Index:
- Night School for Kalbeliya Women: Unlocking New Opportunities
- A Tough Call: The Rupee’s Slide and Monetary Policy Challenges
- The Rise and Rise of UPI Digital Payments
- Stryker Infantry Vehicle Deal with the U.S. & Javelin ATGM Demonstration
- India-Middle East-Europe Economic Corridor (IMEC) & Greece's Perspective
- Renaming of Fort William to Vijay Durg
1. Night School for Kalbeliya Women: Unlocking New Opportunities
Context:
- The Samata night school in Bhairwai village (Ajmer district, Rajasthan) is helping women from the Kalbeliya tribal community become literate and financially independent.
- The initiative was started by Manthan Sanstha, a grassroots voluntary organization.
Key Aspects of the Initiative:
- Community & Background:
- Kalbeliya is a nomadic tribal community known for snake charming, folk songs, and dances.
- The community faces social and economic backwardness, lacking access to formal education.
- Empowerment Through Education:
- Women learn Hindi, mathematics, practical life skills, and local folk culture at night school.
- The school follows a community-designed curriculum to suit Kalbeliya needs.
- Economic Independence:
- Women like Sanju Devi and Rameshwari Devi have started small businesses (flour mill, tailoring, etc.) after gaining literacy.
- Some women now manage finances, read signboards, and avail government schemes
- Impact on Women’s Status:
- Women who once hesitated to step outside are now literate, aware of their rights, health, and opportunities.
- They advocate for their children’s education and participate in sustaining the school.
- Challenges Faced:
- Initial reluctance from women due to conservative norms and lack of awareness.
- Struggle in a society where education was considered unattainable for them.
- Government & NGO Role:
- Manthan Sanstha played a crucial role in initiating the program.
- Women now access government welfare programs like MGNREGS for financial support.
2. A Tough Call: The Rupee’s Slide and Monetary Policy Challenges
Key Issues
- Changes in RBI Leadership
- New RBI Governor: Sanjay Malhotra (replacing Shaktikanta Das).
- Deputy Governor (Monetary Policy) Michael Patra retired.
- Centre yet to appoint a new Deputy Governor.
- Rupee Depreciation
- INR fell from 85/USD (Dec 19, 2024) to 87/USD (Feb 3, 2025).
- Causes:
- Strengthening US dollar due to economic policies under President Donald Trump.
- Higher tariffs on major trade partners.
- Exit from global tax accords, shutting aid flows.
- Growth and Inflation Concerns
- GDP Growth Rate:
- Q3 (July-Sept) 2024: 5.4%
- 2024-25 projection: Downgraded to 6.4%
- Inflation:
- Over 5% in the last five months.
- Eased closer to RBI’s 4% target in January.
- Government’s response:
- Budget 2025 includes income tax cuts to boost disposable income and urban consumption.
- RBI’s dilemma:
- A rate cut may support growth but could weaken the rupee further and increase imported inflation.
- Policy Debate
- Finance Ministry’s View:
- Stresses urban demand slump due to tight monetary policy.
- RBI’s Perspective:
- Focuses on inflation control and monetary stability.
- Historical Reference:
2019: Shaktikanta Das surprised markets with a rate cut in his first review as RBI Governor.
3. The Rise and Rise of UPI Digital Payments
Key Highlights
- Digital payments increased 5 times in value between 2013-2024 (₹772 lakh crore to ₹2,758 lakh crore).
- Volume of transactions grew from 222 crore to 20,787 crore in the same period.
- UPI’s contribution to digital transactions rose from 34% (2019) to 83% (2024).
- Growth of UPI and Digital Payments
- 2018-2024:
- Digital transactions increased 16 times in volume and 6.7 times in value.
- Volume through UPI grew 46 times (375 crore in 2018 to 17,221 crore in 2024).
- Value of UPI transactions rose 13 times (₹18.37 lakh crore to ₹246.83 lakh crore).
- UPI Transaction Trends (Chart Analysis)
- P2P vs P2M Transactions (Chart 3 & 4):
- Person-to-Merchant (P2M) transactions grew at a faster rate than Person-to-Person (P2P)
- 2024 data:
- P2M transactions: ₹179.02 lakh crore.
- P2P transactions: ₹138.32 lakh crore.
- Market Share of Payment Methods (2024) (Chart 5 & 6)
- Transaction Volume (Chart 5):
- UPI dominates with 96% share.
- NEFT (4.47%), Prepaid Payment Instruments (3.37%), NACH (3.26%).
- Transaction Value (Chart 6):
- NEFT leads with 76% share.
- UPI second at 96%, followed by RTGS (13.56%), and Debit Cards (2.86%).
4. Stryker Infantry Vehicle Deal with the U.S. & Javelin ATGM Demonstration
- Context
- Amid growing India-U.S. defense ties, discussions on key military equipment deals are in progress.
- S. President Donald Trump urged India to buy more defense equipment.
- PM Narendra Modi’s upcoming visit to Washington D.C. is expected to include defense procurement talks.
- Stryker Infantry Combat Vehicle Deal
- Manufacturer: General Dynamics (U.S.).
- Performance Tests: Conducted in Ladakh (September-October 2024) at 13,000–18,000 feet altitude.
- Observations:
- The Stryker (double-V hull variant) performed optimally.
- India is negotiating for a co-production deal.
- Procurement & Manufacturing Plan:
- Phase 1: Direct import of a small number of Strykers.
- Phase 2: Bulk production under license manufacture in India (likely by Bharat Earth Movers Limited – BEML).
- Javelin Anti-Tank Guided Missile (ATGM) Demonstration
- Performance Assessment:
- Not optimal due to the age of the system used in trials.
- India has requested the U.S. for a repeat demonstration.
- Key Indian Army Requirement:
- ATGMs mounted on Infantry Combat Vehicles are a priority.
- Developmental Status:
- The Stryker variant with Javelin ATGM is still under development.
- Expected to be re-demonstrated to India
- Strategic & Industrial Impact
- Strengthening India-U.S. Defense Partnership:
- Part of broader Indo-Pacific cooperation and military modernization.
- Boost to ‘Make in India’:
- Local production of Stryker combat vehicles supports defense self-reliance.
- License manufacturing of General Electric F-414 jet engines is also under discussion.
- Impact on LCA Tejas Mk1A:
- Delays in F-404 engine deliveries (for LCA Tejas) have affected induction schedules.
- Key Point
- India’s Defense Modernization:
- Focus on high-altitude combat vehicles and advanced ATGMs.
- Indo-U.S. Defense Relations:
- Increasing co-development and technology transfer.
- Strategic Autonomy & Self-Reliance:
- Efforts to localize defense manufacturing under Atmanirbhar Bharat.
5. India-Middle East-Europe Economic Corridor (IMEC) & Greece's Perspective
Context:
- IMEC: A proposed trade corridor connecting India, the Middle East, and Europe to enhance connectivity, trade, and economic cooperation.
- Announced: At the G-20 Summit in Delhi (September 2023).
- Challenges: Delayed due to the Israel-Gaza war and conflicts in West Asia.
- Greece’s Stance: Sees IMEC as a “project for peace” and supports its implementation.
Key Points:
- Greece’s Support for IMEC:
- Greece views IMEC as a “project for peace.”
- Delays in planning due to the Israel-Gaza war and conflicts in West Asia.
- Greek Foreign Minister George Gerapetritis emphasizes IMEC’s importance.
- Challenges & Delays:
- IMEC was launched during the G-20 Summit (Delhi, September 2023).
- Despite an MoU stating meetings every 60 days, stakeholders have met only once in 16 months.
- Ongoing conflicts in Gaza, Lebanon, and Syria are major hurdles.
- Trade & Economic Cooperation:
- Greece aims to double trade with India and plans to:
- Open two new consulates (Mumbai & Bengaluru).
- Increase flights & visas.
- Greek ports (Piraeus, Kavala, Volos) proposed as IMEC stops.
- Adani Group’s interest in Mundra & Haifa ports for IMEC.
- India-Greece trade was $1.9 billion (2022-23), aiming to double by 2030.
- Diplomatic & Strategic Interests:
- Greece’s role as India’s “gateway to Europe.”
- EU-India Free Trade Agreement (FTA) negotiations could accelerate trade.
- Greece’s commitment to peaceful resolution of disputes as a UN Security Council member (two-year term).
- Migration & Mobility:
- Issue of illegal immigration from India to Greece via sea.
- India & Greece negotiating a Memorandum of Understanding (MoU) on migration and mobility.
Greece follows a “strict but fair migration policy.”
6. Renaming of Fort William to Vijay Durg
Context
- Fort William in Kolkata, headquarters of the Eastern Army Command, has been renamed Vijay Durg.
- Part of an initiative to eliminate colonial practices in the Indian armed forces.
Key Changes
- Fort William → Vijay Durg
- Kitchener House → Manekshaw House
- George’s Gate → Shivaji Gate
Significance of the New Name
- Vijay Durg: Named after the oldest fort in Sindhudurg, Maharashtra.
- The fort was used as a naval base by Marathas under Chhatrapati Shivaji.
- Represents indigenization and decolonization of military traditions.
Government’s Perspective
- Aligns with PM Narendra Modi’s push for Indianization of military doctrines, procedures, and customs.
- Described as “freedom from the mentality of slavery.”
- Part of broader efforts to remove colonial vestiges from India’s defense forces.
Indigenization in Defense
- Emphasis on self-reliance in weapons, equipment, and doctrines.
Encouragement to the armed forces to discard legacy colonial systems.
