CURRENT AFFAIRS - 30/01/2024

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CURRENT AFFAIRS – 30/01/2024

CURRENT AFFAIRS – 30/01/2024

The Burden of Malnutrition

(General Studies- Paper II)

Source : The Indian Express

Iron deficiency anaemia (IDA), a common condition affecting children and women, is often linked to nutritional deficiencies.

Haematologists, specializing in blood disorders, emphasize the bidirectional relationship between nutrition and certain disorders, highlighting the impact of consistent poor nutrition on health.

Key Highlights

Two-Way Relationship Between Nutrition and Disorders:
- Regular examination of patients with anaemia reveals a connection between nutritional deficiencies and disorders.
- Inadequate intake of micronutrient-rich food can lead to IDA, Vitamin A, and zinc deficiency, impairing immunity.
- Conditions like celiac disease, H. pylori infections, and worm infestations can disrupt the digestive system, causing nutrient deficiencies.
- Micronutrient deficiency-induced malnutrition can have inter-generational consequences.
- Anaemic mothers are known to give birth to anaemic babies, emphasizing the need for comprehensive interventions.
Government Initiatives to Address IDA:
- Programs like AnaemiaMukt Bharat (AMB) administer iron and folic acid (IFA) tablets as prophylactic measures.
- The Mid-day Meal Scheme for school children is another targeted intervention to combat anaemia.
- Despite government initiatives, challenges persist in effectively implementing programs to combat nutritional deficiencies.
The Role of Diet in Health:
- Diet plays a significant role in preventing malnutrition and IDA.
- Traditional diets, characterized by diverse and balanced combinations of cereals, pulses, vegetables, fruits, seeds, nuts, and dairy, are contrasted with modern processed and sugar-laden alternatives.
- Shifting dietary patterns towards processed foods, while calorically dense, contribute to nutritional deficiencies.
- Acknowledging the shift from traditional, balanced diets to contemporary dietary patterns highlights the need for collective responsibility in promoting healthier eating habits.
Alarming Food Insecurity Statistics:
- FAO data reveals that 46% of South Asia’s population lacks access to an affordable balanced diet.
- The State of Food Security and Nutrition in the World, 2023 reports that 74% of India’s population cannot afford a healthy diet, and 39% lack a nutrient-adequate one.
Large-Scale Food Fortification as a Strategic Intervention:
- LSFF, when integrated with micronutrient supplementation, diet diversity promotion, and behavioral change measures, has the potential to enhance existing initiatives.
- While food fortification may not be the ultimate solution, it is deemed a crucial initial step, with parallels drawn to successful strategies in other countries.
- The adoption of iodized salt in 1992 under the National Iodine Deficiency Disorders Control Programme effectively reduced goitre rates in India.
- Current food fortification efforts extend to staples like wheat flour, rice, edible oils, and salt.
Importance of Awareness and Communication:
- Awareness among targeted beneficiaries is crucial for the acceptance of fortified foods.
- Concerns related to the appearance and texture of fortified foods need to be addressed through robust information, education, and communication (IEC) campaigns.
- Highlighting stringent fortification standards and dispelling misconceptions, especially regarding iron toxicity, is key.
- Utilizing communication channels such as community radio, videos, and door-to-door outreach is essential.
- Messages in vernacular languages enhance understanding, dispel misconceptions, and build trust among the population.
Path Forward:
- The need for a holistic approach, combining individual and community-level adoption of healthier dietary practices with state-led strategies like LSFF is very significant.
- The integration of multiple awareness strategies and continuous efforts to inform and educate the public play a pivotal role in the successful implementation of large-scale food fortification.

Note: A hematologist is a medical doctor who specializes in the field of hematology, which is the branch of medicine focused on the study of blood and blood disorders. Hematologists are experts in the diagnosis, treatment, and management of conditions that affect the blood and the components of the blood, such as red blood cells, white blood cells, platelets, and plasma.

What is anaemia?

Anemia is a medical condition characterized by a reduced number of red blood cells (RBCs) or a decreased amount of hemoglobin in the blood.
Hemoglobin is a protein in red blood cells that carries oxygen from the lungs to the rest of the body.
Causes:
- Iron Deficiency Anemia (IDA): The most common type of anemia, often caused by insufficient iron intake, poor absorption, or chronic blood loss (commonly through menstruation or gastrointestinal bleeding).
- Vitamin Deficiency Anemias: Inadequate levels of vitamin B12, folate, or vitamin C can lead to anemia.
- Hemolytic Anemias: Conditions where red blood cells are destroyed more quickly than the body can replace them, such as in certain inherited disorders or autoimmune conditions.
- Chronic Diseases: Some chronic illnesses, like chronic kidney disease or inflammatory disorders, can contribute to anemia.
- Bone Marrow Disorders: Conditions affecting the bone marrow, where blood cells are produced, may result in anemia.
Symptoms:
- Fatigue: Due to decreased oxygen delivery to tissues.
- Weakness: Lack of energy and physical strength.
- Pale Skin: A common visual sign of anemia.
- Shortness of Breath: Especially with exertion.
- Dizziness or Lightheadedness: Due to reduced oxygen supply to the brain.
- Cold Hands and Feet: Poor circulation.
Diagnosis:
- Blood Tests: Complete Blood Count (CBC) is crucial for assessing red blood cell count, hemoglobin levels, and other related parameters.
- Peripheral Blood Smear: Microscopic examination of a blood sample to visually assess the size, shape, and number of red blood cells.
Treatment:
- Iron Supplements: For iron-deficiency anemia.
- Vitamin Supplements: To address deficiencies in B12, folate, or vitamin C.
- Blood Transfusions: In severe cases or emergencies.
- Treatment of Underlying Conditions: Managing the root cause, such as addressing chronic diseases or stopping sources of bleeding.
Prevention:
- Nutritious Diet: Including iron-rich foods (meat, beans, leafy greens), and vitamin-rich foods.
- Supplementation: When dietary intake is insufficient.
- Regular Health Check-ups: Especially for individuals at risk of certain anemias.

About Anaemia Mukt Bharat (AMB) Strategy

In 2018, the Government of India launched the AnaemiaMukt Bharat (AMB) strategy, a multifaceted initiative aimed at reducing anaemia in vulnerable age groups, including women, children, and adolescents.
The strategy employs a 6X6X6 approach, encompassing six target beneficiaries, six interventions, and six institutional mechanisms.
The 6X6X6 Approach:
- Six Target Beneficiaries: Focus on women, children, and adolescents in a life cycle approach.
- Six Interventions: Proactive measures to prevent and treat anaemia.
- Six Institutional Mechanisms: Framework for stakeholders to implement the strategy effectively.
Interventions Under AMB Strategy:
- Prophylactic Iron and Folic Acid Supplementation: Implemented across all six target age groups.
- Intensified Year-Round Behavior Change Communication (BCC) Campaign:
  - Emphasis on improving compliance to supplementation and deworming, promoting appropriate infant and young child feeding practices, encouraging iron-rich food intake, and advocating delayed cord clamping after delivery in health facilities.
- Testing and Treatment of Anaemia:
  - Utilizing digital methods and point-of-care treatment, with special attention to pregnant women and school-going adolescents.
- Addressing Non-nutritional Causes:
  - Targeting endemic pockets with a focus on malaria, hemoglobinopathies, and fluorosis.
- Management of Severe Anaemia in Pregnant Women:
  - Involves administration of IV Iron Sucrose or blood transfusion.
- Incentives for ANMs:
  - Recognition and rewards for identifying and following up with pregnant women experiencing severe anaemia in high-priority districts.
- Training and Orientation:
  - Providing medical officers and frontline workers with guidance on Maternal Health and AnaemiaMukt Bharat guidelines.
- Field Level Awareness:
  - ASHAs (Accredited Social Health Activists) engage in community mobilization activities, information, education, and communication (IEC), and BCC activities.
  - - Comprehensive Implementation:
      - The AMB strategy addresses both preventive and curative aspects of anaemia through a combination of supplementation, awareness campaigns, testing, and treatment.
      - Special attention is given to endemic areas, pregnant women, and school-going adolescents.
      - The involvement of various stakeholders and institutional mechanisms ensures a holistic and coordinated approach.
    - Importance of Awareness and Collaboration:
      - The success of the strategy relies on extensive awareness campaigns, community engagement, and collaboration among healthcare professionals, frontline workers, and the community.
      - Training programs and incentives aim to strengthen the healthcare system’s capacity to address anaemia effectively.

FPI disclosure norms: Why is SEBI seeking investor data?

(General Studies- Paper III)

Source : The Indian Express

In response to observed trends of Foreign Portfolio Investors (FPIs) holding a significant proportion of their equity portfolios in a single corporate group, the Securities and Exchange Board of India (SEBI) introduced additional disclosure requirements in August.

The regulator aims to prevent potential misuse of the FPI route, such as circumvention of regulatory obligations and maintaining transparency in the Indian securities markets.

Key Highlights

In August of the previous year, SEBI directed FPIs with more than 50% of their equity Assets Under Management (AUM) in a single corporate group or with an overall holding exceeding Rs 25,000 crore in Indian equity markets to provide granular details of entities holding ownership, economic interest, or exercising control in the FPI.
- SEBI expressed concerns over certain FPIs concentrating a significant portion of their equity portfolios in a single investee company or corporate group.
- Such concentration raised apprehensions that promoters or other investors might use the FPI route to bypass regulatory requirements, including those related to disclosures under the Substantial Acquisition of Shares and Takeovers Regulations, 2011, or maintaining Minimum Public Shareholding (MPS) in listed companies.
Regulatory Measures to Prevent Misuse:
- SEBI highlighted that while Press Note 3 (PN3) issued by the government in April 2020 doesn’t apply to FPI investments, there are worries that entities with substantial Indian equity portfolios could disrupt the orderly functioning of Indian securities markets through potential misuse of the FPI route.
- The directive aims to mitigate these concerns by obtaining detailed information from FPIs, ensuring compliance with regulatory norms and maintaining the integrity of the securities market.
- FPIs are required to disclose detailed information on entities holding ownership, economic interest, or exercising control in the FPI.
- The goal is to enhance transparency and prevent potential misuse of the FPI route by certain stakeholders.
Importance of Transparency in Indian Securities Markets:
- SEBI’s move underscores the importance of transparency in maintaining the integrity and orderly functioning of Indian securities markets.
- By obtaining detailed disclosures from FPIs, the regulator aims to address concerns related to potential disruptions and ensure compliance with regulatory requirements.
- SEBI’s directive reflects its commitment to ongoing vigilance and monitoring of market dynamics, adapting regulatory measures as needed to safeguard against potential loopholes and irregularities.
- The requirement for detailed disclosures from FPIs aligns with SEBI’s broader objective of maintaining the stability and credibility of India’s financial markets.
Details Required from FPIs:
- FPIs are required to provide granular details of all entities holding ownership, economic interest, or exercising control in the FPI.
- Economic interest refers to returns from FPI investments, while ownership interest signifies ownership of shares, capital, or entitlement to profits from the entity’s activity.
- Not all FPIs are mandated to provide additional disclosures.
- SEBI specifies that FPIs holding more than 50% of their Indian equity assets under management (AUM) in a single Indian corporate group or those holding over Rs 25,000 crore of equity AUM in the Indian markets fall under the ambit of the disclosure requirements.
Timeline for Compliance:
- FPIs in breach of the investment limits as of October 31, 2023, are required to bring down their exposure within 90 calendar days, i.e., by January 29, 2024, unless exempted.
- If FPIs fail to meet the January-end deadline, they are granted an additional seven months to liquidate their holdings to comply with the enhanced disclosure norms.
- Ongoing compliance will be evaluated based on criteria as of January end, providing an additional 10/30 working days for FPIs to furnish the required details.
- Even after this period, if FPIs do not provide the necessary information, they are given a further 6 months to reduce their holdings.
Impact on Market Dynamics:
- Some experts speculate that recent FPI withdrawals from the domestic market may be partly attributed to meeting the January-end deadline set by SEBI.
- In January alone, FPIs have sold Rs 24,734 crore worth of domestic shares, according to data from the National Securities Depository Ltd (NSDL).
Flexibility in Compliance:
- The disclosure norms do not impose an immediate deadline or a rigid liquidation requirement, offering flexibility to FPIs.
- The phased approach allows FPIs to comply gradually, with multiple checkpoints and extended timelines.
Market Observations:
- The market is closely monitoring FPI activities and compliance with the enhanced disclosure norms, as these measures are expected to bring greater transparency and regulatory adherence to the Indian securities markets.
- Continuous evaluation and adaptability to evolving market dynamics remain essential for effective regulatory oversight.
Exemptions from Enhanced Disclosures:
- FPIs falling under specific categories are exempted from making additional disclosures.
- Exempted entities include sovereign wealth funds (SWFs), listed companies on certain global exchanges, public retail funds, and other regulated pooled investment vehicles with diversified global holdings.
Quantum of FPIs Under Disclosure Norms:
- Based on a consultation paper issued in May of the previous year, SEBI estimated that FPI assets under management of around Rs 2.6 lakh crore, as of March 31, 2023, could be identified as high-risk FPIs requiring additional disclosures.
- However, recent sources suggest that the actual number of FPIs needing enhanced disclosures may be significantly less than initially estimated in the consultation paper and SEBI’s board note.
Press Note 3 (2020):
- Issued during the Covid-19 pandemic, Press Note 3 (2020) amended the foreign direct investment (FDI) policy on April 17, 2020.
- Aimed at preventing opportunistic takeovers/acquisitions of stressed Indian companies at lower valuations, the amendments mandated certain conditions for FDI.
- Notably, entities from countries sharing a land border with India or with beneficial owners situated in such countries are required to invest only under the Government route. Additionally, changes in beneficial ownership necessitate government approval.

What is Foreign Portfolio Investors (FPIs)?

Foreign Portfolio Investors (FPIs) refer to institutional investors, such as mutual funds, pension funds, hedge funds, and other entities, who invest in financial assets like stocks and bonds in a country other than where they are headquartered.
These investors make portfolio investments, which involve holding a collection of financial assets rather than direct ownership or control of the companies issuing those assets.
FPIs do not seek to actively control or manage the companies they invest in. Instead, they hold a diversified portfolio of financial instruments.

About SEBI

SEBI, which stands for the Securities and Exchange Board of India, is the regulatory authority in India that oversees the securities and capital markets.
It was established on April 12, 1992, through the SEBI Act of 1992, which was passed by the Indian Parliament.
SEBI operates under the Ministry of Finance and has its headquarters in Mumbai.
It aims to protect the interests of investors, ensure the integrity of the securities market, and promote the development of, and regulate, the securities market.

About National Securities Depository Ltd (NSDL)

The National Securities Depository Limited (NSDL) is one of the two central securities depositories (CSDs) in India, the other being Central Depository Services Limited (CDSL).
NSDL was established in August 1996 to facilitate the holding and trading of securities in electronic form.
It operates as a crucial infrastructure institution for the Indian securities market, providing various depository-related services.

Pros and cons of simultaneous elections

(General Studies- Paper II)

Source : TH

In September 2023, a significant development took place as a High-Level Committee (HLC) was formed to delve into the matter of conducting simultaneous elections for the Lok Sabha, State Legislative Assemblies, and local bodies across all states.

Notably, the HLC is under the leadership of RamnathKovind, the former President of India.
The committee’s primary objective is to scrutinize the feasibility and implications of holding synchronized elections, and to gather input from key stakeholders.

Key Highlights

Historical Context of Simultaneous Elections
- The historical backdrop reveals that during the initial four general election cycles in 1952, 1957, 1962, and 1967, both Lok Sabha and State legislative assembly elections were conducted simultaneously.
- However, the subsequent premature dissolutions of the Lok Sabha on seven occasions and similar dissolutions of various legislative assemblies led to a departure from this simultaneous pattern.
- In 2019, only four states synchronized their assembly elections with the Lok Sabha polls, highlighting the prevailing disjointed nature of elections.
Previous Considerations on Simultaneous Elections
- The concept of simultaneous elections is not a new one and has been raised in the past.
- Both the Election Commission of India in 1982 and the Law Commission in 1999 have previously advocated for this approach.
- Despite these recommendations, the prevailing trend has been the separate scheduling of elections for the Lok Sabha and state assemblies, largely due to premature dissolutions and varied electoral calendars.
HLC’s Initiative and Call for Responses
- Given the historical context and the sporadic synchronization of elections, the formation of the HLC under the leadership of RamnathKovind marks a renewed attempt to revisit the idea of simultaneous elections.
- The committee has taken a proactive step by inviting responses from political parties, the Law Commission, and other relevant groups.
- This inclusive approach seeks to gather diverse perspectives on the proposal, allowing for a comprehensive evaluation of the feasibility, challenges, and potential benefits associated with holding simultaneous elections at various levels of governance.
Advocating Simultaneous Elections in India:
- Cost Efficiency
  - The case for simultaneous elections in India can be substantiated through various lenses, with one compelling perspective being cost efficiency.
  - General elections to the Lok Sabha alone incur an estimated cost of ₹4,000 crore for the Central government.
  - Each State assembly election entails substantial expenses based on the size of the state.
  - When factoring in party and candidate expenditures, the cumulative costs are significantly higher.
  - Implementing simultaneous elections could result in a substantial reduction in these costs, offering a more economically viable approach to the electoral process.
- Enhanced Governance and Policy Implementation
  - Simultaneous elections are posited as a means to enhance governance and policy implementation.
  - The current scenario, where 5-6 state elections occur annually, keeps political parties, including ministers, in a perpetual “campaign mode.”
  - This prolonged campaigning can impede effective policy-making and governance.
  - Moreover, the enforcement of the Model Code of Conduct during election periods, typically lasting 45-60 days, restricts the announcement of new schemes or projects by the central and state governments.
  - Simultaneous elections would mitigate these challenges, allowing for more focused and uninterrupted governance.
- Administrative Convenience and Efficiency
  - The frequent occurrence of elections disrupts administrative machinery in districts, where the primary focus shifts to election conduct.
  - Paramilitary forces are redeployed from their usual postings to ensure the smooth conduct of elections.
  - This constant cycle of elections negatively impacts administrative efficiency.
  - Simultaneous elections would alleviate these disruptions, enabling a more streamlined and efficient functioning of the administrative apparatus.
- Social Cohesion and Mitigating Polarization
  - A crucial dimension in favor of simultaneous elections pertains to social cohesion.
  - Annual high-stakes elections in various states often lead to polarizing campaigns by all political parties, further exacerbated by the advent of social media.
  - This trend, intensified over the last decade, has contributed to deepening divisions in India’s diverse and multi-religious landscape.
  - Simultaneous elections could potentially reduce the frequency of such polarizing campaigns, fostering a more cohesive social environment.
- Challenges in Implementing Simultaneous Elections in India
  - Federalism and Regional Specificity
    - One of the primary challenges associated with simultaneous elections in India lies in its federal structure.
    - The country, characterized by its sub-continental dimensions, comprises states with unique and diverse issues.
    - Conducting simultaneous elections to the Lok Sabha and all State assemblies raises concerns about national issues overshadowing regional and state-specific matters.
    - This could potentially disadvantage regional parties in favor of national political entities, posing a threat to the federal spirit embedded in the Constitution’s basic structure.
  - Impact on Democratic Feedback Mechanism
    - Elections serve as a crucial feedback mechanism for governments, enabling them to gauge public sentiment and respond to evolving concerns.
    - Simultaneous elections held only once every five years may impede this continuous feedback loop.
    - Policies initiated by central and state governments often respond to electoral feedback, and a longer election cycle could disrupt this process, affecting the responsiveness of governments to the needs and expectations of the electorate.
  - Constitutional Amendments Required
    - Implementing simultaneous elections on a fixed five-year cycle would necessitate significant constitutional amendments.
    - India’s parliamentary democracy requires that both the Central and State governments enjoy a majority in the Lok Sabha and Legislative Assembly, respectively.
    - The current constitutional provisions (Articles 83, 85, 172, and 174) allow for the dissolution of these houses under specific circumstances, including the loss of majority or the inability to form an alternative government.
    - Additionally, Article 356 permits the imposition of President’s rule, leading to the dissolution of State legislative assemblies.
    - To establish a fixed tenure of five years for both the Lok Sabha and State assemblies, amendments to these constitutional articles would be imperative, requiring careful consideration and broad consensus.
  - Law Commission and Parliamentary Standing Committee Insights
    - The Law Commission in 1999 and the Parliamentary Standing Committee on Personnel, Public Grievances, Law, and Justice in 2015, along with a subsequent draft report in 2018, have extensively discussed the issue of simultaneous elections.
    - Their recommendations highlight key considerations for restructuring the electoral process in India.
    - Cyclical Approach to Elections:
      - Suggests clubbing Lok Sabha and approximately half of the State assembly elections in one cycle.
      - Proposes holding the remaining State assembly elections in another cycle after two and a half years.
      - Requires amendments to the Constitution and the Representation of the People Act, 1951, to adjust existing assembly tenures accordingly.
    - No-Confidence Motion Reform:
      - Recommends that any ‘no-confidence motion’ in the Lok Sabha or Legislative Assembly must be accompanied by a ‘confidence motion’ for forming an alternate government.
      - In the event of premature dissolution, the duration of the newly constituted House should match the remaining period of the original House.
      - Aims to discourage premature dissolutions and encourages exploring alternate government formation through feasible realignments.
    - Proposes grouping bye-elections caused by death, resignation, or disqualification of members, conducting them once a year for efficiency.
    - International Examples of Fixed Tenures:
      - It may be noted that Parliamentary democracies like South Africa, Sweden and Germany have fixed tenures for their legislatures.
      - The elections to the National Assembly and provincial legislatures happen simultaneously in South Africa every five years, with the President of the country being elected by the National Assembly.
      - The Prime Minister of Sweden and the Chancellor of Germany are elected by their respective legislatures every four years.
      - A lack of confidence against the German Chancellor can be moved only by electing a successor.
    - Ideal Solution and Lack of Consensus:
      - Acknowledges a lack of consensus among political parties regarding simultaneous elections.
      - Advocates a potential middle ground, suggesting the Lok Sabha election in one cycle and all State assembly elections in another cycle after two and a half years.
      - Proposes adopting other recommendations, such as forming an alternative government in case of incumbent government fall, limiting the duration of newly constituted houses after premature dissolution, and annual clubbing of bye-elections, through suitable amendments.
      - Emphasizes the need for political party consensus to achieve the benefits of simultaneous polls while respecting democratic and federal principles.

FinMin says economy likely to grow closer to 7% in 2024-25

(General Studies- Paper III)

Source : TH

The Finance Ministry, in its report on January 29, anticipates India’s real GDP growth to be around 7% in the fiscal year 2024-25.

Emphasizes the potential for the economy to surpass 7%, indicating a positive trajectory with considerable scope for growth beyond 2030.

Key Highlights

Forecasts suggest that India’s economy is poised to reach $5 trillion in the next three years, positioning it as the third-largest economy globally.
- This outlook underscores the country’s significant economic progress and potential on the global stage.
Quality of Growth Matters:
- Chief Economic Advisor V AnanthaNageswaran emphasizes that not all growth is equal and highlights the qualitative superiority of 7% growth.
- Asserts that achieving 7% growth when the global economy struggles at 2% holds higher marginal utility than achieving 8-9% growth with a global economy rising 4%.
- The report offers a comprehensive review of India’s economic journey over the past ten years, prefacing the discussion on future projections.
- Chief Economic Advisor stresses the resilience and potential of the Indian economy, indicating a positive outlook for the future.
Impressive Growth Streak:
- If the projected 7% growth for the upcoming fiscal year materializes, it would mark four consecutive years of 7% or higher growth.
- CEA terms this achievement as impressive, underscoring the resilience and potential of the Indian economy.
Two Phases of Growth: 1950-2014 and 2014-2024
- The Finance Ministry’s review of India’s economic trajectory delineates two distinct phases:
  - the period from 1950 to 2014 and
  - the subsequent ‘2014-2024: Decade of Transformative Growth.’
  - Notably, the report highlights the less encouraging state of the economy when Prime Minister Narendra Modi assumed office in his first term.
- Challenges at the Onset:
  - The economy experienced growth below 5% of GDP at constant prices for consecutive years, specifically in 2012-13 and 2013-14.
  - Challenges included high food inflation, difficulties in project decision-making, ill-targeted subsidies impacting fiscal space, and a sizable informal sector hindering growth.
- Structural Reforms and Macroeconomic Strengthening:
  - Since 2014, the Indian economy has undergone significant structural reforms, fortifying its macroeconomic fundamentals.
  - These reforms positioned India as the fastest-growing economy among G20 nations, contributing to a journey “from fragility to stability and strength.”
  - The report outlines key reforms such as the introduction of the Goods and Services Tax (GST) and the Insolvency and Bankruptcy Code, along with a focus on infrastructure development.
  - While the 64-page report briefly mentions demonetization, it primarily notes its impact on the surge in the use of non-cash payment methods.
  - The Indian economy, bolstered by reforms, is generating jobs, with the urban unemployment rate decreasing to 6.6% post-pandemic.
  - The report emphasizes the robustness of domestic consumption, attributing the 7%-plus growth rate over the last three years to this factor.
- Challenges and Future Outlook:
  - The Finance Ministry cautions against relying solely on export-driven growth due to challenges like onshoring, friend-shoring of production, and vulnerabilities in global supply chains.
  - Despite global challenges, robust domestic consumption is highlighted as a key driver of the economy.

What is Humboldt’s enigma and what does it mean for India?

(General Studies- Paper III)

Source : TH

Naturalists and explorers, including Alexander von Humboldt (1769-1859), have long questioned the concentration of biodiversity and the factors influencing it.

Humboldt, a polymath, extensively documented observations on geography, geology, meteorology, and biology during his exploration of South America.

Key Highlights

Humboldt’s Insights:
- Humboldt proposed a connection between temperature, altitude, humidity, and species distribution, shaping biodiversity patterns.
- Chimborazo mountain in Ecuador served as an illustrative example of mountain diversity in his studies.
Humboldt’s Enigma in Modern Context
- In contemporary times, biogeographers revisited Humboldt’s insights using modern tools to examine biodiversity drivers.
- Humboldt’s enigma refers to the exception of mountains to the general rule that biodiversity decreases away from the tropics.
- Mountains, despite being outside the tropics, exhibit high biodiversity, challenging conventional expectations.
- Tropical Energy and Biodiversity Link:
  - The tropics receive more solar energy due to Earth’s inclination, leading to higher primary productivity.
  - Greater energy facilitates more ecological niches, resulting in complex ecosystems and increased biodiversity.
- Mountains as Biodiversity Exceptions:
  - While biodiversity generally decreases away from the tropics, mountains defy this trend, forming the essence of Humboldt’s enigma.
  - Scientific evidence, though challenging to acquire, highlights mountains as significant biodiversity hotspots.
- Indian Context: Eastern Himalaya as a Case Study
  - India’s tropical areas, notably the Western Ghats biodiversity hotspot, are expected to be highly diverse.
  - However, the eastern Himalaya, situated outside the tropics, surpasses expectations, especially in bird diversity.
  - Some scientists assert that the eastern Himalaya is potentially the second-most diverse region globally for perching birds.
  - The eastern Himalaya might be the most diverse area for river birds, showcasing unique biodiversity patterns.
- The modern interpretation of Humboldt’s enigma emphasizes the exceptionality of mountains, challenging traditional biodiversity expectations.
- Drivers of Biodiversity: Insights from Mountain Diversity
  - Role of Earth’s History, Geography, and Climate:
    - The history of the Earth, its geography, and climate are fundamental drivers of mountain diversity.
    - Different biodiversity at various locations results from the intermingling of these factors over time and space.
  - Mountain Processes Generating Biodiversity:
    - Mountains serve as ‘cradles’ through geological processes like uplifts, creating new habitats where new species emerge.
    - Some mountains act as ‘museums,’ where climatologically stable conditions allow species to persist for extended periods, accumulating biodiversity.
  - Coastal tropical sky islands, like the Shola Sky Islands in the Western Ghats, exemplify both cradle and museum characteristics.
  - Old lineages persist on mountain tops amid changing climates and habitats in lower elevations, hosting diverse bird species.
- The Andes as a Biodiversity Hotspot:
  - The northern Andes, including Chimborazo, is recognized as the world’s most biodiverse place.
  - Climbing the Andes reveals diverse temperatures and rainfall levels, supporting various biomes from tropical to alpine and tundra, contributing to immense biodiversity.
- Geological Heterogeneity and Biodiversity:
  - The foundations on which mountains are formed differ from low-elevation regions, influencing biodiversity.
  - Mountains with high geological heterogeneity exhibit greater biodiversity, especially in the tropics.
  - High geological heterogeneity produces unique habitat patches on mountains within similar climate regimes, promoting diversification.
  - The type of rocks in an area influences soil composition, affecting plant life and contributing to biodiversity.
  - In the eastern Himalaya, climate dissimilarity remains a crucial factor driving biodiversity.
  - Humboldt’s paradigm of climate influencing biodiversity is still relevant, reflecting varied climate conditions in the region.
  - Some groups of birds evolved elsewhere and dispersed to the Himalaya, contributing to higher diversity in the region.
  - Various factors drive diversification and contribute to Humboldt’s enigma in different global regions.
  - Scientists have proposed over a hundred hypotheses on biodiversity variation worldwide, presenting a complex picture.
- Limitations in Understanding Biodiversity:
  - A key limitation is the lack of detailed species occurrence data, hindering comprehensive explanations of biodiversity patterns.
  - Birds, being the best-documented group globally, offer insights into diversity patterns, especially in relation to mountains.
  - The need for more research to enhance understanding, particularly in under-studied areas like India is emphasized.
  - Modern tools, including genetics, are crucial for obtaining fine-scale data and uncovering the intricacies of biodiversity.
  - Specific areas in India, such as the Eastern Ghats, remain under-studied, posing challenges to understanding true biodiversity.
  - Lack of recent studies, especially with modern tools, contributes to gaps in knowledge.
- National Programs for Biodiversity:
  - National initiatives, including the National Mission on Himalayan Studies, National Mission for Sustaining the Himalayan Ecosystem, and National Mission on Biodiversity and Human Wellbeing, aim to address research gaps.
  - Strengthening these programs is crucial, emphasizing support for basic research on diversity.