Asia, then the reaction to the bombing of Yemen by
Saudi Arabia and its partners will put them to rest. Here is a situation, where fighter jets of a Saudi-led coalition are pounding the
capital of another country, Sana'a, without seeking any international mandate, and there is absolute silence from those who should
object.
Leaders in Washington, London, Paris and Berlin have not appealed to the United Nations nor have they asked for an end to the
bombing of civilians in an effort to stop the advance of rebels. Despite the question of sovereignty of more than 100 air raids in
which dozens of civilians have died in the capital, human rights violations and even the basic worry of these raids helping al-Qaeda
and the self-proclaimed Islamic State (IS) in Yemen there has been not one word of censure from them. In fact, Washington is
backing the strikes, France and the United Kingdom are giving them all possible technical help, and Egypt, Turkey and even
Pakistan plan to help with the ground offensive to back the Yemeni President, Abd Rabbu Mansour Hadi, against Houthi rebels.
For Western introspection
For those who say this is a justified attack to support a legitimate ruler, stop, think and rewind to 2012-2013, when the Syrian
President, Bashar al-Assad, faced the most difficult pressure from armed Free Syrian Army fighters and Jabhat Al-Nasrah rebels (IS
took control later). What would have been the Western reaction had Iran sent jets into Aleppo, Homs and Hama to back its ally, Mr.
Assad? Wouldnt these countries have set up a counter-attack within 24 hours, or at least convened the UN Security Council for a
Right to Protect (R2P) mandate to do so?
The rank duality in dealing with the situation in Yemen is not just the subject of some hand-wringing; it is the single largest reason
why the war against IS and even its successor organisations will be unwinnable for these countries. Despite 3,000 air strikes by a
United States-led coalition of 62 countries that began operations last August to counter IS, IS continues to control more than an
estimated 55,000 square kilometres of area in Iraq and Syria. That IS is an evil terror group displaying unprecedented brutality is
undoubtable. That it is a threat to every country in the world should be obvious from the way the group has targeted every
nationality: beheading American, British, Japanese and Egyptian citizens alike, burning alive a Jordanian national, and broadcasting
its terror worldwide in the most bestial way. It poses the biggest threat to the next generation as well, recruiting a record number of
child soldiers, and training children as young as five to kill. If the coalition, which represents nearly a third of the world, which has
the resolve, the firepower, and the experience of fighting terror groups in every part of the world, is unable to counter such a group,
deep and searching questions must be asked about why that is.
Down to logistics
To begin with, there is a basic problem of logistics. Despite the most sophisticated drones and surveillance of the region, an air strike
on an IS target is ineffective without an accompanying ground force in place. Even if the U.S. and its coalition are able to strengthen
Iraqi armed forces to conduct ground operations, it is meaningless until they are also able to enlist Syrian armed forces to launch a
pincer-like action on the group that straddles both countries. Without the ground forces, all victories over IS territory are,
essentially, pyrrhic. This was evident in the Syrian town of Kobane along the Turkish border where the U.S. Alliance drove IS out in
September 2014 after two weeks of sustained bombing and 600 strikes. As journalists were allowed into the city, their cameras bore
out the tragic truth: all that was left of IS-controlled areas was a vast wasteland. The reason that the U.S. coalition has been unable to
engage the Syrian regime for help on the ground is of course the reason why it ignored the rise of IS in the first place. The Wests
preoccupation with the removal of Mr. Assad and the funding and arming of the groups that opposed him since 2011 led to complete
surprise at the rapidity with which IS fighters have taken over Syrian and Iraqi towns. In October last year, U.S. President Barack
Obama finally conceded that underestimating ISs rise had been a major intelligence failure. But it was more than that. It was the

determined effort to ensure that Assad must go that led the Western and West Asian countries ranged against Mr. Assad to ignore
his warnings about the nature of the fighters his army was battling. As a result, and in another example of the double standard, the
62-member coalition now routinely bombs areas that it wanted to stop Mr. Assads forces from bombing.
Misreading the Arab Spring
The other flaw with the Wests strategy is the pursuance of regime change, focussed on one leader as the single purpose of its wars in
West Asia. Recent history should have taught the U.S., the U.K. and others that the removal of Saddam Hussein and Muammar
Qadhafi havent been the end of the conflict; they have merely marked the beginning of a more diabolical and deadly version of the
conflict. Hanging Saddam and lynching Qadhafi hasnt led to peace in Iraq and Libya, nor would the possible ouster of Mr. Assad do
that. Instead, it has led to an erosion of what were once secular regimes, where minorities and women enjoyed a higher position
than they do in other countries of the Arab world.
Another blunder has been the misreading of the Arab Spring by the West. While many of the crowds that poured into Arab
capitals, from Tunis to Damascus and Sana'a, demanded democracy and positive change, many just wanted regime change.
Democracy is better effected through the ballot box than it is through the crowding of main squares, which is a powerful image, but a
misleading representation of the peoples will. We no longer refer to it as the Arab Spring, admitted a senior NATO military
official at the Brussels Forum conference last week, where trans-Atlantic discussions on IS were held. It is now seen as the Arab
uprising instead, he concluded. Interestingly, the countries in the West that rejoiced at the thought of democracy in the countries of
the so-called Spring missed the most significant point: all the countries that saw their leadership change Egypt, Syria, Libya,
Yemen were republics, whereas none of the eight monarchies Saudi Arabia, Kuwait, Qatar, Oman, Bahrain, the Emirates,
Jordan and Morocco were destabilised.
This skew, particularly towards the Sunni monarchies of Saudi Arabia, Qatar and Jordan, who are more focussed on fighting the
Shia crescent of Iranian influence in the region, has led to another problem. The West has turned a blind eye, and even assisted
these countries in the funding, training and arming of Sunni extremist groups to carry out attacks in Syria. They have been doing
this by trying to draw a fine line between the groups they support including the Free Syrian Army and Jabhat Al-Nasrah and
with IS. Anyone who sees the distinctions between the groups has to only read the account of the American journalist, Theo Padnos
(now Peter Theo Curtis), who was taken hostage in Syria in 2012 and finally released by al-Qaeda in August 2014 in a deal brokered
by Qatar. Padnos was handed over from one group to another in Syria, and found few differences between them. When he asked why
his well-armed captors trained in Jordan by U.S. marines were holding an American hostage despite promises they would only
target Assads regime, they answered: Yes, we lied. If it is naivety that allows the U.S., France, and the U.K. to continue to enlist
their Arab allies in the war on terror and hope they will cut off finances and oil revenues to al-Qaeda and IS, despite evidence that
they play both sides of the war, it is a very costly innocence that the world has paid for.
Joining IS
Finally, there is a need for introspection inside Europe, the U.S., and even Australia, which have seen growing numbers of their
citizens get through Turkey to join IS. While the brutality of the Assad regime and economic distress in the region have been blamed
for the thousands of Arab youth taking up arms for IS, what explains the hundreds of citizens joining it from the U.K., France and
the U.S.? According to the U.S. National Counterterrorism Center, 3,400 of the 20,000 IS foreign fighters are from Western
countries. Why are British and French girls becoming jihadi brides, schoolboys and young doctors learning to kill, and teenage
Americans travelling all the way just to join IS ranks? Could it be that in the early years of a push for regime change and sanctions
against Syria, Western governments themselves promoted the propaganda against Mr. Assads government, allowing many of their
Muslim citizens to think they had not just religious but national sanction to join the war?
Significantly, some of the Wests actions are now being rethought. While concluding another round of P5+1 talks with Iran in the
Swiss town of Lausanne last week, the U.S. Secretary of State, John Kerry, suggested that the U.S. is now open to talks with Mr.
Assad if need be. If he is ready to have a serious negotiation about the implementation of Geneva I (2012 agreement), of course, he
said. What were pushing for is to get him to come and do that, he added, in an interview to CBS.
But talks will only solve part of the problem in West Asia. If the West genuinely wants to fight terror and promote a peaceful future
for the region, it will also have to confront its selective silence and dual standard on the serious challenges that threaten the region
today.
suhasini.h@thehindu.co.in
The West missed the most significant point of the Arab Spring: all the countries that saw their leadership
change were republics, whereas none of the monarchies were destabilised.

If the West genuinely wants to fight terror and promote a peaceful future in the troubled West Asia region, it
will have to confront its selective silence and dual standard on the serious challenges that threaten the region
today; talks will only solve part of the problem

Building ties for the 21st century

On the eve of the 65th anniversary of the establishment of diplomatic relations between China and India on April 1, 1950, the
Chinese Ambassador to India, Le Yucheng, in written answers provided to a set of questions posed by Srinivasan
Ramani , emphasised the need for a renewal of China-India ties in tune with the realities of the 21st century.
Excerpts follow. Later, in an interaction in Chennai, the Ambassador identified several areas, which he
suggested present new avenues for cooperation between India and China. These include infrastructure
development and regional security apart from already expanding ties.
At what stage are the two countries after the 18th round of talks on boundary negotiations held recently? Can we
expect a substantive breakthrough since the start of fresh talks?
On March 23, 2015, the 18th Meeting of the Special Representatives on the China-India boundary question was
held in New Delhi. Yang Jiechi, State Councilor and Special Representative on the Chinese side, and Ajit Doval,
National Security Advisor and the Special Representative on the Indian side, exchanged in-depth views on the
boundary question and had strategic communications on bilateral relations and international and regional issues
of common concern. This is the first boundary question talk since the new Indian government took office, and
after the appointment of the new Indian Special Representative. The meeting was in a friendly and candid
atmosphere.
The two sides reviewed the positive progress achieved at the previous Special Representatives Meetings over the
past years, and stressed the progress of the framework negotiation along the right track on the basis of the
realised results and consensus, while taking the big picture of bilateral relations and the long-term interests of
the two peoples into consideration. Both sides reaffirmed the need to properly manage and control conflicts and
join efforts to maintain peace and tranquility in the boundary area before the boundary question is finally settled.
As Chinese Foreign Minister Wang Yi said in the press conference held by the Third Session of the Twelfth
National Peoples Congress recently, the China-India boundary question is a legacy of history. At the moment, the
boundary negotiation is in the process of building up small positive developments. It is like climbing a mountain.
The going is tough and that is only because we are on the way up. This is all the more reason that we should do
more to strengthen China-India cooperation, so that we can facilitate the settlement of the boundary question.
The Chinese government has announced the Maritime Silk Route and Silk Road initiatives (also called Belt and
Road) recently. Can you explain these initiatives and how they pertain to China-India relations?
The Belt and Road initiatives put forward by China aims at achieving development and prosperity for the various
countries along the Silk Road Economic Belt and the 21st Century Maritime Silk Road by linking the past with
the present, landmass with seas, and development strategies of various countries. The Vision and Action plans of
the initiative have just been issued by the Chinese government.
The initiative will forge four billion people from more than 60 countries in Asia, Europe and Africa into a
community of common destiny and interests. If I may use a musical metaphor, it is not Chinas solo, but a
symphony performed by all these countries. The Belt and Road initiatives will observe the principles of
discussing, building and sharing together, through policy coordination, road connectivity, unimpeded trade,
monetary circulation, and mutual understanding. These initiatives have been put forward to promote economic
cooperation, and are not driven by geopolitics, or an attempt to seek spheres of influence.
Since the launch of these initiatives, significant headway has been made in building new mechanisms and laying
down new policy frameworks. More than 50 countries along the Belt and Road have expressed support; China
has either already signed or is in the process of signing agreements with several countries. A set of programmes
involving building infrastructure, setting up of industries and boosting people-to-people contacts have already
been started. The first Central Asia International Freight Train from Lianyungang (Jiangsu Province), China to
Almaty, Kazakhstan, began operation on February 25. The construction of Line D of the China-Central Asia
natural gas pipeline project has already begun. The eastern route of the China-Russia natural gas pipeline project

will be constructed very soon and the agreement on the western route will be signed shortly. All the above
projects mark the early harvest of the initiatives. The founding of the Asian Infrastructure Investment Bank has
not only been welcomed by the Asian countries, but developed countries, including France, Germany, Britain,
Canada have also expressed willingness to join it. The bank currently has 41 prospective founding member
countries.
India enjoys a unique geographical location, was a significant country along the ancient silk roads and spice
route, and is situated at the crossing point of the contemporary Belt and Road. India is Chinas natural and
significant partner in promoting the Belt and Road initiatives. Last year, India became one of the first
prospective founding members of the Asian Infrastructure Investment Bank and hosted its second chief
negotiators meeting in Mumbai in late January this year. In the second half of this year, India will also host the
third meeting of BCIM Economic Corridor Joint Working Group. All these reflect the cooperative attitude of India
to the Belt and Road initiatives. China is willing to strengthen communication and coordination with India, to
link the Belt and Road initiatives with Indias Spice Route and Mausam projects, and bring tangible benefits to
the peoples in our two countries and throughout the region.
There is a trade imbalance between India and China, with Indias trade deficit being around $37.8 billion in 2014.
At the same time, bilateral trade in 2014 topped $70.6 billion. How do you think the imbalance can be corrected?
The Chinese side does not like trade surplus and prefers balanced trade. China takes the Indian concern of trade
imbalance very seriously. Although the main reason for our trade imbalance lies in objective factors such as the
differences in industrial structures of our two countries, we are willing to provide opportunities to increase
Indias exports to China.
Since 2008, the Ministry of Commerce of China has sent six trade delegations to boost imports from India. China
warmly welcomes the Indian side to expand trade through various trading platforms, such as China-South Asia
Expo and China Import and Export Fair (Canton Fair), and the Import Promotion Centres recently built in
Shanghai, Tianjin and other cities. In order to increase the popularity of Indian products, China also welcomes
Indian Chambers of Commerce to conduct promotion events in China. Besides, China hopes that India would ease
restrictions on exporting its competitive products such as iron ore, etc. to China, reduce tariffs, and encourage
Indian companies to export more agricultural products. To encourage Chinese enterprises to invest in India and
participate in the Make in India campaign, the key is to reduce restrictions and streamline procedures on
business visas. More Chinese businessmen will bring more investment, which will help improve trade balance.
There is a sense among Indian strategic thinkers and in the media that Chinas cooperation with other South
Asian countries is part of a policy of encirclement. How would you answer these concerns?
China adheres to peaceful development. China does not have any tradition of expansion, or any intention to
expand. India suffered invasion and occupation by other major powers in history, while China as the largest
neighbour always kept friendly relations with India, kept up communication and exchange between civilisations,
and has never conspired against India or other neighbouring countries.
The cooperation between China and other South Asian countries is based on the foundation of common
development. South Asian countries are willing to cooperate with China, and ride the Chinese express train of
rapid development. China is also willing to share development opportunities with South Asian countries.
Cooperation between China and South Asian countries is open, transparent, and beneficial to all the concerned
countries. There are no ulterior motives and there is no need for India to worry. China is also willing to work with
India to conduct trilateral cooperation and multilateral cooperation in the region, to achieve win-win cooperation
and common development.

A new kind of babu

Politics in India has changed forever. Now, its the turn of the civil services to change. But can the
services heal themselves or will change have to be forced by politicians under siege from exploding
expectations? Id like to make the case that change will be most enduring if it comes from within and the

only criterion for choosing the new Union cabinet secretary should be willingness and ability to reform
the civil services. This is particularly important because the window between the cabinet secretarys
appointment and the Seventh Pay Commission recommendations in October is critical.

Politics is experiencing an exciting churn the generational change in the BJP and the impact of its
crazy fringe on the Delhi assembly elections, a potential change or regicide in the Congress party, the
magnificent resurgence of the AAP after its goofy resignation and now its internal conflicts, looming
expiry dates for regional parties that dont deliver prosperity or plumbing, campaigns innovating at the
speed of Moores law, and more money for state governments all have consequences that are
impossible to predict. Expectations morphing from garibi hatao to ameeri banao mean that voters care
more about jobs, roads and power than about the envy of income inequality. This makes the notion that
bureaucrats must protect India from its politicians and create continuity by defending the status quo dated,
patronising and inappropriate. And the notion that politicians can fulfil voter expectations without civil
service reform is delusional.

The cabinet secretary of India does not have the same trust, access or convening power that the chief of
staff of an American president has. Not only is he stationed far away from the prime ministers office
in Rashtrapati Bhawan, because the viceroy was once head of government but his ability to impose his
will on secretaries who are close to retirement and who report to independent ministers is at best suspect
and at worst absent. But the cabinet secretary is the governments chief people officer even though his
power over empanelment, promotion, postings etc has been unimaginatively or uncourageously exercised
so far. The government and the next cabinet secretary need to do three things each in order to modernise
the civil services.

First, the government must shift the cabinet secretary to the PMO. Second, it must choose the next
occupant of the office based purely on his hunger for civil services reform and make sure that his brain is
connected to his backbone. Third, it must empower him to work closely with the pay commission till
October and then use the rest of his tenure to deliver to us a civil services that can bear outcomes. Policy
outcomes are a complex cocktail of people, processes and technology but the meta-variable is the
selection and reward/ punishment system for people. The next cabinet secretary must avoid the infinite
activity loop that his role has traditionally been and do three things. First, he must improve performance
and career management. Seniority is an objective basis for promotion but often an ineffective one.
We must move away from a mathematically impossible system in which everybody is above-average,
tighten empanelment (currently, the pyramid looks like a cylinder because 75 per cent of officers become
joint secretaries and 40 per cent reach the level of additional secretary) and put the best people,
irrespective of age, in the right positions. Restoring the confidentiality of the process is critical to
reinstating its honesty. And establishing objectivity and trust is critical to restoring its effectiveness.
Second, the new cabinet secretary must formalise lateral entry and political appointments. Any effective
organisation has to balance specialists with generalists as well as insiders with outsiders. Indias policy
problems are not insurmountable but many of them require specialist input that only lateral entry could

provide. This could be done by introducing a new point of entry at the joint secretary level; designating
25 per cent of the top jobs as posts that can be filled through direct political appointments which are
coterminous with the governments term (for instance, 4,500 people resign when a new American
president takes over, while, in Delhi, only 10 people do); and easing out civil servants who are not
shortlisted to move up beyond a point (similar to the lieutenant colonel level cut-off in the army that
avoids top-heaviness).
Third, the pay commission must be reimagined as a performance commission. Pay commissions have
never received the accepted-in-totality honour that finance commissions get because they end up being
compensation commissions and mostly formulate implementation plans that lack political economy
considerations. The Seventh Pay Commission has a chance to make history by initiating a bold rupture
with the past, like the 14th Finance Commission had done. The next cabinet secretary must work with the
pay commission and the NITI Aayog to synthesise the useful recommendations of past administrative
reform commissions into a plan that can help accelerate the changing of Delhis role in ruling India,
started by the 14th Finance Commission. The 900 IAS officers who live in Delhi must be reduced to 500.
Civil servants must be moved to a cost-to-government compensation structure through the monetisation
of all benefits. A mechanism that separates the compensation review for the bottom 90 per cent of civil
servants must also be devised for the future.
Politicians and bureaucrats who are talented and ambitious are frustrated with the current system. Chief
ministers struggle with the paradox that political priorities like water, school education, labour and health
are currently considered as painful postings by the permanent, generalist civil service. Bureaucrats
particularly the talented and idealistic ones are tired of a system in which you get the top job only two
years before retirement. It is a system that does not distinguish between fraud, incompetence and bad luck
when things go wrong, has no room for career-planning, and often grants postings based on deafness and
blindness rather than competence. The most recent cabinet secretaries have never missed an opportunity
to miss an opportunity. The next one is being engaged at a time when we have made a new appointment
for our tryst with destiny. He must do his bit by boldly demolishing his cradle. The government should
start by vacating some space in the PMO.

Secular martyrs
In Bangladesh, battle against Islamists is taking a decisive turn. India must back this struggle.
I am Avijit, wrote Dhaka student Wasiqur Rahman Babu on his Facebook page after the murder of
Bangladeshi-American writer Avijit Roy in February, words cannot be killed. Babus killing, on
Sunday, has made clear the darkening threat that Bangladeshs Islamists pose to the countrys
intelligentsia. Executed in a savage attack on Monday, which the police say was likely carried out by the
al-Qaeda affiliated Ansarullah Bangla Team (ABT), the killing was just the latest in a long, grim series.
The ABTs death squads first executed Ahmed Rajib Haider, among the architects of the anti-Islamist
Shahbag protests, in February 2013. This was followed by the killing of Rajshahi University social
scientist Shaiful Islam Lilon and Daffodil University student Ashraful Alam.
The men were all linked to Facebook pages and blogs where young progressives in Bangladesh have
grouped together to take on the countrys religious right-wing fearlessly critiquing religion, social
norms and politics. For Islamists, this has proved to be an intolerable threat. In each case, the victims
were slaughtered with meat-knives, their heads and necks slashed in a manner mimicking the ritual

executions conducted by the Islamic State. In Facebook posts, the ABT has promised there will be more
blood spilt: of atheists, and those it considers apostates.
For the country, this is a moment of truth. The political struggle underpinning the killings is, in many
ways, as significant as the one that unfolded in 1971. Prime Minister Sheikh Hasinas government,
pushed by secularists to ensure the trial of independence war criminals, has ended up posing an existential
threat to Islamists coddled by successive governments since the assassination of her father, Sheikh
Mujibur Rahman, in 1975. In the wake of the assassination, General Ziaur Rahmans government initiated
a process of Islamisation. The Jamaat-e-Islami, the spearhead of Pakistani rule, was reborn as an empire,
controlling welfare organisations, charities, hospitals and educational institutions rivalling those of the
state. The secularist tide Hasina is riding threatens to undermine the Jamaat project. Though the
government has come down hard on political Islamists, making it near-impossible for them to mobilise
politically, the jihadists have carried forward their agenda by spilling blood. The Bangladesh government
has acted, with commendable resolve, to take on terrorists. India must back this struggle, with all the
means at its disposal.

The National Pension System needs a big push

The National Pension System (NPS) is not used to getting an easy pass. When the 2015-16 Budget announced an exclusive tax
sop of Rs.50,000 for NPS, even the pension regulator was surprised. The birthing of a national pension system for all of working
Indiaand not just those lucky enough to be incumbents in jobs that offer them the questionable shelter of an inefficient and opaque
corpus targeting vehicle called the Employees Provident Fund (EPF)has been fraught with problems. But the passing of the
Pension Fund Regulatory and Development Authority (PFRDA) Bill almost a decade after it was first tabled seems to have opened
the doors for much needed reform in the pension space in India.
The increase in the deduction limit was not the only surprise in the budget speech. The second big surprise was the initiation of the
process that will give the choice between EPF and NPS to employees. Why is NPS superior? For one, it exposes long-term savings
of subscribers of the scheme to the bump of returns only possible with equity investments. It does this in a sensible manner by
cutting out Rambo fund managers and sticking to the safety of index funds. The average annual index return since the beginning of
the Sensex is 17.43%. Other than offering a superior pension product, the governments push to NPS is shaking the EPF
organization out of its monopolist sloth and slumber.
There are, however, problems that NPS is still to resolve. The biggest one is its being back-loaded at the moment. It arises mainly
from the lack of a developed annuity market in India. The NPS product gives 60% of a subscribers corpus at age 60 as a lump sum
and 40% becomes a lifetime annuity.
The lack of an efficient annuity market leaves the money in the hands of the state insurer not known for either its efficiency or its
transparency on products. The other big problem is the differential in the taxation rules between EPF and NPS. The former follows
the exempt exempt exempt patternan investment under EPF is exempt from tax during investment, accumulation and exit phases.
NPS attracts tax at exitboth the 60% corpus and the annuity components are taxable. But NPS wins over the tax-unfriendly
regime it faces by offering higher returns. One calculation puts the extra return that NPS needs to earn at about one percentage
point higher than EPF to nullify the tax difference. This is achievable. The five-year average return on the government bond fund in
NPS is 9.09%, on the corporate bond fund it is 10.65% and on the equity fund the return is 13.25%. If one compares this with the
average EPF return since FY10 at 8.7%, returns on NPS look much better. If NPS, after accounting for the tax differential, gives just
one percentage point over EPF, the difference in return over a 40-year period is over 30%.
If problems with NPS are solvable, what lies ahead for the product? Two steps need to be taken. One, the pension regulator,
Hemant Contractor, should now work to get the armed forces included in this state of the art pension system and move the over 1.3
milllion workforce from a defined benefit system to a defined contribution one. One must remember that parity is what the one-rankone-pension argument has been all about. Parity will mean the defence forces personnel get the same pension system as the Union
government employees who have been with NPS since 2004. Two, the government needs to give NPS the Jan Dhan advertising
push.

No state pension system in the world has run without a big information push by governments. A big bang advertising push that takes
the product to the masses is needed to make the product familiar. But we must remember that NPS is a wholesale product and must
be sold to aggregators, companies and associations, rather than to individuals. Those in the pension policy space must stop trying
to emulate front end incentives to make NPS a me-too mutual fund or life insurance policy.

Govt panel seeks MSP revamp, safety net to mitigate risks to farmers
New Delhi: In what could restore the terms of trade in favour of agriculture, a government panel has recommended a new costlinked minimum support price (MSP) and a safety net for farmers.
The recommended MSP, or the floor price for foodgrain, will be at a 10% premium to costs, that would be derived through a formula.
The panel proposed that the safety net will kick in in the event of an unexpected slump in prices below the MSP.
If the Bharatiya Janata Party-led National Democratic Alliance (NDA) does accept the suggestions, it will dent the anti-farmer
criticism levelled against it by the opposition for its bid to effect amendments that will dilute the existing land acquisition law. At the
same time, it will impose a fiscal cost on the central exchequer as it will bump up the food subsidy burden.
The panelchaired by Ramesh Chand, director of the National Institute for Agricultural Economics and Policy, Delhi, and
represented by the ministry of agriculture, Commission for Agricultural Costs and Prices (CACP), state governments and farmer
bodieswas set up in April 2013 by the Congress-led United Progressive Alliance (UPA) to review the methodological issues in
fixing MSPs and examine the mandate of CACP.

The report was submitted to the government last week. A draft copy of the report has been reviewed by Mint.
The report is significant, given the farmers long-standing complaint that MSPs do not cover the costs of cultivation. It comes at a
time of acute farm distress, following last years delayed and deficient rainfall and this years unseasonal rains which have destroyed
standing crops in several parts of the country.
The panel also proposed broadening the mandate of CACPwhich is now restricted to computing MSPsto deliberate on farm
incomes and prepare regular policy briefs, to be placed before the Union cabinet.
To be sure, the NDA government informed the Supreme Court on 20 February of its inability to set MSPs at cost-plus 50% returns,
as recommended by an earlier panel chaired by M.S. Swaminathan. Higher MSPs can distort the market, the centre told the apex
court, going back on its electoral promise.
The Chand panel has dwelled at length on the risks underlying farming, especially given the rapid transformation of the agrarian
economy from being primarily of foodgrain to riskier cash crops susceptible to price fluctuations. Price shocks have become
frequent... The pressure to meet family expenditure to meet the necessities of modern life has been forcing farmers to embrace risky
ventures by using borrowed funds. Risks unleashed by market forces and price crash in many cases are leading to agrarian distress
and sad situations like farmers suicides, the report said.

It added that while other sectors have strong professional bodies like Ficci, CII, Assocham to lobby for policies in their favour,
there is no such body for farmers. The panel recommended the role of CACP be expanded and it be renamed Commission on
Agricultural Costs, Prices and Policies. It proposed CACP should monitor crop prices regularly to ensure farmers are not forced to
sell below MSP, and make immediate recommendations to government to address the situation.
The panel has also recommended a safety net for farmers if market prices dip below the MSP. The so-called deficiency price
payment will ensure farmers get the difference between MSP and the market price, to cover for price uncertainty.
The panel also suggested CACP should publish an annual review of prices and policies affecting agriculture, which will be placed in
the Parliaments budget session. Additionally, CACP should submit a quarterly report on the state of agriculture, food, prices and
farmers, with a list of policy recommendations, to be placed before the cabinet, similar to the CACP report on price policy, for
considering its implementation.
Noting that trade policy decisions on tariffs, exports and imports are often taken to protect the interests of consumers and industry,
which adversely impact farmers, the panel suggested CACP be consulted prior to taking such decisions.
It suggested broadening the sample size for estimating costs better. For computing costs of production, it said wage rates for heads
of families should be valued at skilled and not unskilled rates. Further, costs (C2) should be raised by 10% to cover for farming risks
and farmers managerial remunerations.
The panel also proposed the rental value of own land be calculated at the prevailing rates, without any ceilings applied, and that the
interest on fixed and working capital be estimated for the entire crop season and on actuals. The panel hopes this will correct the
underestimation of interest costs as, often, farmers borrow from non-institutional sources at much higher rates. Additionally, the
panel suggested post-harvest costs (like cleaning, drying, packaging, marketing and transport) incurred before actual sales be
included in costs.
There was a need to review the way MSPs are calculated, and the suggestion of including post-harvest costs, for instance, would
benefit farmers, said Himanshu, associate professor at Jawaharlal Nehru University, Delhi, and a columnist with Mint. The
mandate of CACP needs a review for it has been reduced to a puppet in the last 10-15 years, playing to the wishes of government
in power. But to suggest CACP to take up an additional policy role may not be sound. A separate body on the lines of a National
Commission for Farmers is better suited to guide broader policies.
However, the Directorate of Economics and Statistics (DES) under the agriculture ministry, opposed nearly all major suggestions. It
has opposed in its dissent note the idea of a safety net, 10% risk premium, placing annual policy reports in Parliament or cabinet,
and including post-harvest costs while calculating costs of production.
The Ramesh Chand panel report is a wake-up call for the government to finally fix the MSP system. It is pro-farmer and should get
precedence over the Shanta Kumar panel report (on restructuring of Food Corporation of Indiasubmitted in January)which
suggested dismantling the price support system altogether, said Ajay Vir Jakhar, chairman of Bharat Krishak Samaj, a farmers
organization. However, I doubt the government will implement the (Chand) panels recommendations as it was set up by the UPA,
more so as it increases their (financial) burden.

Debroy committee suggests corporatization of Railways

New Delhi: A committee headed by economist Bibek Debroy has recommended corporatization of the railway board and separation
of roles of policy making, regulation and operations suggesting that the ministry of railways be only responsible for policymaking.
In its interim report that has been put on the ministrys website for feedback, the committee suggested forming an independent
regulator for economic regulation and a railway infrastructure company that will own the railway infrastructure, thus de-linking both
from the railways.
Bibek Debroy is a permanent member of the NITI Aayog.

There should be clear division of responsibility between the Government of India and railway organizations. The ministry will only
be responsible for policy for the railway sector and the parliamentary accountability and will give autonomy to the IR (Indian
railways), said the committee in its report.
The railway ministry had in September 2014 constituted this eight-member committee for the mobilization of resources for major
railway projects and restructuring of railways under then railway minister D.V. Sadananda Gowda, who felt that the railway board
had become unwieldy because of overlapping roles of policy formulation and implementation.
The Debroy committees recommendations lay down the direction of the reforms required to turn around the national carrier.
Independent regulator
While the need for an independent regulator for determining tariffs has been raised before, the committee proposes the setting up of
a Railway Regulatory Authority of India (RRAI) statutorily, with an independent budget. A shift of regulatory responsibility from the
government to an independent regulator is required as the private sector will only come in if there is fair and open access to
infrastructure, the committee said.
The independent regulator shall ensure fair and open access and set access charges; establish tariffs in cases where there the
market fails to discover a price; and adjudicate disputes between the track-owning organization and the train operators; and
between competitors. This will make fair and open access a reality and open up both freight and passenger trains, in competition
with Indian Railways, said the report.
This is crucial for providing a level-playing field to the private sector which has been reluctant to enter this sector.
The committee makes two other recommendations: to progressively phase out the practice of a separate railway budget by merging
with the general budget and to ensure increases in passenger fares are accompanied by better passenger services and amenities.
Corporatization of railway board and decentralization
The committee recommends that the railway board function like a corporate board for railways. The chairman of the railway board
should be like a chief executive officer, it said, and the composition of the railway board should be changed to five members (traction
and rolling stock, passenger and freight business, human resources and stores, finance and PPP, and infrastructure) and two
independent experts.
Suggesting decentralization of decision-making powers it says the head of each zone (general manager) must be fully empowered
to take all necessary decisions without reference to the railway board.
Within the revenue budget financial outlay, the zonal railways should have full powers for expenditure; re-appropriation and
sanctions, subject to it meeting its proportionate earning target, the report said.
The report also underlines the need for railways to refine it accounting practices.
Private sector participation
The larger thrust of the recommendations is to make the railways attractive for private sector participation.
Apart from creation of an independent regulator and corportization of the railways, the Debroy committee recommends that the
railways move away from non-core activities like production and construction, leaving room for private entry. It suggests separation
of rail track from rolling stock with two independent organizations responsible for these.
Private sector participation can be implemented in the form of service contracts, management contracts, leasing to the private
sector, leasing from the private sector,concessions, joint ventures and private ownership, the report said.

Importantly, the committee has suggested the formation of a railway infrastructure company in the form of a special purpose vehicle
that will own the railway infrastructure be created.
The creation of such a railway infrastructure company makes the market for operating trains contestable, the report said.
Cooperative federalism, social cost accounting
The Debroy committee seeks a reallocation of the social cost and to reduce its burden on the cash-strapped transporter. It
recommends a cleaner bearing of the subsidy burden for national projects on a cost-sharing basis between the union government
and state governments on the one side and Indian Railways on the other.
It further recommends financial assistance from state governments to the railways for uneconomic branch lines and suburban
passenger services or joint ventures with state governments for suburban rail, some of which are non-remunerative and of social
value to the people.
Suburban railways should ideally be hived off to state governments, via the joint venture route. Until this is done, the cost of low
suburban fares, if these fares are not increased, must be borne by state governments on a 50/50 basis, with MoUs (memoranda of
understanding) signed with state governments for this purpose, the report said.
Alternative funding
Most measures for tapping alternative sources of funding are already under active consideration of the ministry of railways.
Measures suggested include tapping multilateral funding agencies, take out financing by long-term funds, a long-term bullet bond or
a zero-coupon bond and joint ventures with state governments for suburban rail. It also suggests leveraging railways assets to raise
funds such as monetization of land.
The committee proposes to set up an investment advisory committee that will include experts, investment bankers and
representatives of Sebi, RBI, IDFC and other institutions.

Governors and guidelines

The latest exit from the office of the Governor of Mizoram, before the expiry of his term, is bound to revive the controversy over the
institution of Governors. Sadly, the debate on the issue, since the National Democratic Alliance (NDA) government came to power,
has generated more noise than thrown light. It is necessary to recapitulate.
The Constituent Assembly started with the proposition of electing Governors but settled for a process where Governors are
appointed at the pleasure of the President. As in the case of most other constitutional offices, no qualifications other than citizenship
and age were prescribed by the Constitution for the appointment of Governors. The Justice Sarkaria Commission and the Justice
Venkatachaliah Commission looked into the matter and laid down broad guidelines which, however, have not been accepted by
successive Union governments.
Criticism about selections
In the initial rounds of appointment of Governors, the choices were largely unexceptional and fell on persons who served the country
with distinction in one walk of life or the other. Even so, a major proportion of these appointments went to veterans of the political
party in office at the Centre, thereby inviting the sly comment that the office of the Governor was being used to put retiring
politicians to pasture. From the 1970s, the selections became increasingly vulnerable to criticism on grounds of political
partisanship, favouritism, patronage and cronyism.
The misuse of the office of the Governor for political purposes started as early as in 1952, when the Governor of Madras took it upon
himself the task of frustrating the prospect of a government dominated by the Communist Party of India. He persuaded the Prime
Minister to agree to his proposal of nominating the would-be Chief Minister to the Legislative Council and proceeded accordingly to
install a Congress government in office. Then came 1957, when the Communist government in Kerala was deposed by invoking
Article 356 (Presidents Rule). Such misuse of office was subsequently compounded in growing measure, by abuse of power by errant
Governors, thus bringing the office into contempt and public ridicule.

In the absence of clearly laid down criteria for selection, the process of appointment of Governors has been from the beginning,
political, and rightly so, because of the political nature of the office. The quest is not for the best person available for the post. The
test is whether the person chosen has a public record that is without blemish and above reproach. Necessarily, he or she has to be
one known to the powers who are responsible for the choice, and acceptable to them, as also the State government which is in office
in the particular State.
The recent Supreme Court verdict on the appointment of Governors does not impose any restrictions on the governments choice of
Governors. It only cautions that the pleasure of the President cannot be withdrawn on grounds of political incompatibility or any
arbitrary grounds. It does not provide any pre-emptive relief, but only asserts the jurisdiction of the court to look into the matter
post-facto if the aggrieved were to approach the court.
In my view, it will be beneath the self-respect and dignity of any Governor to go to court. Besides, such a course of action damagingly
detracts from the high constitutional status of the office itself. In fact, the situation should never reach the point of the President
withdrawing his pleasure. At the slightest hint of the Union governments discomfiture with a Governors continuance, he or she
should offer to resign, particularly when there is a change of government. An even healthier convention could be that incumbent
Governors should offer to resign automatically when the Union government changes, as happens in the case of the Attorney General
and other Law Officers. Mutual confidence is the crux of the matter. Such a convention could even be legislated as an addition to
Article 156 Clause 3 of the Constitution.
I may be accused of preaching what I did not follow in my own case. Therefore, a few facts may need to be stated. When the Union
government changed in 2004, my immediate inclination was to offer to resign. But I was dissuaded by all those whom I had
consulted on the ground that it would mean my admission of a political affiliation in spite of being a retired civil servant. Five
months later, when the intention of the Union government to transfer me to a North-Eastern State was conveyed to me, I construed
it as loss of confidence and offered to resign. I acted on the offer as soon as the government made up its mind.
Judges as governors
The office of the Governor is not employment under government. Thus, the Constitution has no bar on retired judges of High Courts
or the Supreme Court being appointed as Governors. The only constitutional restriction on them relates to their practising law after
retirement. As it is, they are being appointed to positions that have the character of employment under the government. By a 1969
Act of Parliament, the Chief Justice of India is designated to act as President of India in the event of vacancies arising in both the
offices of the President and Vice-President simultaneously. There has also been the convention of Chief Justices of High Courts
filling casual vacancies of Governors. Where it was intended that constitutional functionaries should not accept employment under
the government after retirement, the Constitution stated so explicitly. It is for Parliament to decide if superior judges should be
excluded from consideration for appointment to any office, as it is for individual judges to decide if it is consistent with their dignity
and self-respect to occupy such office.
Finally, a poser on the transfer of Governors within the prescribed five-year tenure. Article 156(3) of the Constitution does not
contemplate such transfers unlike Article 217(1) (proviso 3), which provides for transfers of High Court judges including Chief
Justices. Therefore, is it constitutional to transfer a Governor from one State to another for the remainder of the five-year term
instead of a fresh five-year tenure? That is a legal conundrum.
At the slightest hint of the Union governments discomfiture with a Governors continuance, he or she should
offer to resign, particularly when there is change of government

A retrograde move
Indias efforts to curb the growth of tobacco consumption have suffered a severe blow, with the Centre deferring its own rule
requiring packaging of tobacco products to have enlarged pictorial warnings from April 1. Regrettably, Union Health Minister J.P.
Nadda has turned the clock back by accepting the untenable logic of the Parliamentary Committee on Subordinate Legislation that
the issue should be decided after consulting industry stakeholders. Under the amended Cigarettes and Other Tobacco Products
(Packaging and Labelling) Rules, 2008, tobacco products were required to carry stark images of diseases caused by the substance
across 85 per cent of the package area, against the current 40 per cent, to act as deterrents. This forward-looking move is consistent
with Indias obligations under the World Health Organizations Framework Convention on Tobacco Control. Moreover, there is a
vast body of evidence showing that pictorial warnings have more impact than text. Images of harm prompt smokers to strongly think
of giving up the habit, and deter young people from using tobacco. This is particularly true of low and middle income countries,
including India, where such warnings can influence behaviour among the less-educated.

The chairman of the parliamentary committee, the BJP MP, Dilip Gandhi, sought to defend its stand on bigger pictorial warnings,
saying there are no India-specific studies linking cancer to tobacco use. Such a view flies in the face of well-documented
epidemiological research, and has understandably been ridiculed by the medical community which is battling the challenge of cancer
and other diseases linked to tobacco. In fact, the Ministry of Health and Family Welfare, in its publication titled Report on Tobacco
Control in India, reported even a decade ago various studies highlighting the health risks. More recent data show that regular
smokers have a threefold higher risk of death compared to similarly placed non-smokers, leading to the loss of a whole decade of life.
Equally, cessation of smoking and other forms of consumption leads to a significant increase in longevity. The debate on tobaccos
ill-effects has long ended, and countries with enlightened public health policies are focussing on tighter control measures using a
combination of high taxes, a ban on advertising, cessation support and changes to packaging rules. Australia has gone beyond
pictorial warnings and introduced plain packaging that eliminates brand recognition. India cannot afford to abandon its progress on
tobacco control and reverse course on control measures. Pressure from various lobbies must be firmly resisted and the new
regulations on expanded pictorial warnings implemented without delay.

Question for Gujarat

The Gujarat Control of Terrorism and Organised Crime Bill (GCTOC) 2015 appears to be modelled on the
draconian Maharashtra Control of Organised Crime Act (MCOCA), but it goes a step further to include terrorism in
its ambit. This may not withstand legal scrutiny the prerogative to legislate against terrorism, which has been
interpreted by the courts as an attack on national sovereignty, lies exclusively with the Centre. Gujarats grouse, that
other states have been allowed similar laws, may be valid, but the GCTOC resurrects fundamental questions about
the states approach to fighting crime and, especially, terror.
Anti-terror laws have had an unconvincing and, in fact, extremely worrisome record so far. Both TADA,
promulgated in the 1980s during the years of the Punjab militancy, and its successor, POTA, had abysmal conviction
rates. TADA was allowed to lapse while POTA was withdrawn in 2004 because the government could not make a
case for its efficacy in the fight against terror. According to a government estimate, less than one per cent of the
accused detained under TADA over a period of eight years were convicted.
The misuse of POTA has been reported in many cases the Tamil Nadu government booked Vaiko under POTA for
supporting the LTTE, an instance of the law being wielded against a political opponent. It has become evident that
anti-terror laws serve mostly to give a free hand to the police to book individuals on mere suspicion and keep them
in custody for extended periods without accountability. That the police could not eventually obtain convictions in
most of the cases questions the basic claim and premise of these laws, that they help bring terrorists to justice and
act as a deterrent. State laws like the MCOCA and GCTOC incorporate a provision to allow confessions secured in
police custody to be admitted as evidence in courts. This is tantamount to legalising custodial torture, while at the
same time encouraging poor, less rigorous policing.
The GCTOC, like the MCOCA, also allows custody of an accused for 180 days, double the period given under the
Centres Unlawful Activities Prevention Act. The overreliance on harsh and restrictive provisions that arbitrarily
curtail citizens rights only sharpens the fundamental question: Could better results be obtained if law enforcement
agencies were provided quality training, equipment, cutting-edge technology, and, most importantly, were better
manned?

Turning a new page

The significance of Nigerias successful presidential election cannot be overemphasised. After all, some Africa
watchers had expressed apprehensions that Nigeria may not exist beyond 2015. Former military ruler and general
Muhammadu Buhari has defeated the incumbent president, Goodluck Jonathan, by 54 per cent of the vote to 45.
While Buhari has hailed his victory as a sign that the country has finally embraced democracy, Jonathan has earned
praise from several quarters, including the victor, for peacefully relinquishing power. A sitting Nigerian president
has never been defeated in an election.
Since gaining independence from Britain in 1960, Nigeria has been plagued by several coups Buhari was
deposed in one in 1985 and most elections have been heavily rigged or even annulled by the military. Although
the 2011 election was a welcome departure, it was not enough. There were fears the 2015 polls wouldnt take place
at all or be marred by large-scale violence, given the determination on both sides to win and the chances of a
political-military plot to prevent the election rather than let the incumbent lose. In the end, the election was only
delayed by six weeks, apparently to give the army more time to win back territory from the Boko Haram.
Divided between its north and south along tense ethnic and religious lines, Nigeria has been a test case for
postcolonial Africa. Electoral violence could easily have caused a larger, uncontrollable conflagration, which would

have combined with the Boko Harams attempts at establishing an Islamic state in the northeast and torn Nigeria
apart. Instead, this country of 170 million has not only surprised the international community but also, overnight,
become a model for neighbouring states in Africa, which could take heart from Nigerians newfound confidence that
politicians can indeed be removed through the ballot.

Look again at the Middle East

India has every reason to hope for a positive outcome in the ongoing talks at Lausanne, Switzerland between Iran
and the major powers to resolve their longstanding nuclear dispute. Although the negotiators have missed the self-set
deadline of March 31, they are said to be closer than ever before to concluding a broad set of understandings on
limiting Irans ability to manufacture nuclear weapons, in return for the lifting of international sanctions against
Tehran mounted over the last decade and more.
US President Barack Obama and his Iranian counterpart, Hassan Rouhani, deserve strong support from New Delhi
for their persistence with the negotiations amid strong political opposition in both countries. The agreement is an
important step towards ending the prolonged confrontation between Iran and the West and it could transform the
geopolitics of the Middle East, opening up considerable diplomatic space for India.
While Iran had loomed large in Indias considerations on energy security, Afghanistan and the engagement with
Central Asia, the escalating conflict between America and Iran severely constrained Delhis freedom of action
beyond Indias northwestern frontiers. As the US ends its combat role in Afghanistan, strategic cooperation with Iran
has become absolutely critical for securing Indias interests in Afghanistan and Central Asia.
The further decline in oil prices that is likely to follow the agreement will be a huge financial boon for India, which
imports most of its hydrocarbons. Some are speculating that oil could hit as low as $20 a barrel once the West eases
sanctions on Irans petroleum sector and Tehran ramps up production in the coming months and years. Above all, the
nuclear deal between Iran and the US is a vindication of Delhis diplomatic pragmatism that unfolded since India
conducted nuclear tests in May 1998. While three successive prime ministers Atal Bihari Vajpayee, Manmohan
Singh and Narendra Modi sought an accommodation with the global nuclear order, ideologues on the left and
right in Delhi denounced Indias atomic engagement with America. A series of Indian votes at the International
Atomic Energy Agency a decade ago, in favour of the international community and against Iran, came under extra
fire. Many in Delhi demanded that India stand by Iran rather than secure an end to its own nuclear isolation. Delhi
would have looked utterly stupid today if it had abandoned the civil nuclear initiative with the US in the name of
third-world solidarity. That Tehran, despite its many problems with America, would eventually make a deal of its
own with Washington was recognised by realists in Delhis foreign policy establishment. In assessing the
prospective nuclear deal between Iran and the US, it will be quite easy to get lost in the debate over technical issues
that will dominate the international discourse. To be sure, there are many technical questions relating to a range of
issues including the future of Irans uranium enrichment and plutonium reprocessing programmes, the extent of
permissible research and development for peaceful purposes, the rigour of international inspections and the pace of
removing sanctions. These questions have been at the heart of the talks between Washington and Tehran since they
announced an interim nuclear agreement at the end of 2013, under which Iran suspended its enrichment programme
and the US eased some sanctions. Many of these will need to be sorted out before the final agreement is worked out
by June 30 this year. Yet, the motivations for the negotiations and the consequences arising from the nuclear deal are
deeply political. Although both the US and Iran have insisted that the talks are limited to the nuclear issue, their goal
is to seek a normalisation of bilateral relations. Delhi should also not be taken in by the veneer of multilateralism
that surrounds the talks in Lausanne. Although the five permanent members of the UN Security Council and
Germany (the P5+1) are conducting the talks with Iran, this is really about hard bilateral bargaining between

Washington and Tehran. In the last few months, some major powers like France have been complaining that
Washington and Tehran tend to present decisions already taken at the bilateral level for approval in the multilateral
context. Although there is strong support from the public opinion in both countries for resolving the nuclear dispute
and rebuilding bilateral ties, there is powerful political resistance in Washington and Tehran to a nuclear
accommodation. In Washington, the Republicans, friends of Israel, supporters of the conservative Arab states and
the non-proliferation purists will oppose any deal with Iran. Similarly, in Tehran, those chanting death to America
for more than three decades will find it difficult to stomach the prospect of a positive engagement with the US. Yet,
there has been a convergence of interests between Washington and Tehran over the last decade for example, in
ousting the Taliban from Afghanistan and Saddam Hussein from Iraq. Today, they are on the same side in fighting
the Islamic State in Iraq. But many contentions between the two remain. And some of those will survive a nuclear
deal. Progress on the nuclear issue and improved ties with Iran will significantly expand Americas options in the
Greater Middle East. After two debilitating wars in Iraq and Afghanistan, Obama is trying to develop a more
realistic American approach to the region. For Iran as a nation, the extended confrontation with America has been
very costly. Any political dtente between the two will set the stage for a comprehensive reordering of the regional
balance of power. For its part, Delhi must gear up to deal with a region that has not got high-level Indian political
attention in recent years. As it looks forward to new opportunities in Iran, Delhi must also reach out to its Arab
neighbours, some of whom are deeply concerned about the consequences of a US-Iran rapprochement. To secure its
massive political and economic stakes in the Middle East, Delhi needs to take a fresh strategic look at the region,
discard many of its outdated political assumptions and initiate a sustained political engagement with all the major
actors.

New foreign trade policy: $900 bn exports by FY20

Marking a shift in its approach towards foreign trade policy, the government on Wednesday sought to rope in states
and Union Territories in the process of international trade while setting an export target of $900 billion by FY20,
almost double of $465.9 billion achieved in 2013-14.
In the foreign trade policy (FTP) 2015-2020 announced on Wednesday, the commerce ministry provided for a slew
of incentives for exporters and special economic zones while doing away with the existing incentive schemes and
introducing two schemes Merchandise Exports from India Scheme (MEIS) and Services Exports from India
Scheme (SEIS) for goods and services.

While unveiling the policy, commerce minister Nirmala Sitharaman said that it is in line with the initiatives
including Make in India, Digital India and Skill India announced by the government earlier. The policy, she
said, aims at improving doing business environment and simplifying trade transactions in wake of trade facilitation
agreement of the World Trade Organization.
The policy comes amid a moderation in global demand and the resultant dip in Indias exports, which fell for the
third month in a row in February, declining by over 15 per cent to $21.54 billion. Exports during April-February
stood at $286.58 billion compared with $314.40 billion in 2013-14.
For the first time, exports by e-commerce firms will be provided incentives while under the MEIS.

The government will focus on branding Indias products for which campaigns would be started soon in sectors
including pharma and engineering. Traditional exports like handloom alongside yoga in services would also be
promoted.
The FTP seeks to provide a stable and sustainable policy environment for foreign trade in merchandise and
services promote diversification of Indias export basket, Sitharaman said. The new policy will be reviewed
after two-and-a-half years and not annually as was the practice earlier. Further, apart from the existing Board of
Trade, a Council for Trade Development and Promotion will be set up comprising representatives from states and
Union Territories.

Foriegn Trade Policy: Market strategies.

Elaborating on the incentives, commerce secretary Rajeev Kher said that five different schemes focus product
scheme, market-linked focus product scheme, focus market scheme, agri infrastructure incentive scrip and Vishesh
Krishi Gram Udyog Yojana for rewarding merchandise exports with different duty scrips have been merged into
the MEIS and there would be no conditionality attached to it.
These duty credit scrips will be freely transferable for payment of custom duty, excise duty and service tax. To boost
Make in India, export obligation has been reduced to 75 per cent from 90 per cent in case of procurement of capital
goods from domestic manufacturers.

RBI adopts Basel III standards for capital, liquidity

The Reserve Bank of India (RBI) announced late on Tuesday amendments to regulations on capital adequacy and liquidity for
lenders operating in the country, in order to more closely align them with the standards set by Basel III rules.

The danger in external debt

Indias external debt at the end of December 2014 rose to $461.9 billion, up $15.5 billion from March 2014. Heres the good news
first: As a percentage of gross domestic product, the debt is 23.2%, a 50 basis point decline from nine months earlier. But the
increase was tempered by valuation gains of $14.4 billion. That means but for these foreign exchange changes, the rise in external
debt in the nine months to December would have been nearly $30 billion.
The second piece of good news is that short-term debt declined to 18.5% of total external debt at end-December compared with
20.5% at the end of the previous fiscal year.

The rise in total external debt has been fuelled by a private sector loan-raising spree. While government external debt has remained
stable for some time now, private sector debt has increased steadily to hover around 19% of the countrys economic output.

With the US Federal Reserve and European Central Bank turning on the liquidity tap at a time when domestic interest rates
remained high, Indian firms have been raising money mainly from external commercial borrowings. This source of funds makes up
37% of total debt compared with 31.7% a year earlier.
This growing pile of external loans can prove to be an albatross around the neck for Indian firms in a year when the US Fed is likely
to finally increase interest rates.
While not an immediate flashpoint, these borrowings could come under pressure amid an unexpected dollar surge or a jump in
rates, wrote Radhika Rao, an economist with DBS Research. The dollar is the favourite currency of Indias external loans,
accounting for 58.7% of foreign credit. Secondly, as the Reserve Bank of India has pointed out earlier, many of these foreign loans
are not properly hedged. Central bank data shows that by late 2014, about 85% of the borrowings were exposed to currency swings
compared with 50% earlier.
While the central bank has been building up forex reserves, these are still inadequate. By end-2014, these reserves were enough to
cover just 69.4% of the total external debt compared with 138% in March 2008. This coverage is the lowest in Asia, according to
DBS.
While a declining current account deficit and increasing reserves do provide a level of comfort unseen in the previous couple of
years, any period of currency turbulence can spell danger for the fragile recovery in corporate earnings.

India faces new health threat

What sets India truly apart in todays economy is its gigantic workforce. The country has the largest number of young workers in the
world, with 12 million joining the workforce every year. But the question is, how productive can these people be if they suffer from
frequent illness and poor health?
India, along with most other nations, has fallen victim to a lethal modern day scourge non-communicable diseases (NCDs).
Cardiovascular diseases, cancer, chronic respiratory diseases and diabetes could cost the world $47 trillion in lost economic output
from 2010 to 2030 if urgent action is not taken to prevent and treat them, say experts.
Indias condition is particularly serious. NCDs are estimated to account for a chilling 60 per cent of all deaths in India, making them
the leading cause of death ahead of injuries and of communicable, maternal, prenatal, and nutritional conditions. Further, NCDs
account for about 40 per cent of all hospital stays and roughly 35 per cent of all recorded outpatient visits. NCDs not only affect

health, but also productivity and economic growth. The probability of death during the most productive years (ages 30-70) from one
of the four main NCDs is a staggering 26 per cent. Moreover, as India ages, it is likely to find the burden even heavier.
The good news is that the NCD menace can be avoided. There are options that policymakers can take today, and businesses may
contribute as well through workplace health programmes aimed at prevention, early detection, treatment, and care. Is India
prepared to take up the challenge? Its track record is far from promising.
Global evidence on health spending shows that unless a country spends at least 5-6 per cent of its GDP on health and the major part
of it is from government expenditure, basic healthcare needs are seldom met. Government spending on healthcare in India is only
1.86 per cent of GDP, which is about 4 per cent of total government expenditure, less than 30 per cent of total health spending.
Union Budget 2015 follows the same pattern. It spends less than a ten-year average on public health care. The alarms sounded
across the country have not been able to shake off the indifference of policymakers regarding NCDs. They remain exclusively
focussed on communicable diseases and the classic diseases of poverty, paying scant attention to emerging menaces, even the most
virulent ones. So, while NCDs now constitute the bulk of the countrys disease burden, National Health Programmes to tackle and
treat these are extremely limited in coverage and scope.
The scenario, however, must change, as India has too much at stake. In terms of tangible assets, it stands to lose U.S. $4.58 trillion
before 2030. But the real cost of carrying the burden of a mammoth population that is growing steadily sicker would be far more
debilitating.
Readying the arsenal
How can NCDs be contained and kept at bay. Primary prevention, built upon a robust early screening system, and a strong
healthcare infrastructure, are the two main arms of the solution.
To enable this solution to act swiftly and with precision, it is imperative to build a comprehensive base of relevant data, which can be
used as points of reference. This again envisages close and continuous collaboration among the public and private sectors and civil
society. Most importantly, the medics and the researchers require uninterrupted infrastructural support that includes the following:
Robust mechanisms for data collection, data sharing, and knowledge transfer
Systems for monitoring and evaluation
Clearing houses for people to share and learn about what works and what doesnt in various contexts
Finally, what role can we, the potential victims, play in this battle? We can launch a double-pronged attack. First, we work, as
pressure groups, forcing the authorities to take NCDs out of dusty policy documents and introduce them into business and policymaking debates. The purpose would be to stimulate discussion on the extensive impact of NCDs on Indian families, businesses, and
society.
The second option would probably be the most damning attack against the NCDs. We decide to make the correct choice. If we learn
the skills of maintaining a healthy and active lifestyle, then we can break the back of the NCD menace.
Are we ready to take the plunge? More importantly, is our workforce ready for it?
If we learn to maintain a healthy and active lifestyle, then we can break the back of the non-communicable
diseases menace

Ominous legislation
The Gujarat Control of Terrorism and Organised Crime (GCTOC) Bill 2015 carries disturbing echoes of draconian anti-terror laws
such as the Terrorist and Disruptive Activities (Prevention) Act (TADA) and the Prevention of Terrorism Act (POTA). Both were
considered failed experiments that led to gross abuse. More specifically, the Bill seems to be modelled on the provisions of the
Maharashtra Control of Organised Crime Act (MCOCA) that was implemented in 1999 and continues to be in force today. In fact,
since 2002 it has also been in force in Delhi after the police insisted that such a law was needed as organised crime has no limits.

The common thread running through all these controversial pieces of legislation is the notion that regular process, as outlined by the
Code of Criminal Procedure, is not enough to deal with a changed internal security situation. GCTOC is therefore the latest chapter
in a long-running search to find an ideal anti-terror law, but like its earlier versions it raises important questions about the lines the
state crosses in its attempts to fight crime and terror. GCTOC, like MCOCA, allows confessions secured in police custody to be
admitted as evidence in courts, a disturbing provision that is tantamount to legitimising custodial torture. Similarly, it allows the
custody of an accused for 180 days rather than the 90 days provided under normal law. The most troubling aspect of MCOCA has
been the way it enables the police to sidestep rigorous investigation. It has been used as a charge in all manner of cases ranging from
real estate deals, prostitution and match-fixing, as the police seek to stack the odds in their favour in order to secure a conviction.
This practice has repeatedly met with censure from the courts and there is no guarantee that GCTOC wont go down the same path.
The debate around GCTOC in the coming days will most likely take a political hue. When the UPA government first rejected
Gujarats attempts to pass an anti-terror law the then Chief Minister Narendra Modi claimed that he was only presenting a xerox
copy of MCOCA. The UPA argued that the Gujarat law was at variance with its policy on terror laws as articulated in the Unlawful
Activities (Prevention) Act. The new government may well have a different national policy. After all, permission for MCOCA was
given under the last NDA government. A more useful debate though, is on the manner in which these special laws are created. TADA
came into being during the years of the Punjab militancy and POTA after the Parliament attack of 2001, and the genesis of MCOCA
was from the Mumbai serial blasts of 1993. Knee-jerk reactions lead to severe laws. The focus should rather be on better resources
and training for investigators who can continue to work under the existing Code of Criminal Procedure, which is already
comprehensive in scope.

Missing the big, bleak picture

The unseasonal rains over the last few weeks have resulted in enormous loss of crop output across many States of North India. This
has shifted attention from the issue of land acquisition to other important problems faced by farmers in India. While it is important
to debate the various clauses of the Land Acquisition Bill what might benefit the farmers and what goes against their interests it
is also important for the government to pay attention to the bigger problems that Indian farmers face. The findings from a survey
conducted by the Centre for the Study of Developing Societies in late 2013 among 5,480 farmers across 18 States in the country
present a rather dismal picture of agriculture today.
More than just the Bill
Though farmers are anxious about the Land Acquisition Bill, this does not seem to be their biggest worry, as only a very small
proportion of farmers in the survey (less than five per cent) especially those who want money to get their sons educated or
daughters married buy and sell land. While the question of farmers consent in land acquisition by the government is an
important issue, there is little focus today on the very state of agriculture. It is therefore imperative to seek the opinions of farmers
on this. Most conversations with farmers reveal how income returns are very low, irrigation facilities are inadequate and supporting
infrastructure is largely absent or of poor quality.
What adds to the problem is the unpredictable weather and the dependence on monsoons even to this day. Besides, crops also get
destroyed either by drought or by floods. It is no wonder that the survey indicates that more than one-fifth (22 per cent) of the
farmers have begun to dislike farming.
The reasons for the farmers increasing apathy towards their profession are not too difficult to understand. Close to half the
respondents in the survey (47 per cent) believed that their overall condition was bad. More than six out of 10 farmers (62 per cent)
were willing to leave farming if they found jobs in the city. More than one-third (37 per cent) said they would not like their children
to be farmers. But it is important to note that their disillusionment is driven largely by economic considerations, and not a dislike for
their occupation.
The need to reduce disguised unemployment in the sector by promoting alternative jobs or businesses does not negate the need for
government action to revive agriculture. The sector has and will continue for many years to have the highest share in the countrys
employment. A prosperous agricultural sector is absolutely essential for maintaining food security, and the government needs to
actively address some of the emerging problems.
There is no lack of schemes for the farmer the National Food Security Mission, the Rashtriya Krishi Vikas Yojana and the Gramin
Bhandaran Yojana, to name just a few. The need is to improve the delivery of these rather than to initiate new ones. Even Prime
Minister Narendra Modi recognised this when he said in a recent speech that farmers hardly benefit from government schemes. The
survey indicates that most farmers dont benefit from them. The proportion of farmers who have benefited was less than one-tenth
for each of these schemes.

The problems on ground

The scarcity of financial resources for farming is another major issue. Unsurprisingly, the study indicated that one-third of the
farmers had taken a loan in the last five years for meeting personal or farming needs. For non-farming purposes, most of them had
to depend on either friends or moneylenders. Although more than half the farmers surveyed had heard about the Kisan Credit Card
and the United Progressive Alliance governments much-publicised loan waiver project, its actual impact was quite limited. Only 15
per cent had a Kisan Credit Card, while one-tenth had actually benefited from the loan waiver. The proportion for the latter was
higher among the big farmers (21 per cent) and much lower among marginal farmers (6 per cent.) We know that access to cheap
credit from formal sources for both farming and personal purposes is key to rural development.
The lack of expert advice is another nagging issue. Even as new kinds of seeds, fertilizers or farming techniques become common,
large numbers of farmers continue to rely on their own knowledge and experience or what they learn from word of mouth. Only 15
per cent said that they take information or help from agriculture department officers or other experts.
Thus, for instance, large numbers of the farmers surveyed had never heard of crop insurance, with 67 per cent having never insured
their crop. Thus, in the event of a flood or drought, they have no means to recover even a portion of their losses. In the survey, 70 per
cent of the farmers said that crops were destroyed in their area at least once in the last three years. The main reasons were drought,
floods or unseasonal rains.
It is clear that adequate irrigation facilities remain one of the foremost concerns. Less than one-third (28 per cent) of those surveyed
said that public projects such as canals and wells had been undertaken by the government in their area in the last 10 to 15 years. One
hopes that the newly launched Pradhan Mantri Krishi Sinchai Yojana will kick-start the process of improving irrigation facilities.
It is not surprising that farmers blame both the State and the Central governments for the massive systemic failure to address their
concerns. The high level of dissatisfaction among farmers cannot be considered as an excuse for promoting other sectors at the cost
of agriculture.
Reviving the rural economy should be a major challenge for the Modi government. Mr. Modi spoke of some critical concerns of
farmers in his speech, but the real test is whether his government will walk the talk. If the BJP hopes to retain the support it received
in rural India in 2014, the government must ensure that it is able to take the concerns of Bharat on board even as he harps on the
India growth story.
Even as new kinds of seeds, fertilizers or farming techniques become common, large numbers of farmers
continue to rely on traditional knowledge

Narasimhanomics and the middle way

The government of India has decided to honour the memory of former Prime Minister P.V. Narasimha Rao, more than a decade
after his passing away, with a memorial in the national capital. New Delhi has streets named after all and sundry, from conquerors to
councillors, and at least three members of PVs Council of Ministers (Arjun Singh, Madhavrao Scindia and Rajesh Pilot) each have a
street named after them, but not PV.
While PVs loyal Finance Minister, Manmohan Singh, respectfully paid tribute to him every year during his prime ministership, his
government was neither able to build a memorial nor award PV the nations highest honour for his contribution to economic and
foreign policy. Interestingly, the move to honour PV has come from non-Congress political leaders of Andhra Pradesh and
Telangana.
Architect in his right
There are two ways of viewing this issue. One is to say that since successive governments have honoured other former Prime
Ministers and senior political figures in a certain way, by naming streets, institutions or localities after them in the national capital,
PV also deserves a similar honour. Even his critics would agree that the charges they level against him for various acts of omission
and commission are no more than what could be levelled against many political leaders whose memory has nevertheless been
honoured in one way or another by the national government.

However, this constitutes a weak line of defence. PV deserves more. He provided political leadership to a nation adrift at a
particularly difficult moment in recent history. He may not have been the architect of post-Nehruvian economic policy, since the
new turn in economic policy began in the 1980s, but he demonstrated greater political courage in advocating and leading it than his
predecessor Rajiv Gandhi. He was, without doubt, the architect of Indias post-Cold War foreign policy.
That many of us have forgotten PVs contribution to economic liberalisation undertaken in 1991 came through vividly to me at a
public lecture in, of all places, Hyderabad. My audience of business leaders and managers recalled without hesitation the names of
the Ministers of Finance (Manmohan Singh) and Commerce (P. Chidambaram) of the time but were nonplussed when asked to
name the Industries Minister of the day.
Setting off reforms
Long before the Finance Minister managed to get the fisc under control and the Commerce Minister managed to bring Indias tax
rates and tariffs down to ASEAN levels, it was PV, as Industries Minister, who signed off on the famous Industrial Policy
Statement of July 24, 1991, that ended Indias infamous Licence Permit Quota Raj. Indeed, the most radical policy action taken in
1991, if one were to discount the July 1991 devaluation as an inevitability, was the delicensing decision taken by PV as Industries
Minister. The trio, of PV, his principal secretary, A.N. Verma, and the Economic Advisor in the Industries Ministry, Rakesh Mohan,
were responsible for that bold move.
With hindsight, one understands why PV first reached out to Dr. I.G. Patel, a former Governor of the Reserve Bank of India, and
invited him to join his Council of Ministers as Indias Finance Minister. Dr. Patel had famously authored an essay in the 1980s
calling for a bonfire of controls. It was only when Dr. Patel declined the offer, opting instead to go into retirement and live in his
modest home in Baroda, that PV turned to Dr. Singh. But, it was PV who took the all-important decision to strike a match and light
the bonfire that Dr. Patel had called for.
PV went beyond merely liberating Indian enterprise from bureaucratic controls. He celebrated the rise of Indian business by being
the only Prime Minister to award a Bharat Ratna to a business leader, when he named J.R.D. Tata to that honour in 1992. When
these facts are recounted, I am often asked why the media refers to the economic policies of the current government in New Delhi as
Modinomics while referring to PVs policies as Manmohanomics!
The middle way
It is worth recalling that when the policy initiatives of 1991-92 came under attack, not just from the Left and the Bharatiya Janata
Party (BJP) but also from within the Congress, it was PV who convened an All India Congress Committee (AICC) session at Tirupati
and personally defended them in his presidential address. Titled The Tasks Ahead, PVs address outlined his approach to economic
reform and policy, which he named The Middle Way.
Long before British sociologist Anthony Giddens provided legitimacy to the policies of British Prime Minister Tony Blair with his
espousal of The Third Way, a mixture of Thatcherite liberalism with traditional Labour welfarism, and academic seminars were
held on the idea, PV defined The Middle Way in economic policy thus: In the past ten months, our Government has initiated farreaching industrial, fiscal and financial reforms Simultaneously, we have also taken measures to mitigate any hardship likely to be
caused in the process. We propose to continue, in fact increase, the thrust of our employment, poverty alleviation and welfare
programmes these are two parallel and complementary programmes. Between the two of them, all sections of the people are
covered, at all levels of the social pyramid, with particular emphasis on the base of the pyramid the dynamic leadership and clear
voice of the Congress are needed for the upliftment of the oppressed, even while we carry out reforms in the economy as a whole.
This formulation captures the essence of what policymakers in India and abroad have since called inclusive growth. Under
pressure from Western economists and their Indian pupils to opt for Big Bang reforms, la Margaret Thatcher in Britain and Boris
Yeltsin in Russia, PV opted for the Middle Way, telling Michel Camdessus, the managing director of the International Monetary
Fund that he would do whatever it takes to boost investment and economic growth in India but do nothing that would put even one
worker out of employment. Narasimhanomics, if one may so dub The Middle Way, was not neo-liberal, an epithet that the Left
hurls at Manmohanomics.
Look East and West
But 1991 was not just about a new turn in Indias economic policy. In fact, the turn in foreign policy was equally radical. It was PV
who authored Indias Look East Policy, reaching out not just to Singapore and South-East Asia, but also to Japan and South Korea.
PV was the first Indian Prime Minister to visit Seoul. His visit triggered a surge in Korean investments into India, making Korean

brands a familiar sight in middle class households. PV also overturned Indias West Asia policy by establishing diplomatic relations
with Israel. In doing so, he ensured India retained good relations with both Iran and the Gulf nations. This was classic nonalignment at work in West Asia. PV also reached out to both the United States and China and to all of Indias neighbours. Assisted by
his able and clever Foreign Secretary, J.N. Dixit, PV crafted Indian foreign policy for the post-Cold War era a policy that has stood
the test of time.
We have now been told by former Prime Minister Atal Bihari Vajpayees confidante and press secretary Ashok Tandon that it was PV
who encouraged Mr. Vajpayee to conduct nuclear tests in 1996, passing him a chit at Mr. Vajpayees swearing-in ceremony at
Rashtrapati Bhavan that said, now is the time to accomplish my unfinished task. PV had tried unsuccessfully to conduct these tests
and the fact that he did not have to say more about what that task was in that chit to Mr. Vajpayee suggests that he may well have
kept Mr. Vajpayee in the loop. PV was a consensual leader who befriended all, reached out to all.
PV had his failings. Which Prime Minister did not? He made his mistakes. Which leader would not? But none of his failings and his
mistakes were such that he did not deserve even a street named after him in this national capital of tombs and tablets.
PV went beyond merely liberating Indian enterprise from bureaucratic controls. He celebrated the rise of
Indian business by being the only Prime Minister to award a Bharat Ratna to a business leader...
P.V. Narasimha Rao provided political leadership to a nation adrift at a particularly difficult moment in recent
history. He may not have been the architect of post-Nehruvian economic policy, but he demonstrated greater
political courage in advocating and leading it than his predecessor. He was also, without doubt, the architect
of Indias post-Cold War foreign policy

Reassuring signals

It was reassuring to see Prime Minister Narendra Modi and Finance Minister Arun Jaitley send out a
message on Thursday at a function to mark 80 years of the central bank that the government and the
monetary policy authority are on the same wavelength on critical economic issues. This is important
especially after recent reports of a conflict between the finance ministry and the RBI over the
governments decision to divest the central bank of functions such as public debt management and
oversight of the government securities market.
The positive signalling is significant at a time when growth is an overriding objective and the need for a
coordinated approach on fiscal and monetary policies all the more important. It also helps that both the
government and the RBI appear to be on the same page when it comes to the goal of ensuring the delivery
of financial services to every household in the country over the next few decades, given the potentially
huge multiplier effect it could have on the economy.
Indias central banks track record has been very good, which both the PM and FM acknowledged,
especially since other institutions in the financial sector have been post-liberalisation creations. The RBI
governor pointed out that strong national institutions are hard to build, which makes it critical to nurture
existing ones and constantly rejuvenate them from within. Today, that is one of the biggest challenges in
the country, also because the state has systematically weakened such institutions and, in some cases,
virtually reduced them to subordinate offices of the Central government. But as the economy scales up
and India moves up the pecking order in terms of the size of GDP and other metrics, what will count for
both overseas and local investors is the strength and record of institutions which can provide reassurance
and lend credibility on the policy front.
The strength of such legacy institutions be it in India or elsewhere has much to do with professional
competence, integrity and the quality of leadership over a sustained period of time. That is what the
government should bear in mind as it gets down to the job of building new institutions.