Page 1 of 49

State of Indian Economy .................................................. 2

Niti Aayog .......................................................................29

Demonetisation ................................................................4
Heart of Asia Conference ...............................................29

Cashless Economy ..........................................................5

NSG ................................................................................30

Digital Economy ............................................................... 6

International Solar Alliance ............................................30

GST .................................................................................. 7
Indian Space Pgme ........................................................30

Seventh Pay Commission ................................................8

Netra ..............................................................................32

BHIM App .........................................................................8

Arty Guns .......................................................................32

Water Dispute ...................................................................9

Agni - V ..........................................................................32

Nagaland ........................................................................10
INS Khanderi ..................................................................32

Manipur ..........................................................................11
INS Chennai ...................................................................32

Improvement in RTI ........................................................12

Ransomeware - WannaCry ............................................33

Eastern Coast Economic Corridor .................................12

CERT-IN ..........................................................................33

UDAN .............................................................................12
Bharat Stage VI ..............................................................33

National Health Policy .................................................... 13

Sino -US Relations .........................................................34

Indias Energy Security ...................................................13

Sino - Russian relations .................................................34

The Naxalite Problem .....................................................14

EU - BREXIT ...................................................................35

Citizenship Bill (Amdt) 2016 ........................................... 14

Balochistan ....................................................................36

Aadhar ............................................................................15
Bangladesh ....................................................................36

Benami Transactions (Prohibition) Amdt Act, 2016 .......

15
Nepal ..............................................................................36

Real Estate (Regulations & Devp) Act 2016 ...................15

Afghanistan ....................................................................37

Hydrocarbon Exploration & Licensing Policy .................16

Syria ...............................................................................37

Sagarmala Project ..........................................................16

Qatar ..............................................................................38

Pradhan Mantri Kaushal Vikas Yojana ...........................17

Indo - Russian Relations ................................................39

Pradhan Mantri Jan Dhan Yojana ...................................17

Indo - China relations .....................................................39

Make in India .................................................................. 18

Indo - Japanese relations ...............................................40

Skill India ........................................................................18

Indo - UK Relations ........................................................41

Jt Doctrine of Indian Armed Forces ...............................19

Indo - Israel Relations ....................................................41

Annual Report of Def Ministry ........................................19

India - UAE Relations .....................................................42

Shekatkar Committee Report ........................................19

India - Egypt Relations ...................................................42

Jt Ex ...............................................................................20
India - Qatar Relations ...................................................42

DPP 2016 .......................................................................21

Indo - Vietnam relations .................................................43

G-20 ...............................................................................21
India - Myanmar Relations .............................................43

BRICS ............................................................................22
India - Sri lanka Relations ..............................................44

BIMSTEC ........................................................................23
Indo - Nepal relations .....................................................45

Regional Comprehensive Eco Partnership ....................23

India - Afghanistan relations ..........................................45

Gulf Coop Council (GCC) ...............................................24

India - Singapore relations .............................................46

Org of Islamic Coop (OIC) ..............................................24

Indo - Bangladesh Relations ..........................................46

Shanghai Coop Org (SCO) .............................................25

Indo - Pak Relations .......................................................47

Non Alignment Movement .............................................25

India - US Relations .......................................................48

ASEAN & EAS ................................................................26

India - Africa Relations ...................................................49
UN Framework Convention on Climate Change ............27

HFC ................................................................................ 28

Raisina Dialogue ............................................................28

NTRO .............................................................................29

 Page 2 of 49
Controlling Fiscal Deficit:
State of Indian Economy By increasing revenues or cutting expenses or both.
Revenues can be increased in three ways-increase
Economic Survey tax rate or tax more things or reduce tax evasion.

Introduction: Review of FRBM Act

Economic Survey: The annual commentary on the
state of the economy. What is FRBM Act?
Objective: To spell out its reform agenda. Enacted by Parliament in 2003 to progressively cut
Highlights of the Economic Survey 2016-17: fiscal deficit to 3% levels by 2008.
Standout Features Put limits on the fiscal and revenue deficit by setting
Impact of demonetisation targets for both.
Firm care for fiscal consolidation Review:
Universal Basic Income By former revenue secy N.K. Singh committee.
Growth Important recommendations made by the committee:
GDP growth A debt-to-GDP ratio of 40% for the central govt, 20%
- 2016 - 17 : 7.1% for the state govts together and a fiscal deficit of 2.5%
- 2017 - 18 : 6.75 - 7.5% of GDP, both by financial year 2022-23.
Service sector : 2016 - 17 - 8.9% Enact a new Debt and Fiscal Responsibility Act.
Industrial growth : 2016 - 17 - 5.2% Compose a three-member fiscal council to prepare
Fiscal deficit multi-year fiscal forecasts for the central and state
pressure on fiscal deficit in 2017 - 18 govts.
- implementation of wage hike Revenue deficit-to-GDP ratio has been envisaged to
- muted tax receipts decline steadily by 0.25 percentage points each year
need for fiscal prudence for both centre and state from 2.3% in 2016-17 to 0.8% in 2022-23.
for better fiscal health of economy To deal with unforeseen events, the committee has
fiscal windfall from low oil prices to disappear specified deviation in fiscal deficit target of not more
Monetary Policy than 0.5 percentage points.
sharp rise in prices (2017 - 18), therefore cap Whats good about these recommendations:
monetary easing headroom Recommended reducing the Centres debt to GDP
lower market interest rates (2017 - 18) due to ratio from 49.4% in 2016-17 to 40% by 2022-23. The
demonetisation combined debt of the Centre and the states is
Debt : govt debt to GDP ratio targeted to go down from 68% in 2016-17 to 60% by
2015 - 69.1% 2022-23.
2016 - 68.5% Considered the need for flexibility in fiscal targets.
Demonetisation Enable departure from the fiscal deficit target in
remonetisation to eliminate cash squeeze by apr specific circumstances.
2017 Recommendation to create an independent Fiscal
supply of currency Council is a major institutional reform.
- should follow actual demand Need for a new act:
- not be dictated by official estimate of desirable Existing FRBMA has proved ineffective.
demand Non-transparency which allowed the deficit to be
- govt windfall from unreturned notes to be seriously understated.
deployed towards capital spending
Banks Budgetary Reforms
setting up public sector asset rehabilitation agency
take charge of large bad loans in banks Merger of Railway Budget
Universal Basic Income Save annual dividend liability of Rly (approx Rs
powerful idea, but not ready for implementation 10,000 Cr)
alternative to plethora of state subsidies for poverty Doing away with old colonial practice
alleviation Used by politicians for populist reasons
would cost betn 4 - 5% of GDP Several other ministries like def have more expdr than
rly
Fiscal Deficit Unified budget presents holistic picture
Advancement of Budget Date
Fiscal Deficit: Ensure better planning and execution of schemes
Difference between the govts expenditure and Utilisation of the full working seasons
revenues. No need for seeking appropriation through 'VoA'
Implications of a High Fiscal Deficit: Synchronise the transfer of funds to states
Govt will have to either borrow a lot or print more Merger of Plan and Non-Plan classification
money. Consolidated view of resource allocation for various
Borrowing a lot will push up interest rates. schemes
Printing a more money will lead to inflation. The bias in favour of Plan expenditure has led to
Incr inflation, interest rates, lowers private investment, neglect of expenditures on maintenance of assets
growth, emp and weakens the rupee

Earlier Plg commission used to determine plan expdr.
After abolition of plg commission, the relevance of
plan and non-plan expdr is lost
Union Budget
Budget Proposals under 10 Distinct Themes:
Farmers: double their income in 5 years
Rural Population: providing emp and basic
infrastructure
Youth: energising them through education, skills and
jobs
Poor and Underprivileged: strengthening the systems
of social security, healthcare and affordable housing
Infrastructure: for efficiency, productivity and quality of
life
Financial Sect: growth & stab through stronger
institutions
Digital Economy: for speed, accountability &
transparency
Public Service: effective governance and efficient
service delivery through peoples participation
Prudent Fiscal Mgt: to ensure optimal dply of
resources and preserve fiscal stability
Tax Administration: honouring the honest
Impact on Different Sectors:
Impact on the Economy:
Lower borrowings by the Govt would bring down
rates and the large rural spending would boost
consumption and investment.
Emphasis on fiscal consolidation, lack of populism
and end of Foreign Investment Promotion Board
(FIPB) would encourage foreign investment
Digital Economy:
New Payment Regulator Board under the RBI
would oversee all digital transactions.
Aadhaar Pay, an Aadhaar number-linked digital
payments system, would be launched soon.
A target of 2,500 crore digital transactions set up
by the Govt for 2017-18
Taxpayers:
Proposal to reduce the existing rate of taxation for
individual income tax assesses between income of
2.5 lakhs to 5 lakhs to 5% from the present 10%
All other categories of tax payers in the
subsequent slabs would also get a uniform benefit
of 12,500 per person.
Proposal to levy a surcharge of 10% of tax payable
on categories of individuals whose annual taxable
income is between 50 lakhs and 1 crore
The existing surcharge of 15% of tax on people
earning more than 1 crore would continue.
Consumers:
For the middle-income group the ability to spend
increases as it gets more money in hand due to
the tax cuts
Boost for consumers in the lower-income bracket
looking to buy affordable houses.
High-end consumption may fall as the higher-
income groups have to pay a higher surcharge
apart from the 3 lakh cash transaction limit
Investors:
Foreign investors would be happy as there is no
indirect transfer tax and there is no long-term
capital gains tax
Page 3 of 49
Concern over long-term capital gains tax on shares
purchased after October 1, 2004.
Lower Govt borrowings would imply lower rates, so
money would shift between debt and equity
markets
Cheaper:
Group Insurance for Defence Services
Booking railway tickets online
RO membrane elements for household usage LNG
Solar tempered glass used in solar panels
Fuel cell-based power generating systems
Wind operated energy generator
Point of Sale (PoS) machines card and fingerprint
readers
Costlier:
Cigarettes, pan masala, cigar, cheroots, bidis,
chewing tobacco
LED lamp components
Cashew nuts (roasted and salted)
Aluminium ores and concentrates
Polymer coated MS tapes used in manufacturing
of optical fibres
Silver coins and medallions
New announcements:
Poverty
Bring one crore households out of poverty
Make 50,000 gram panchayats poverty free by
2019
Reoriented MGNREGA
To double farmers income
Complete 10 lakh farm ponds by March 2017
Contribute greatly to drought proofing of gram
panchayats.
SANKALP
Skill Acquisition and Knowledge Awareness for
Livelihood Promotion programme
Provide market relevant training to 3.5 crore youth
with a budget of Rs. 4,000 crores
Next phase of Skill Strengthening for Industrial
Value Enhancement (STRIVE) is also be launched
in 2017-18 at a cost of Rs.2,200 crores to focus on
improving the quality and market relevance of
vocational training provided in ITIs and strengthen
the apprenticeship programmes through industry
cluster approach.
National Testing Agency
To be est to conduct all entrance exam for higher
edu.
AIIMS - Two new in Jharkhand and Gujarat
Broadband connectivity to 1,50,000 gram panchayats
Digi Gaon - initiative to provide tele-medicine,
education and skills through digital technology.
New Trade Infrastructure for Export Scheme (TIES)
Abolish the Foreign Investment Promotion Bd (FIPB).
Bill will be intro to curtail the menace of illicit deposit
schemes
Disinvestment policy announced last yr will continue.
Computer Emergency Response Team for Financial
Sector (CERT-Fin) will be est
Shares of Railway PSEs will be listed in stock exch
10,000 crores for recapitalisation of Banks
Implications of the Union Budget 2017-18:
Positive Aspects of the Union Budget 2017-18:
Focus on Agriculture, Rural Development and Infra
to Raise Investment and Create Employment
Opportunities

Balance between Growth and Equity based on Key
Thrust Areas
Three Principle Goals Reviving Domestic
Investment, Generating Employment
Opportunities, Wiping out Black Money and Illegal
Incomes
Maintains Fiscal Consolidation, Boosts Eco Growth
and Creates a Transparency in Every Sphere
Big Push to Digital Economy
Measures for Skill Development in the Country
Criticism of the Union Budget 2017-18:
Revive Economic Growth
Relies on a Weak Database
Nothing to Boost Demand
No Measures to Revive Private Investment
Slowdown on account of Demonetisation
Lacks Overarching Vision and Goal
Merger of Railway Budget into the General Budget
Reasons for the aforementioned step:
Save annual dividend liability of Rly (approx Rs
10,000 Cr)
Doing away with old colonial practice
Used by politicians for populist reasons
Several other ministries like def have more expdr than
rly
Unified budget presents holistic picture
Arguments against the merger:
Obligation of paying the annual dividend is akin to a
loan waiver
Budget is not merely a statement of allotment of funds
but comprises a fairly detailed performance review
It is an operational ministry; it earns as well as spends
Bibek Debroy committee recommendation to go for
merger of railways budget with general budget was
accompanied with a slew of other reform measures.
Advantages
Rly will have more resources at hand
Will help in enhancing capital expdr, that would
enhance connectivity and boost eco growth
Less political pressure and govt will have the ultimate
hold of the decision making
Reduce fiscal deficit and induce fiscal consolidation
Bring harmony in policy framework if complete budget
is prepared by one ministry
Joint ventures with state govts will pick up
Concerns
Move will eventually lead to corporatisation of railway
Finance ministry may cut allocation to railways
It could lose its commercial character
Def Budget
Def Expdr
Def expdr for 2017-18 excluding pensions - 2.74 lakh
crore, incr of 6% from 2016-17.
Def accounts for 12.77% of total allocation of Central
Govt expdr of 21.47 lakh crores.
Def allocation - 1.6% of the GDP in 2017-18.
Allocations for the Defence Sector:
Defence Expenditure:
2.74 lakh crores incr of 6% over that of 2016-17
1.6% of the GDP
Capital allocation was 86,400 crores, incr of 10%.
Defence pensions was 85,740 crores.
Page 4 of 49
Comparison of Indias Def Expdr with Other Countries:
India - 1.6% of its GDP
Pakistan - 2.36% of its GDP
Only Pakistan & Russia spend more on mil
expenditure as part of their respective budgets
than India
Chinas def expenditure is doubling almost every 5
years
Share of the Def Services
Indian Army - Rs. 1,49,369 crore (biggest share in def
budget)
Followed by Air Force, Navy, DRDO & Ord Factories.
Reason for huge Army share - Overwhelming
numerical superiority, 85 per cent of the uniformed
personnel. Bulk goes into meeting the pay and allces.
Capital expdr % of Total allocation. Army 17, Air
Force 58%, Navy 51%
Def Budget 2016-17 Highlights.
12% of modernisation budget of Rs. 70,000 crore was
avbl for new schemes, rest earmarked for committed
liabilities.
Under utilisation of Rs. 7,393 crore (10.5%). 50% of
total unspent funds by Army.
Under utilisation recurring feature of Indias def
budget, Measures to curtail
Improvements in procurement procedures
Efficiency and expeditiousness in the procurement
process.
Demonetisation
Demonetisation
Currencys status as a legal tender is declared invalid.
Need of demonetisation
Eradicate circulation of fake currency, black money,
terrorism and smuggling.
Lax tax-compliance and low tax to GDP ratio.
High Cash to GDP ratio - almost 12%
Massive rise in currency in circulation, while GDP rose
by 7.56% and inflation rose at 6%, the currency in
circulation rose by 15%.
Lack of transparency in financial dealings.
High degree of correlation between crime and
currency level in an economy.
Benefits of Demonetisation
Reduction in inflation
Eliminate black money and counterfeit notes
Bring down real estate prices
Better tax compliance
Wider tax base
GDP growth in long term
Utilisation of tax collection for govt devp policies
Funding of trt will fade away
Funding of political parties will become transparent
Improvement of Countrys image in terms of FDI,
collaboration, investment etc
Honest businessman will now have a level playing fd
Investments in gold will increase and eventually incr
investment in the govts gold monetisation scheme.
Implications of Demonetisation
A parallel black economy would collapse.
Of the Rs 17 lakh crore currency in circulation,
black money is estimated at Rs 3 lakh crore.
Death blow to Counterfeit currency
 Page 5 of 49
On Employment: cash shortage will hurt the informal Reduces the Large shadows Incentives like
sector that does most of its transactions in cash. shadow eco used for day simplified tax
On Elections: It will reduce the Vote-for-Note politics economy and to day finances rules
making elections more clean and transparent. prevents money
On Economy: laundering Follow Easwar
It will bring more borrowings to the exchequer panel recom
Improve inflation outlook
Increase GDP. Implement GST
It will revive investment opportunities and give a
As deterrent :
fillip to infrastructure and the manufacturing sector.
strengthen
Reduce interest rates and lower income tax rate.
benami txn
Real estate cleansing
Prices would come down in short to medium term Natl security : Innovative Plastic notes
Land transactions and luxury credential segment create hurdles in methods for
impacted most terror financing terror financing Agreements of
Bring transparency in transaction by drug DTAA and BEPS
On Higher Education: will become more reachable as smuggling,
the black money from high capitation fees is money
discouraged. laundering from
On security: tax havens and
Fake notes can only be detected once they enter swiss banks
banking system & not when they are in circulation
Terror financing is sourced through counterfeit Enables digital Lack of proper New holistic laws
currency and hawala transactions. commerce laws, IT act not
Challenges/Criticism comprehensive
Hardship borne by ordinary citizens
Majority of RBI to iden
Lack of Proper Planning.
mobile payment certain payment
Major inconvenience.
services are not systems and
Replacing Rs.500 and Rs.1000 notes, could cost the
compliant to IT afford them
RBI at least Rs. 12000 crore.
act, 2000 systematic imp
Substituting to digital currencies or gold by corrupt.
status
Could not do anything for the Black money held in
foreign accounts Cyber theft, data Cyber security
Disruption in transactions impacted growth rate theft and cyber
Supply chain of goods and services was affected insurance
Way forward Lack of trust measures
Need for policy that checks generation of black among
incomes at source customers
Policy for all gold and property transactions to be
routed through banks Lack of
Incr mobile penetration with pre-bundled apps adequate
Less-Cash and Cash-less economy remedies and
Cyber-crime and remedial measure must be taken. redress
Need for more customer-bank awareness and mechanisms
interaction on topics dealing with e-transactions. avbl for customer
All the political parties must come in consensus to get Boosts economy High propensity More options like
the maximum output of demonetisation. to save in and USSD / Aadhar
use cash in india based txn
Cashless Economy Lack of Incentive
compelling
reasons to shift
Benefits Challenges Solutions
Hidden charges Maint
Incr Financial 23% of JDY Use JDY accts transparency
inclusion accts are empty for DBT
Reduced cost of Low internet Involve private
Less focus on Innovative steps txn penetration sector
financial and like DigiShala TV
digital literacy ch 73% have no Incr awareness
internet access
Common man Make people
finds PoS aware Out of 23%, only
terminals 15% have
complex broadband
connectivity

Factors that determine transition to Cashless Eco
Awareness
Tech devp
Government intervention
Availability and quality of telecom network
Banks to invest in tech, improve security & ease of txn
Govt to incentivise cashless transactions
Getting more unbanked to adopt digital payments
Improved cyber security laws
Hurdles in making India a cashless economy
Large population still outside banking network
Ltd point of sale machines
Inability of people to use debit / credit cards
Poor telecom network for e-transactions
Small merchants find it inconvenient
Low literacy rates
Efforts by Govt
Opening bank accounts under PM Jan-Dhan Yojna
Adoption of Direct Benefit Transfer
Launch of UPI by Natl Payments Corporation of India
Implementation of GST
Financial awareness and incentives
Waiving excise duty on PoS machines
New licences for small finance & payments banks
Digital Economy
Digital Economy:
Integral part of Govts strategy to clean the system
and weed out corruption and black money.
A Mission would be set up with a target of 2,500 crore
digital transactions for 2017-18 through UPI, USSD,
Aadhaar Pay, IMPS and debit cards
Increased digital transactions would enable small and
micro enterprises to access formal credit
Focus would be on rural and semi urban areas
through Post offices and Banking Correspondents.
Advantages
Time saving
Expenses control
Reduces risk of loss and theft
Low commissions
User friendly
convenience
Disadvantages
Authentication / Fraud
Restrictions
Hacking
Transferring money betn payment systems
Lack of anonymity
Internet access
Centre Formed a Committee to Expedite the Process
of Transforming India into a Cashless Economy:
Date - 25 Nov 2016
Headed by - Niti Aayog CEO Amitabh Kant.
Aim - To identify bottlenecks affecting digital
payments.
Obj - To iden various digital payment sys appropriate
to different sectors of the Eco and coord efforts to
make them accessible.
Terms of Ref
Identify & operationalise user-friendly digital
payment options in all sectors of the economy.
Page 6 of 49
To ensure that nearly 80% of transactions move to
digital-only platform.
Move all govt transactions to cashless mode,
through a new single window e-pay system.
Modality - The Committee would interact regularly with
Central Ministries, regulators, State Govts, district
adm, local bodies, trade & industry associations to
promote adoption of digital payment systems.
Rata Watal Committee on Digital Payments:
Ratan Watal - Principal advisor, NITI Aayog, Former
Finance secy
Terms of Ref
To study and recommend need for charges, if any,
in the regulatory mechanism and any legislation,
relevant for the purpose of promotion of payments
by digital modes
To study and recommend ways for leveraging
Unique Identification Number or any other proof of
iden for authentication of card/digital transactions
and setting up of a Centralised KYC Registry;
To study introduction of single window system of
Payment Gateway to accept all types of Cards/
Digital Payments of Government receipts;
To study feasibility and framing rules for creating a
payments history of all Digital Payments and
create necessary linkage between payments
transaction history and credit information;
To study and recommend various measures to
incentivise transactions through cards and digital
means.
To study global best practices in payments
including initiatives taken by various govt agencies
To identify market failure (s), if any, along with
suitable interventions that may be implemented to
promote payment by card/digital means
To identify regulatory bottlenecks, if any, and
suggest changes to promote payment by card/
digital means
To study and make recommendations on any other
matter related to promotion of payments through
Cards and Digital Means
Recom
Recom given under four heads
- Measures involving changes to primary
legislation
- Measures involving regulatory changes
- Drafting instr for Payments and Settlement
Systems Act
- Timeline for implementation of recom
Major Recom are as follows :-
- Transition to digital payments would bring out a
significant cut in costs incurred due to
inefficiencies associated with cash.
- Amend Payments Act to provide for
competition, innovation, open access, data prot
& security
- Promote digital payment within Govt
- Make Govt departments to absorb surcharge/
convenience charges
- Create facility for online payments using cards
& e-wallets in Govt
- Remove customs & excise duties on payment-
acceptance devices

GST
Need / Reqmt:
No single tax covers the entire supply chain
Rates of tax vary from State to State
Cascading impact of Centre and State taxes.
Need for recalibrating indirect tax regime.
Main Features:
GST would be levied on sup of goods and services
and hence the present prevalent concepts of levy of
excise on mfr, VAT/CST on sales, entry tax on entry of
goods in local area would no longer be relevant.
There would be dual GST i.e. both the Centre and the
States would concurrently levy GST across the entire
goods and services sup chain on a common base.
Integrated GST (IGST) would be levied on all inter-
state supplies by the Centre and then transferred to
the Destination State.
Present Central Taxes like Central Excise, Service
Tax, CVD, SAD, CST and State Taxes like VAT, CST,
Entry Tax and Luxury Tax would get subsumed under
GST. Customs is outside GST and hence basic
customs duty would continue on imports.
GST is a destination based consumption tax, which
essentially implies that the revenue will accrue to the
State where the consumer resides. This is unlike the
present origin based levy where the revenue accrues
to the origin state from where the mov originates.
Seamless flow of credit would be there under GST
whereby CGST would be allowed to be set-off against
CGST and IGST, SGST against SGST and IGST and
IGST against IGST, CGST and SGST in that order.
Thus, under GST, the present cost of 2% CST on
inter-state sale will not be there as IGST would be
totally fungible in the Destination State.
Liability for payment of GST would arise at the time of
sup of goods and service. However, receipt of goods
and services is one of the pre-conditions for allowing
input tax credit under GST and hence, even if GST is
paid on adv payments, credit for the same would be
avbl only on receipt of goods and services.
Registration threshold has been presently kept at Rs.
10 Lakhs (Rs. 5 lakhs in case of North East States
and Sikkim) in the draft model law. Existing registered
assesses would be migrated into GST, first
provisionally and then finally subject to furnishing of
requite info. Assesses have the option to take
business segment-wise registration.
Option of composn levy is also prescribed, if
aggregate turnover of a tax payer is <Rs. 50 lakhs.
Persons adopting composition levy would be neither
entitled neither to charge GST from its customers nor
to avail credit of input tax. However, composition levy
is not allowable to assess who affects inter-State
supplies.
Details of inward supplies and tax credit would be
auto-populated based on sales details uploaded by
the vendor. Hence, a robust IT infra at the end of both
supplier and recipient is critical for hassle free tax
credits and avoid denial of credits due to mismatch
issues.
Provisions relating to payment of tax under reverse
charge, tax deductions at source are expected to
continue under GST regime for specified persons/
Page 7 of 49
transactions. Thus, addl compliances would continue
on the part of recipients, so far as tax payments under
reverse charge and deduction at source are
concerned.
Benefits of GST:
Economy:
Single national market.
Help in promoting exports.
Boost growth by 2.5% points.
Reduce Fiscal deficit
Reduce inflation
Boost Make in India initiative.
Employment generation.
Boost investments through cheaper capital goods.
Govts:
Increase in revenue.
Easier administration of taxes for the Govts.
Lesser tax disputes.
Check leakages.
Business and Industry:
Bring in efficiency by redistributing the burden of
taxation equitably betn manufacturing and
services.
Distortions in the indirect tax system would be fully
removed.
Removal of cascading effect of current levies
The logistics costs would be reduced by 30-40%.
Single market for optimal investment decisions.
Industry would be protected from cheaper imports.
Reduction in compliance cost and disputes.
Consumers:
Burden on tax payers would be reduced by
25-30%.
Transparency to ensure smooth tax compliance.
Reduced overall tax burden on most commodities.
Automobiles would become more affordable.
Concerns over GST:
Higher service tax
Incr in inflation as the taxes on services would incr.
Fiscal stress if expected tax collection efficiency does
not materialise.
Increase in cost of services like mobile phones,
hotels, air and train tickets.
Reduce the fiscal and political autonomy of States.
States would not able to exempt some goods and
services from tax.
Decrease the ability of States to raise finances for
welfare schemes.
Lower income groups are more burdened by indirect
taxes than the wealthier ones.
Constitutional Amendment for GST:
The bill empowered both the centre and states to levy
GST which would subsume various types of indirect
taxes like CST, VAT, ED etc.
Bill provided for creation of GST council which would
be empowered to recom tax rates, exemption and
threshold limits of goods and services.
The bill allows for compensation of loss of revenues to
states for a pd of five yrs.
The bill also provides 1% compensation to
manufacturing states.
The amended GST bill was passed by Rajya Sabha
on 03 Aug 16. It allows the centre and state govt. to
levy CGST and SGST on all goods and services
except on exempted goods.

Four Bills / Acts for GST
Central GST Act 2017
State GST Act 2017
Integrated GST Act 2017
Union Territory GST Act 2017
Challenges Ahead of the Implementation of the GST:
Challenges of Revenue base of the Centre and
States, along with the compensation requirements of
the Centre.
Fixing the GST rate structure.
Listing of the exemptions under GST.
Consensus on the model GST Bill.
Implications of the Implementation of the GST:
Short Term Implications:
Services would become costlier as the higher GST
rate would replace the current service tax of 15%.
Manufactured products like automobiles, fans,
lighting products, water heaters, air coolers and
others would become cheaper.
If the GST is set at 18% it would be lower than the
current 24-26% tax on goods.
The inflation rate could increase in the year of
implementation due to costlier services.
Long Term Implications:
The GST would eliminate multiple taxes on firms
and help in the ease of doing business.
The GST would cut the logistic costs for business
due to the elimination of inter-State taxes.
The prices of capital goods could be reduced by
12-14% giving a boost to economic growth.
The GST would reduce black money.
GST Rates on Goods:
Exempt: Milk, fresh vegetables, eggs, jiggery, etc.
5% Tax: Edible oil, tea, coffee, sugar, etc.
12% Tax: Bicycles, mobile phones, butter, cheese, dry
fruits, fruit juice/pulp drinks, etc.
18% Tax: Soap, toothpaste, and hair oil; capital
goods, etc.
28% Tax: Luxury cars, motor cars, aerated beverages,
fireworks, etc.
GST Rates for Services:
Exempted: Education, healthcare, travelling on metro,
local train, religious travel including Haj travel and
hotels and lodges with a tariff of below 1000/day.
5% Tax: Economy class air ticket, goods transport and
restaurants with a turnover of 50,000 or below.
12% Tax: Business class air ticket, non-AC
restaurants, work contracts like white washing and
hotels with tariff between 1000 to 2,500/day.
18% Tax: Telecom, financial services, AC restaurants
or those with liquor licences, hotels with tariff between
2,500 to 5,000
28% Tax: Five star and luxury hotels with tariffs above
5,000, services related to gambling, race club
betting, cinema halls, entertainment and casinos.
Seventh Pay Commission
Pay Commission:
Pay Commission is an administrative mechanism set
up in 1956 to determine salaries of govt employees.
Constituted every 10 years to revise the salary scales.
Page 8 of 49
Highlights of the Report:
Overall increase in 23.55% in pay, allowances, and
pension for govt employees wef 01 Jan 2016.
Recommended a 16% increase in basic pay, a 63%
increase in allowances and a 24% increase in
pension.
To bring in greater transparency, new pay matrix has
been designed.
Minimum pay in govt was recom to be set at Rs.
18,000 per month and Rs. 2,25,000 per month for
Apex Scale and Rs. 2,50,000 per month for Cabinet
Secretary.
Recommended that a fitment factor of 2.57 to be
applied uniformly for all employees.
Recom an annual increase of 3% in basic pay.
Ceiling of gratuity incr from Rs.10 lakh to Rs.20 lakh
Recommended OROP for all govt employees.
Disability Pension for Armed Forces: Recommended
to revert to a slab based system for disability element,
instead of the existing percentile based disability
pension regime.
Military Service Pay (MSP) would be admissible to the
Defence Forces personnel only.
Short Service Commission officers would be allowed
to exit the Armed Forces at any point in time between
7 to 10 years of service.
Union Cabinet Approved Implementation of Recom:
On June 29, 2016, the Union Cabinet approved the
implementation of the recommendations of the 7th
Central Pay Commission (CPC).
To examine the concerns employees had raised, the
govt decided to set up four committees:
Implementation issues anticipated.
Likely anomalies
Examine the recommendations on allowances.
Suggest measures for streamlining the National
Pension System.
Separate Committee for Anomalies for Military:
Revision of MSP from Rs.1,000, Rs.2,000, Rs.4,200
and Rs.6,000 to Rs.3,600, Rs.5,200, Rs.10,800 and
Rs.15,500 respectively for various categories
The Union Cabinet approved further improvements in
the Defence Pay Matrix by enhancing Index of
Rationalisation for Level 13A (Brigadier) and providing
for additional stages in Level 12A (Lieutenant
Colonel), 13 (Colonel) and 13A (Brigadier) in order to
bring parity with CAPF.
Central Govt Notified Seventh Pay Commission for
Serving Military Personnel (May 3, 2017):
On May 3, 2017, the Central Govt notified the Seventh
Pay Commission for serving military personnel.
Three issues raised by the services were approved:
Increasing the pay matrix from 24 to 40 years
Index of rationalisation for Lt Col & Col to 2.67.
Pay protection for those promoted above Brigadier
upwards because they lose the Military Service
Pay.
BHIM App
Intro
Bharat Interface for Money
Digital payments app
Launched by PM on 30 Dec 2016.
 Page 9 of 49
BHIM App Aim
UPI-based digital payments app To resolve grievances of States in a speedy
Devp by National Payments Corporation of India. manner.
App can be used on Smartphones & feature phones. Benefits
The app will let you send money to the UPI accounts, Speedier adjudication
via IFSC (Indian Financial System Code) and Mobile Reliable Data
Identifier Code to users that do not have UPI. Pre-litigation Resolution
You can also generate a QR code for a specific Fixed Timeframe
amount. A merchant can deduct the said amount by Challenges
scanning this QR code. Created as and when need arise
It is not a mobile wallet like PayTM. Supreme Court can also hear appeals against
The BHIM app will support Aadhaar-based payments water tribunals, thus delaying the judicial
in future where transactions will be possible with just a proceedings.
fingerprint impression. Way Forward
Incentives Sense of responsibility towards humanitarian
BHIM Referral Bonus Scheme (For Indls). dimension.
Will incentivises existing BHIM users for bringing Water disputes should be depoliticised.
new users on BHIM platform.
Bonus will be paid to both the referrer and the new Cauvery Water Dispute
user of BHIM (referee).
Referral will be considered successful only after 3 Introduction:
unique successful financial transactions have been Total length - 802 km
completed by the new user. 381 km in Karnataka
On completion of minimum 3 unique successful 64 km bdy
transactions totalling only Rs 50 to any 3 unique 357 km in Tamil Nadu
users (either to customers or to merchants), the Cauvery water dispute Tribunal 2007
referrer and the referee will be notified about the Total avbl of water - 740 tmcf
bonus amount via notification in BHIM app. TNs share - 419 tmcf
The referrer will get Rs 10 per successful referral, Karnatakas share - 270 tmcf
while the new users will get Rs 25 for downloading Keralas share - 30 tmcf
and transacting from BHIM App. Puducherry - 7 tmcf
BHIM Merchant Cashback Scheme. Issue
Incentivises not just one-time adoption of BHIM by Sporadic litigation and ad hoc adjudication
merchants, but will also encourage transactions via Cauvery Water Disputes Tribunal, in 2007, asked to
BHIM mode (either QR code or VPA or Mobile share the deficiency on a pro rata basis.
number or 'Pay to Aadhar'). Weak implementation
The cash-back to the merchant can be up to Rs Centre Govt setup Supervisory Committee
300 per month, with each merchant eligible to win Excessive complication of the matter.
up to Rs 1800 in 6 months. Current Problem
Working Tamil Nadu apch Supreme Court for 50 tmcf for
If your account is UPI activated then all you need is samba crop from Aug to Jan.
the Virtual Payment Address (VPA) of the payee. As per the Tribunal order, Karnataka to release
Once you put in the VPA, the app will verify the user. 100 tmcf in Jun
If the payee does not have a UPI account then you 34 tmcf in Jul
can transfer money through IFSC code. 50 tmcf in Aug
You can send up to Rs. 10,000 per transaction and 40 tmcf in Sep.
Rs. 20,000 in any 24 hours. Karnataka only released 33 in June.
Drawbacks Reason - deficit pre-monsoon showers
You can only use one bank account through one It needed about 30 TMCFT of drinking water
mobile number. In other words you will have to reset 05 Sep : Supreme Court directed Karnataka to
the entire app if you want to use another bank account release 15,000 cusecs (13 tmcf) for 10 days
registered with the same mobile number. Protests broke out in Karnataka.
Presently only 6 digit numeric passwords are sp Karnataka filed a plea to modify the Supreme Court
order
12 Sep : Supreme Court refused to freeze its Sep 5,
Water Dispute 2016 order but reduced from 15,000 cusecs to 12,000
cusecs.
Permanent Tribunal for all Inter-State River water 19 Sep : Cauvery Supervisory Committee (CSC)
Disputes ordered Karnataka to release 3,000 cusecs for the
rest of the month
Intro 20 Sep : Supreme Courtordered to release 6000
Central Govt set up cusecsfrom 21-27 Sep.
Single, permanent Tribunal 23 Sep : Karnataka legislature passed a resolution
Adjudicate all Inter-State River water disputes. that no water to be drawn except drinking water.
Will subsume existing tribunals

27 Sep : Supreme Court ignored Karnataka
legislatures resolution and directedto release 6,000
cusecs for next three days.
30 Sep : SC gave last opportunity and asked Centre
to set up the Cauvery Water Management Board
(CWMB) by 4 Oct.
3 Oct : Karnataka released 6,800 cusecs
18 Oct : Centre said decision of Cauvery Water
Dispute Tribunal in 2007 was final and Supreme Court
had no Jurisdiction to entertain appeals.
Way Fwd
Distress-sharing formula should come from a
technical body and not courts.
Set up the Cauvery Mgt Board & Regulatory Authority.
Equity and efficiency issues.
River basin planning
Non-political initiatives, like coord betn farmers
Transmission of quick and accurate information
Bring water under concurrent list
Centre can play the role of impartial arbitrator
Inter State Water Dispute (Amdt) Bill, 2017
Present Issues
Incr demand for water
Inter State River Water Dispute Act, 1956
Legal framework to address such disputes has
many drawbacks
separate tribunal has to be est for each dispute
8 inter state water dispute tribunals
no time limit for adjudication or publication of reports
3/8 tribunals have actually given awards accepted by
the states
some tribunals have been in existence for over 25 yrs
without any award
No upper age limit for the chairman or members
New Bill
Single standing tribunal with multiple benches instead
of multiple tribunals
total time period for adjudication of dispute has been
fixed at max 4.5 yrs
the decision of the tribunal shall be final and binding
tribunal shall have 1 chairperson, 1 vice-chairperson
and not more than 6 other members
limits the tenure of chairperson to 5 yrs or till they
attain the age of 70
proposes to introduce mechanism to resolve disputes
amicably by negotiations through a dispute resolution
committee (DRC)
DRC to be est by the central govt consisting of
experts
Provides for a transparent data collection system at
the national level for each river basin
appointment of assessors to provide technical support
to the tribunal
an agency to maintain data-bank and information
system is to be authorised by central govt
Nagaland
Demands.
Demands of the NSCN (I-M): Nagalim. Unification of
the Naga inhabited areas in a new State Nagalim.
Page 10 of 49
Federation of India and Nagalim. Special federal
arngs between Nagalim and India to democratise its
federal set-up under which India and Nagalim will be
inseparable but under a federal achievement.
30-Point Charter of Demands. According to reports,
the NSCN (I-M) submitted a 30-point charter of
demands to the Govt of India which broadly included
def, finance, natural resources and policing.
Key Factors for Lasting Peace.
A Clear and Definite Agreement, process cannot go
on ad infinitum.
Need to Involve all the Groups - essential that
different Naga insur gps including the NSCN faction,
the Naga National Council etc and the State Govt are
associated in the negotiations for a final agreement,.
Accommodating the Concerns of Neighbouring States
- including Assam, Manipur and Arunachal Pradesh, -
Any agreement should not be at the cost of other
neighbouring States.
Surrender of the Weapons by the Insurgents.
Dismantling the Extortion Apparatus of the Insurgents.
Centre Signed a Peace Accord with NSCN (I-M) (New
Delhi, August 03, 2015):
On August 03, the Centre signed a Peace Accord with
largest insurgent outfits of Nagaland, the Nationalist
Socialist Council of Nagaland (Isak-Muivah).
The details of the Peace Accord were not released by
the Govt.
The NSCN (I-M) has been demanding a unified Naga
identity and a separate State of Nagalim for over six
decades.
The Peace Accord with NSCN (I-M) was signed by the
Centres Naga interlocutor R.N. Ravi at the Prime
Minister Narendra Modis residence in New Delhi
The deal was not only a framework agreement but
indeed a peace accord.
Once all the modalities were finalised, it would be sent
to the Parliament for ratification
Significance of the Naga Peace Accord:
Peace Agreement was signed with the (I-M) as it had
taken the lead in negotiations and was the one
supporting the deal.
Govt of India and the NSCN (I-M) successfully
concluded the dialogue on Naga political issue, which
has existed for six decades, according to statement
issued by the Centre.
The Govt of India recognised the unique history,
culture and position of the Nagas and their sentiments
and aspirations. The NSCN (I-M) understood and
appreciated the Indian political system and
governance.
The entire top leadership of the NSCN (I-M), including
all members of the collective leadership, had fully
endorsed the agreement and was present during the
ceremony.
Peace Accord would be a breakthrough in bringing
peace to the North-East.
Mr. Modi complimented the NSCN (I-M) for
maintaining the ceasefire and stressed that he had the
greatest admiration for the great Naga people for their
extraordinary support for the peace efforts.
The NSCN (I-M) general secy said that Nagas would
honour the Accord, but stressed that the challenge
was to make dialogue more meaningful.

Peace Accord would be significant in ending the
longest running insurgency in the North-East which
had implications for the development of the region.
The violence in Nagaland had been a stumbling block
for investments in the affected States apart from
alienating the Nagas which made peace more difficult,
according to analysts.
The Peace Accord could open up the region
especially Nagaland and Manipur for development
and investments.
The Peace Accord with the NSCN (I-M) would also
isolate the NSCN which had broken the ceasefire
agreement with the Centre and was responsible for
the attacks on Indian security personal.
Peace Accord would also help in curbing extortion,
kidnapping and arms rackets allegedly fuelled by
China.
Challenges in Implementing the Peace Accord:
The smaller groups like Khole-Kitovi (KK) and the
Reformation (R) which have signed ceasefire
agreement with the Govt till April 27, 2016, are not
part of the Peace Accord.
The NSCN (Khaplang) faction, led by S.S. Khaplang,
broke the ceasefire agreement with India in March
2015 and is known to have carried out the attacks on
Army personnel in Manipur in June 2015.
The NSCN is opposed to the Govts Peace Accord
with the NSCN (I-M) faction.
Challenge before the Centre is that many factions of
the Naga insurgency were still not part of the Peace
Accord and there were several issues to be sorted out
with this agreement.
Centre needs to bring all stakeholders on board,
including members of the civil society of Nagaland,
representatives of the neighbouring States, in order to
successfully implement the Peace Accord.
Autonomous councils for Naga people outside
Nagaland were under consideration.
The autonomous councils were locally appointed
govts that function in States like Assam, Mizoram,
Meghalaya, Tripura, West Bengal and Jammu and
Kashmir.
Key challenges before the Centre included the
recognition of Naga identity without acceding to claims
on territories of neighbouring States and allowing
greater autonomy to the people of Nagaland within the
sovereignty of India.
33% Reservation for Women in Civic Bodies:
Issue
Urban local body elections in Nagaland
Protests against the provision of 33% reservation
Background
State assembly (2012) - resolution opposing the
quota for women
Resolution was revoked in Nov 16
Arguments
Naga Mothers Associatin
- Filed petition against the assemble
- Act 243 (T)
provides 33 % womens reservation
applies to Nagaland as well
Naga Hoho (apex body of naga tribes)
- Act 371 : precedence to Nagalands customary
tradiotns and laws passed by parliament
Male dominating tribal bodies
Page 11 of 49
- Naga society offers equal opportunities to their
females
- preventing the need for any kind of affirmative
action
Reality
No woman elected to state assembly
Only one woman elected to parliament
village development bds in the state have 25 %
reservation for women
tribal bodies dominated by men
property and inheritance rights highly skewed
against women
Way forward
Reservation for women is necessary
govt should uphold the rule of law
protesting tribal bodies should be persuaded
showing eg of reservation in other rural areas
which has improved local governance
infusing modern ideas while keeping the Naga
customs intact
women will be mens equal only if competent
women could hold important jobs
Manipur
Intro
Manipur has created 7 new districts (now total 16).
Background
Three main communities
Naga - tribals - hilly regions
Kuki - tribals - hilly regions
Meitei - non tribals - valley
The demand of new districts has been subject of
ethnic strife in Manipur since 1971.
Naga and Kuki villages are located side by side in all
four hill districts of Manipur thus complicating the
issue.
Main Features
The United Naga Council (UNC) is opposed to the
creation of the Sadar Hills district out of the Senapati
district, with a substantial Naga population.
They allege that two districts, Sadar and Jiribam,
would encroach the ancestral land of the Nagas.
The state govt denying the charge stated that the
move was purely aimed for adm convenience.
Manipur blockade
Lifted on 19 Mar 2017.
Immediate cause for the present crisis:
The blockade is in place to oppose the creation of
new districts by the state govt.
Decision for formation of seven new districts was
taken for administrative convenience and to enable
the state govt take up development works effectively.
Why the UNC is opposing this move?
Areas with a Naga population have been divided
Lack of consultation is a violation of commitments
made by both the Centre and the State in various
memoranda of understanding.
New smaller districts would be under greater political
control of the Manipur state administration at Imphal.
Non-Naga tribes like Kukis would eventually dominate
in districts like Kangpokpi where presently there is
a coexistence of Kukis, Nagas and the Meiteis.

Creation of new districts in the Naga dominated hill
areas will encroach upon and divide the traditional
land holdings of Naga tribes.
Way Fwd
Peace talks
Counter blockade by other gps
Intervention by governor
Intervention by State law enforcement agencies
Improvement in RTI
New Features in RTI
Real time updates.
As soon as an RTI applicant files an appeal or a
complaint, he/she would be given a registration
number and would get an alert on email and mobile
phone about his case and progress.
The case would then be electronically transferred
immediately to the concerned info commissioner's
registry electronically.
CIC has already scanned 1.5 lakh files and converted
them into electronic files.
The Commission would also be able to separate
complaints from the appeals.
Impact of the changes
Currently, process takes a few days but after changes
entire process would be done within hours.
Faster hearings and more convenience.
Not only benefit the appellants but also information
commissioners in quickly disposing off the cases.
Facilitate hearing of multiple appeals.
It would directly impact in reducing pendency as more
cases would be disposed in a day.
Eastern Coast Economic Corridor
Coastal Economic Zones
Coastal location allows companies to operate in the
world markets unhindered by the poor infrastructure in
the hinterland. This was successfully done in China.
The NITI Ayog, thus, suggests that India should also
work on building a coastal economic zone. This
becomes further attractive in the light of Sagarmala
initiative.
Eastern Coast Economic Zone
From West Bengal to Tuticorin in Tamil Nadu
Recently, ADB approved $631 million loan for
industrial corridor betn Vizag and Chennai
Fund will help devp the first 800 km section of the
2500 km of ECEC
The remaining $215 million will be funded by Andhra
Pradesh govt
Idea is to not just raise build new ports or upgrade old
ones but raise entire industrial ecosystems
Significance
Spur growth by augmenting existing investment
Attract FDI and encourage creation of mfr hubs
Create jobs
Unify domestic market
Provide multiple access points to international
gateways
It is in line with the trade reforms
Page 12 of 49
UDAN
Introduction
Ude Desh ka Aam Naagrik
UDAN is an innovative scheme to develop the
regional aviation market.
Part of the ambitious National Civil Aviation Policy
2016
Seeks to cap ticket prices to make flying affordable for
the common man
Need / Reqmt for the Scheme
Promoting regional air connectivity
398 unserved and 18 under-served airports
Enable passengers from Tier II and Tier III cities travel
by air.
Only way to get airlines to fly to these thin routes
would be by reducing operational costs
Connectivity to NE is much needed
Key Features
43 cities would be mainstreamed on Indias flight
connectivity grid including 12 airports where limited
but irregular flights operate, and 31 destinations that
are not connected.
First phase - 12 under-served & 50 unserved airports.
UDAN will be applicable on flights which cover
between 200 km and 800 km with no lower limit set for
hilly, remote, island and security sensitive regions.
Five airlines Air India, Spicejet, Turbo Megha, Air
Odisha and Air Deccan won the bids for 128 routes
connecting 70 cities under the UDAN scheme.
The airlines would get exclusive rights to fly on a
regional route for the first three years.
Routes are awarded through reverse bidding auction,
which means that an airline that bids for the least
subsidy support would be awarded the exclusive right
to fly.
The airlines would be provided subsidy for three years
in the range of 2,470-5,100 depending on the type
of aircraft and distance covered.
The losses of the airlines would be funded by
passengers flying on national routes and State govts.
The Central Govt has set up a regional connectivity
fund which would be financed by levying a cess of
7,500 - 8,500 on each departing domestic flight on
major national routes. Each passenger flying on a
domestic route except those in the Northeast would
be charged an additional amount of 50
approximately.
Airlines would provide lower airfare on 50% of the
seats for a maximum of 40 seats on a fixed-wing
aircraft. The rest of the seats would be charged
according to the market price.
State govts will become key partners and provide free
security and fire service, utilities at concessional rates
and reduce VAT on ATF to 1%
No landing charges, parking charges and terminal
navigation landing charges will be imposed for
regional connectivity scheme flights
Under this scheme, centre will subsidise 80% of the
cost under viability gap fund scheme, while states will
meet the rest of the cost. In case of NE states, centre
will subsidise 90% of the cost.

The regional connectivity scheme will be operational
for 10 yrs with indl route contracts to be for a 3 yr
span
It stipulates that air tickets for under one hr flight all be
capped at Rs 2500
300 airports that are not in use will be made no-frills
airports by upgrading their infrastructure @ Rs 50 cr
each
Advantages
Boost tourism, jobs and balanced regional growth
across the country
It will also lead a fillip to Indias aim of emerging as the
third largest aviation market by 2020
Imp of Centre - State coop is pivotal for its success
A higher FDI of 50% will boost ops and ensure
competition
Help devp smaller cities and lesser migration to the
metros
Affordable travel
The scheme would ensure affordability, connectivity,
growth and development.
It provides an additional business opportunity by
increasing the potential for moving existing perishable
cargo, fragile goods and high-value export-oriented
products by air.
Enhance trade and commerce
Criticisms
It would result in addl subsidy burden
Policy doesn't mention from where the fund will come
Capping rates is criticised as airlines argue that it
should be based on demand / supply
Resources should be deployed based on economics
rather than populist gesture
Oil prices will rise
Subsidy will make high traffic routes expensive
National Health Policy
Highlights:
Aims in shifting focus from sick-care to wellness.
Incr public health expenditure to 2.5% of the GDP.
Strengthen health systems by ensuring everyone has
access to quality services and technology despite
financial barriers.
The policy proposes increasing access, improving
quality and reducing costs. It proposes free drugs,
free diagnostics and free emergency and essential
healthcare services in public hospitals.
Focusses on primary health care: The policy
advocates allocating two-thirds (or more) of resources
to primary care. It proposes two beds per 1,000 of the
population to enable access within the golden hour
(the first 60 minutes after a traumatic injury).
Reduce morbidity and preventable mortality of non-
communicable diseases by advocating pre-screening.
It highlights AYUSH (Ayurveda, Yoga & Naturopathy,
Unani, Siddha and Homeopathy) as a tool for effective
prevention and therapy that is safe and cost-effective.
It proposes introducing Yoga in more schools and
offices to promote good health.
Key targets:
Increase Life Expectancy at birth from 67.5 to 70 by
2025.
Reduce infant mortality rate to 28 by 2019.
Page 13 of 49
Reduce Under Five Mortality to 23 by 2025.
Achieve the global 2020 HIV target (also termed
90:90:90; 90 percent of all people living with HIV know
their HIV status, 90% of all people diagnosed with HIV
infection receive sustained antiretroviral therapy and
90% of all people receiving antiretroviral therapy will
have viral suppression).
To reduce premature mortality from cardiovascular
diseases, cancer, diabetes or chronic respiratory
diseases by 25% by 2025.
Challenges ahead:
Large population
Lack of public funds
Growth of non communicable disease
Indias Energy Security
Sources of Energy in India:
Coal - 63.7% of Indias Energy Consumption
Oil - 15% of Energy Consumption.
Natural Gas - 12.7% of Energy Consumption
Lignite, Hydro, Nuclear - 8.6% of Energy Consumption
Indias Oil Reserves and Production:
Indias hydrocarbon reserves are estimated to be 30
billion tonnes.
Currently most of the oil is obtained from Bombay
High, Upper Assam, Cambay and the Krishna-
Godavari and Cauvery basins.
Indias known reserves of oil constitute only 0.4% of
the world reserves of crude oil while the consumption
is 2.8% of the global consumption.
The possibility of an increase in production of oil and
gas domestically has brightened with the discovery of
oil in large areas of Rajasthan and huge reserves of
gas in the Godavari basin.
Energy Security:
Means continuous availability of energy for the
economy at all times, at prices that are broadly in line
with what the rest of the world pays for energy.
Ensuring Energy Security:
Building strategic reserves of oil and gas.
Diversifying supply sources from different countries.
Diversifying the modes of fuel transport - ppl or ships
Improve energy efficiency & depress energy demand.
Highlights of BP Statistical Review of World Energy:
India has been the second largest energy consumer in
Asia since 2008.
In 2015, India overtook Japan as the worlds third-
largest oil consuming country after the US and China.
Indias energy consumption expected to grow the
fastest among all major economies by 2035. As a
result, India would remain import dependent despite
increases in production.
India would overtake China as the largest growth
market for energy in volume terms by 2030.
Indias share of global energy demand would increase
to 9% by 2035.
Renewable energy will overtake oil as the second
largest, increasing from 4% to 14% in 2035. Oil would
drop from 10% to 3% by 2035.
NITI Aayogs Action Plan to Reduce Indias
Dependence on Import of Oil and Gas:
Enhancing Domestic Exploration & Production Across
Remaining Oil and Gas Basins:

Launching open acreage licensing policy
Rationalising all discoveries under production
sharing contract
Resolving issues of simultaneous exploitation of all
hydrocarbons
Launching the policy of sharing upstream
infrastructure
Giving incentives to global companies for R&D and
manufacturing
Increasing Refining and Distribution Capacity of Oil
and Gas:
Setting up new refineries to sustain export capacity
Liberalising trade of all petroleum products
Rationalising tax structure for import and sale of
petroleum products
Gas prices should be market determined
Doubling the receiving capacity of LNG by 2022
The Naxalite Problem
Introduction:
Naxalites: An informal name given to revolutionary
communists groups waging a violent struggle to
establish a 'people's govt' through a 'people's war'.
The Naxalite Movement:
The Naxalite movement began as a peasant uprising
in Naxalbari, a village in West Bengal in 1967.
In the 1970s the Naxalite movement gained cadre in
urban India.
In the 1980s the Naxalite movement retreated to rural
India from Andhra Pradesh up to Nepal.
Two Major Groups of Naxalites Merged in 2004 to Form
the Communist Party of India (Maoist)
Left-Wing Extremist Violence has Affected 76 Districts
Across 10 States:
States Severely Affected by Left-Wing Extremism:
Chhattisgarh, Jharkhand, Odisha and Bihar.
States Partially Affected by Left Wing Extremism:
West Bengal, Maharashtra, Andhra Pradesh and
Telangana.
States Slightly Affected by Left Wing Extremism: Uttar
Pradesh and Madhya Pradesh
International Linkages
Change in Character of the Naxalite Movement: No
longer confined to agrarian concerns but represents
the Dalit and tribal identities and also supports ethnic
and regional concerns
Factors responsible for growth of Naxalism in India
Political factors
Insensitive nature of the political system towards
tribals
Inability of legitimate political auth to provide
avenues for structural uplift of deprived sections of
society
Economic factors
poverty, economic inequality & underdevelopment
skewed distribution of land and economic growth
encroachment of forest lands by contractor -
politician nexus
indigenous tribal population deprived of their lands
benefits of the resource exploration are not passed
on the tribals
Ways to end Naxalism in India
good governance
Page 14 of 49
dialogue
generate more emp and incr wages
rehab and resettlement
prevent envt degradation
stop the political marginalisation of weaker sections
remove disparity
access to basic resources
steps for welfare of tribals
modernise law enforcement agencies
Govts apch
deal in a holistic manner
integrated multi-pronged apch aimed at more affected
areas
maint law and order by state govt
central govt
provide CAPF
setup trg schools for CAPF
modernise and upgrade state police forces
filling up critical infrastructure gaps
civic action pgmes
SAMADHAN strategy - Smart leadership, Aggressive
strategy, Motivation and training, Actionable
intelligence, Dashboard-based key performance
indicators and key result areas, Harnessing
technology, Action plan for each theatre and No
access to finances
Citizenship Bill (Amdt) 2016
Need / Reqmt
there are thousands of minorities who have entered
India after facing religious persecution in other
countries, without any valid documents
these refugees have been facing difficulty in getting
Long term visa or citizenship
as per existing law, they have to stay in India for at
least 12 years
Key Features of Bill
Definition of illegal migrant
The citizenship act, 1955 prohibits illegal migrant
from acquiring Indian citizenship
The bill amends the act to provide that Hindus,
Sikhs, Buddhists, Jains, Parsis and Christians from
Afghanistan, Bangladesh and Pakistan will not be
treated as illegal migrants
Citizenship by naturalisation
Under the act, one of the reqmt for citizenship by
naturalisation is that the applicant must have
resided for 12 of the 15 years preceding the date
of application
The bill relaxes the 12 yr reqmt to 7 yrs for the
same six religions from three countries
cancellation of registration of OCI
the bill provides the registration of Overseas
Citizen of India cardholders may be cancelled if
they violate any law
Opposition
Never before has any religion been specifically
identified in the citizenship law
Communally motivated humanitarianism
Article 14 of constitution guarantees equality to all
persons
The bill will stamp these countries as institutions of
religious oppression and worsen bilateral ties

The bill does not provide citizenship but only relaxes
the procedure
Assam has a major problem regarding infiltration of
Bangladeshi Hindus as illegal migrants
As a consequence only muslims will be treated as
illegal migrants
Aadhar
Aadhar - Breach of Security
Security concerns related to Aadhar?
Aadhaar is mass svl tech which undermines security.
Biometric info is necessary for targeted svl, but not
suitable for everyday transactions between the state
and law abiding citizens.
How privacy is ensured in Aadhar?
Aadhaar incorporates privacy by design.
Only minimal data just sufficient to establish identity is
collected.
Random numbers with no intelligence are issued.
Aadhaar Act
Restrictions on data sharing.
No data download is permitted
Search is not allowed
No personal information is divulged.
It does not keep any data except the logs of
authentication. It does not know the purpose of
authentication.
Aadhaar number can be locked and disabled it from
any type of authentication.
What should the govt do?
It should assure the citizens that it has the technology
and systems to protect the data collected.
Prevent unauth disclosure of or access to such data.
It should recognise all dimensions of the right to
privacy and address concerns about data safety.
The data controller should be made accountable for
collection, processing and use to which data are put.
Alternative
Biometrics allows for identification of citizens even
when they dont want to be identified. Smart cards
which require pins on the other hand require the
citizens conscious coop during the iden process.
Once smart cards are disposed nobody can use them
to identify. Consent is baked into the design of the
technology.
If the UIDAI adopts smart cards, the centralised
database of biometrics can be destroyed just like the
UK govt did in 2010.
Smart cards based on open standards allow for
decentralised authentication by multiple entities and
therefore eliminates the need for a centralised
transaction database.
Aadhar Enabled Services
Aadhar for Financial inclusion
Challenges
illiteracy
many citizens not registered for Aadhar
compulsory Aadhar usage will be arm twisting
people who are not tech savvy
Page 15 of 49
Aadhar connectivity needs presence of banking
correspondents, branches or mobile connectivity
data security challenge due to recent cyber attacks
many bank accounts not linked to Aadhar
It is not a fool proof method of authentication
Way forward
extend Aadhar to all citizens
linking all bank accounts with Aadhar
working with CERT for data security
tackling other operational challenges like data
updation
end to end encryption to ensure information is not
misused or leaked
Aadhar enabled payment system
Aadhar offers a digitally verifiable identity, so they can
exist in a cashless ecosystem
AEPS enables bank customers to access their Aadhar
linked bank accounts through the Aadhar
authentication
customers can withdraw money and transfer funds to
other Aadhar linked bank accounts
it allows payment to merchants without credit or debit
cards
Challenges
failure rate for inter bank transfer is 60%
possibility of transaction failure due to biometric
mismatch are real
devices used for Aadhar authentication could store
pers info, susceptible to a breach
potential misuse of biometric data by private
agencies
current laws and policies are inadequate
Linking Aadhar with public services
promote efficiency
minimise corruption
minimise illegal access to services like fake job cards
for MGNREGA
resources will be cautiously used by public
arrest subsidy loss and help fiscal saving
digitisation in service delivery and streamline
processes
Benami Transactions (Prohibition) Amdt Act,
2016
Loopholes in Benami Transactions Act 1988
Proper implementation machinery
Absence of mechanism to deal in courts
Lack of provision for confiscating property.
Features of the bill
The Act defines benami transactions
Violation can lead to imprisonment up to 7 yrs & fine.
Prohibits recovery of the property by the real owner.
Liable for confiscation by the Govt.
Provides mechanism for legally dealing with the cases
Significance
Long term impacts on real estate industry
Bring transparency in residential market.
Bring down the prices of real estate.
Boost the confidence of lenders.
Real Estate (Regulations & Devp) Act 2016

Introduction.
Law to prot home buyers from immoral developers,
Became operational from 1 May 2017.
Ministry of Housing and Urban Poverty Alleviation
(HUPA) has asked all the states and Union Territories
to implement the Act with letter and spirit.
Features of Act.
Buyers and developers of real estate property can
seek relief by approaching Real Estate Regulatory
Authorities against violation of the contractual
obligations and other provisions of the Act.
Mandatory registration of proj & real estate agents.
The act mandates depositing 70% of the funds
collected from buyers in a separate bank account for
construction of the proj.
Funds could be withdrawn only for constr purposes.
Penalty on developers if the proj is delayed.
Proj developers reqd to disclose the proj details on the
website of the regulator and need to provide quarterly
updates on construction progress.
The Regulatory authorities reqd to dispose of
complaints in 60 days and Appellate Tribunals will be
reqd to adjudicate cases in 60 days.
It makes it mandatory for all builders - developing a
proj where the land exceeds 500 square metre to
register with RERA before launching or even
advertising their proj.
Not doing so will invite up to a max imprisonment of 3
years or fine of up to 10% of the total proj cost.
Developers will have to submit as well as upload proj
details, including approved layout plan, timeline, cost,
and the sale agreement, that prospective buyers will
have to sign to the proposed regulator.
Only developers who fulfil this disclosure clause would
be permitted to advertise their proj to prospective
buyers.
Real Estate Appellate Tribunals to be set up in every
state.
Significance
The act will ensure transparency and accountability in
the real estate sector.
Will help to attract more investments into the real
estate sector and may also open gates for FDI.
This will put a check to the general practice by
developers to divert buyers money to start a new proj
instead of finishing the one for which money was
collected.
Ensure that construction is completed on time.
The law is likely to stabilise housing prices.
It will lead to enhanced activity in the sector, leading to
more housing units supplied to the market.
It will weed out fly-by-night operators from the sector
and channelise investment into it.
Builders will also benefit as the law has penal
provisions for allottees who do not pay dues on time.
Hydrocarbon Exploration & Licensing Policy
Problems with NELP?
Separate licenses for different hydrocarbons.
Overlapping of resources between different contracts.
Unconventional hydrocarbons (shale gas) were
unknown when NELP was framed.
Page 16 of 49
While exploring for one type of hydrocarbon, if a
different one is found, it will need separate licensing,
thus, adding further to the cost.
Contracts are based on profit sharing.
The process of govt approval is a major source of
delays and disputes.
Exploration is confined to blocks which have been put
on tender by the govt.
The current policy regime, in fixing royalties, does not
distinguish between shallow water fields and deep/
ultra-deep water fields where risks and costs are
much higher.
What are key features of HELP?
Single license to explore conventional and
unconventional oil and gas resources.
Gives the investors freedom in pricing and marketing.
Contracts will be based on biddable revenue sharing.
An Open Acreage Licensing Policy will be
implemented whereby a bidder may apply to the Govt
seeking exploration of any block not already covered
by exploration.
A concessional royalty regime will be implemented for
deep water (5%) and ultra-deep water (2%) areas. In
shallow water areas, the royalty rates shall be
reduced from 10% to 7.5%.
Sagarmala Project
Need / Reqmt
Capacity constraints and lack to modern facilities at
Indian Ports elongates the time taken to ship goods in
and out of the country and has held back Indias share
in world trade
Developing rivers as Inland Waterways can also help
save domestic logistics costs too.
Initiatives such as Make in India cannot take off
without better port infrastructure
Sagarmala could boost Indias merchandise exports to
$110 bn by 2025 and create an estimated of 10 mn
new jobs
Logistics cost saving
Sagarmala Project
The Sagarmala Project seeks to develop a string of
ports around Indias coast. The objective of this
initiative is to promote port-led devp along Indias
7500km long coastline.
Three Pillars of Devp
Port-led Development through appropriate policy and
institutional interventions
Port infrastructure enhancement, incl modernisation
and setting up of new ports
Efficient evacuation to and from the hinterland
KEY ACTIVITIES
Port-led industrialisation
Port based urbanisation
Port based and coast based tourism and recreational
activities
Coastal shipping & Inland Waterways Transportation
Ship building, ship recycling and ship repair
Logistics park, warehousing, maritime zones/services
Integration with hinterland hubs
Offshore storage, drilling platforms
Specialisation of ports in certain economic activities
such as energy, containers, chemicals, coal, etc.

Off shore Renewable Energy Projects with base ports
for installations
Modernising the existing ports & devp of new ports
Administrative Framework
National Sagarmala Apex Committee
Provide overall policy guidance
Headed by shipping minister.
Sagarmala Development Company (SDC)
Assist the State level/zone level organisations.
Sagarmala Coordination and Steering Committee
Under Cabinet Secy with Secy of several Ministries
Sagarmala Development Company (SDC)
SDC will identify ports for development projects
Assist the project SPVs
Bidding out projects for private sector participation
Risk management measures for strategic projects
Obtain requisite approvals and clearances
Work as the nodal agency for coord and monitoring of
all the currently identified projects
Prep of detailed master plans for Coastal Eco Zones
Manage the coastal community devp scheme and
fund coastal community development projects
Provide equity support for project SPVs and take up
residual proj that cant be funded by any other means
Advantages
Reduce cost and time for transporting goods,
benefitting industries and export/import trade
Simplifying procedures
Quick, efficient, hassle-free and seamless cargo mov
Sustainable development of the population living in
the Coastal Economic Zone
Emp genr
Tourism
Skill devp
Pradhan Mantri Kaushal Vikas Yojana
Intro
Flagship outcome - based skill trg scheme of the
Union Ministry of Skill Devp & Entrepreneurship.
Skill certification and reward scheme.
Union Cabinet approved PMKVY to provide skills trg
to youth across the country.
Decision taken in Union Cabinet meeting chaired by
PM Narendra Modi in New Delhi.
PMKVY Scheme to be implemented by Union Ministry
of Skill Development and Entrepreneurship through
the National Skill Development Corporation (NSDC).
Will provide skills trg to youth, including class 10 and
12 drop outs
Objective
Enable and mobilize a large number of Indian youth to
take up outcome based skill trg and become
employable and earn their livelihood.
Fund Allocation.
Outlay fund of 1, 500 crore rupees - 1,120 crore to be
spent on skill trg of 14 lakh youth, 150 crore -
allocated for trg of youth from the North-East region.
Key Facts.
Aims to cover about 24 lakh people.
Target associated with Union Govts flagship pgmes
such as Make in India, Digital India, Swachh Bharat
Abhiyan and National Solar Mission.
Page 17 of 49
Will involve soft skills, good work ethics, personal
grooming, behavioural change for cleanliness etc.
Inspection by Sector Skill Councils and the repective
State Govt.
Skill trg undertaken on the basis of demand assessed
on the basis of skill gap studies conducted by the
NSDC for the period 2013-17.
Skill trg based on
Industry led stds aligned to Natl Skill Qualification
Framework.
Also focus on skill trg aligned to Intl stds for
overseas emp in European & Gulf countries etc.
Scholarship for student undergoing trg in high end job
roles.
Trg centres categorised on basis of their infra and
past performance.
Third party agencies will be also deployed to validate
their trg efforts and placement records.
Residential pgme to youths from NE States, Kashmir
Valley, Leh region and LWE affected districts.
Trainees who are successfully trained, assessed and
certified in skill courses will be provided with monetary
reward.
Pradhan Mantri Jan Dhan Yojana
Launched on - 28 August 2014.
Objective.
National mission to bring comprehensive financial
inclusion of all the households in the country.
Under PMJDY, any indl above 10 years age and does
not have bank account can open a bank account
without depositing any money.
To ensure the access to financial services such as
banking / savings & deposit accounts, remittance,
credit, debit cards, insurance and pension in
affordable manner.
targeted to the people belonging to the Below Poverty
Line, but is beneficial to everyone who does not have
a bank account.
Key aspects.
Seeks to ensure access to financial services banking/
savings and deposit accounts, remittance, credit,
insurance and pension in an affordable manner.
Opened with zero balance.
Those who want to get a cheque book will have to
fulfill the minimum balance criteria of respective bank.
Few documents reqd to open acct.
Those who don't have all the documents can open
Small Accounts with banks, the RBI has said.
Small Accounts valid normally for a period of twelve
months have certain limits related to aggregate
credits, aggregate withdrawals and balance.
A Basic Savings Bank Deposit Account or BSBDA, as
per the RBI, includes fwg services :-
Deposit and withdrawal of cash at bank branch as
well as ATMs
Receipt/credit of money through electronic
payment channels or by means of collection/
deposit of cheques.
Benefits Offered.
Interest on deposits
Accidental insurance cover (Rs. 1 lakh)
Life cover (Rs. 30,000) if eligible.
 Page 18 of 49
Access to pension and insurance products. Construction.
Interest rate applicable for Saving Bank Accounts Def manufacturing.
(presently at 4% in most banks) admissible to Electrical Machinery.
accounts opened under PMJDY scheme. Electronic systems.
Account can also be used to receive Direct Benefit Food Processing.
Transfer under which the govt transfers subsidies Info Technology and Business Process Mgt.
directly to the people. Leather.
An overdraft facility permitted after satisfactory Media and Entertainment.
operation for six months. An overdraft up to Rs. 5000 Mining.
is offered by the govt in only one account per Oil and Gas.
household. Pharmaceuticals.
Rupay Debit Card, a domestic debit card introduced Ports and Shipping.
by National Payment Corporation of India, is accepted Railways.
at all ATMs (for cash withdrawal) and at most of the Renewable Energy.
PoS or point-of-sale machines in the country. Roads and Highways.
Achievements Space and astronomy.
Seen a great success, about 21 Crore accounts Textiles and Garments.
opened in just about one and half year - 12.87 crore in Thermal Power.
rural area, 8.13 Crore accounts in urban areas. Tourism and Hospitality.
Despite zero minimum balance, there is 33074.89 Achievements.
crore rupees balance in these accounts with 28.88% After initiation of the pgme in 2015, India emerged, as
accounts opened with zero balance the top destination globally for foreign direct
The govt aims to achieve a comprehensive financial investment (FDI), surpassing USA as well as the
inclusion by August 14, 2018 in two phases. Peoples Republic of China.
In 2015, India recd US$63 billion in FDI.
Between Sep 2014 and Nov 2015, govt recd 1.20 lakh
Make in India crore ($19 billion) worth of proposals from companies
Intro. interested in manufacturing electronics in India.
Initiative launched by the Govt of India 24.8% of smart phones shipped in the country in the
Launched by PM Narendra Modi on 25 Sep 2014 at AprilJune quarter of 2015 were made in India, up
the Vigyan Bhavan. from 19.9% the previous quarter.
Launched to encourage multinational, as well as Demand for electronic hardware expected to rise
national companies to manufacture their products in rapidly to US$400 billion by 2020, India has the
India. potential to become an electronic manufacturing hub.
Campaign originally designed by Wieden Kennedy The govt is targeting achieve net zero imports of
Objective. electronics by 2020 by creating a level playing field
Focus on job creation and skill enhancement in 25 and providing an enabling environment.
sectors of the economy.
Aims at high quality stds for minimising the impact on Skill India
the environment.
Attract capital and technological investment in India.
Campaign & Promotion. Introduction.
Brochures on 25 sectors released. Long-term strategy to address shortage of skilled
Prior to launch, foreign equity caps in various sectors persons and promote faster, inclusive and sustainable
relaxed. growth.
Application for licenses made avbl online and the Skill gap between employment and employability with
validity of licenses incr to three years. 56 percent school drop outs with employers finding a
Various other norms and procedures were also skill shortage of 53 percent.
relaxed. 66 percent (883 million) of Indian population will be in
In Aug 2014, Cabinet of India allowed 49% FDI in the the working age group of less than 35 by 2020
def sector and 100% in railways infra. The def sector according to Twelfth plan.
previously allowed 26% FDI and FDI was not allowed Nodal Agencies.
in railways. National Skill Development Corporation, Ministry of
Sectors. Finance, Ministry of Skill Devp & Entrepreneurship
Make in India focuses on twenty-five sectors of the Funding.
economy. Based on PPP mode. GOI Stake 49%, Industry stake
As per the new Govt Policy 100% FDI is permitted in 51%, Private participation more than govt.
all the sectors, except for space (74%), def (49%) and Elements of Skill Development.
news media (26%). Motivation Trainer and Student
Sectors are: Fresher trg.
Automobiles. Re-Skilling.
Automobile Components. Integration.
Aviation. Recognizing.
Biotechnology. Funding.
Chemicals. Monitoring.

MIS.
Aadhar Card Linkage.
Rational Outlook.
Initiatives.
National Skill Development Mission
National Policy for Skill Devp and Entrepreneurship
Pradhan Mantri Kaushal Vikas Yojana (PMKVY).
Skill Loan scheme.
Rural India Skill.
Challenges.
Magnitude. NSDC reqmt of 12 crore skilled
manpower in 24 key sectors by 2022.
High order skill sets of efficiency, diverse,
geographically different educational and class
backgrounds.
Integration to fix demand-supply gap.
Lack of labour mgt system.
Lack of mobility.
Minimal industry role
Quality of skill development and trg programs at stake
with lack of infra.
Enrollment in Skill development programs needs
awareness among rural masses.
Analysis : Advantages Envisaged.
Skill India Mission projected to improve skills of the
Indian workforce.
Will make skilled labour a competitive advantage
among world nations.
Nearly 833 million of unorganized labor will be trained
and placed in industry.
India will emerge as the skill capital of the entire world
supplying skilled labor force to the developed nations.
The demand for skilled Indians abroad is going to incr
from 2015 after the ageing problem starts in China.
Considering the demographic dividend; India will have
an advantage over China from the year 2015
Boston Consultancy Group (BCG) has predicted that
by 2020 there will be shortage of 47 million working
people in the rest of the world.
India will have a surplus of 56 million skilled people by
2020 as a result of the Skill India campaign
Jt Doctrine of Indian Armed Forces
Introduction.
Unveiled by the Chairman of the chiefs of staff
committee (COSC) and Navy Chief Admiral Sunil
Lanba in presence of Army Chief Gen Bipin Rawat
and IAF Chief B S Dhanoa.
First edition was released around eight years ago.
Aim of the Doctrine.
Providing deeper op synergies among the tri-services
Coherently dealing with all possible security threats
faced by India such as conventional and proxy wars.
Highlights.
Proposes joint trg of personnel
Proposes unified command and cont structure.
Sp tri-service apch to modernise the tri- services.
Salient Aspects.
Higher Def Org will facilitate inter-Service coord in plg,
execution of ops and force plg.
Facilitates est of a broad framework for the conduct of
ops across all the domains (land, air, sea, space and
cyber-space).
Page 19 of 49
Instability and volatility emanating in Indias extended
and imdt neighbourhood remains a priority.
Transnational threats posed by State and Non-State
sponsored terrorist orgs pose a danger to regions
beyond Indias primary theatres.
In the case of a war, the document calls for joint
working of the land, air and naval cdrs to jointly
formulate and implement war plans to ensure a well-
oiled fighting machinery.
Integration of the layered hierarchies of the national
security structures to reap most out of avbl expertise.
Pushes for having an Integrated Theatre Battle as
the guiding philosophy for evolution of war fighting
strategies to ensure decisive victory across the entire
spectrum of conflict in varied geographical domains.
Called for coord of agencies like RAW, Intelligence
Bureau and Intelligence org of the para-mil forces as
part of the Joint Intelligence Committee under the
National Security Adviser.
Annual Report of Def Ministry
Highlights
CPEC passing through PoK challenges Indian
sovereignty.
Taking note of restructuring of PLA, the Defence
Ministry report reiterated Indias support for freedom
of navig and commerce, based on international laws
in the contentious South China Sea.
India undertook various activities, incl coop in the oil
and gas sector, with littoral states of South China Sea.
India believed that states should resolve disputes
through peaceful means without threat or use of force
and exercise self-restraint.
Although the (Pakistan) military had made efforts to
improve the security situation in the country, it had
avoided taking action against jihadi and terror outfits
that target Pakistans neighbours.
Support to such groups persisted despite ongoing
efforts by the international community, including India,
to list the head of the terrorist group Jaish-e-
Mohammed, Masood Azhar as an international
terrorist.
Shekatkar Committee Report
Aim:
To recommend measures to enhance the combat
capabilities of the armed forces and re-balance the
overall defence expenditure.
The overall aim of the committee is to ensure combat
capabilities Indian armed forces and enhance their
potential with a better teeth-to-tail combat ratio, within
budgetary constraints.
It also aims at ensuring leaner and cost-effective
fighting forces of India.
Background:
The committee was constituted owing to the present
revenue component (day-to-day costs/salaries) in the
defence budget.

The revenue component usually outstrips the capital
outlay every year and leaves a very little for new
modernisation projects for the armed forces.
Since the 1999 Kargil conflict, Union Government is
trying to follow a policy of `save and raise in order to
improve combat capabilities without manpower
increases.
For this purpose govt is focusing on modernisation &
indn of cutting-edge technologies, for optimisation of
manpower.
Major Recommendations:
Capital expenditure:
Roll-on defence budget must have enough capital
expenditure available for modernisation.
It is against the present practice of surrendering
unspent capital budget at the end of each financial
year.
Performance audit:
It must be conducted of non-combat organisations
under the Defence Ministry.
It must include those dealing with defence estates and
accounts, Director- General of Quality Assurance,
Ordnance Factory Board (OFB), Defence Research
and Development Organisation (DRDO) and National
Cadet Corps (NCC).
Downsizing or rationalisation of manpower: It will lead
to significant savings.
Joint services war college: It must be established for
training middle-level officers.
Reduce deployment of active-duty soldiers in
avoidable postings: They will be replaced by retired
officers and jawans in the running of NCC.
Comprehensive reforms in the running of NCC:
Transfer of NCC out of the Defence Ministry to the
HRD Ministry. NCC can be run by re-employed or on-
contract ex-service personnel.
Steps Taken:
Govt has accepted most of the recommendations
If recommendations of committee are implemented
over the next five years, government can save up to
Rs. 25,000 crore from the current def expenditure.
Jt Ex
India - China
Hand - in - Hand
Loc : Aundh Military Camp, Pune.
Aim : Acquaint both the Armies with each others
operating procedures in the backdrop of CT envt.
The joint trg will also help in upholding the values
of Peace, Prosperity and Stability in the region.
Sino - Indian Cooperation 2016
Date : 19 Oct 2016
Loc : Eastern Ladakh
Ex on Humanitarian Aid and Disaster Relief
India - Bangladesh
The Sixth India-Bangladesh Joint Military Exercise
SAMPRITI-2016 commenced at Bangabandhu
Senanibas, Tangail recently.
Main focus was on Counter-Terrorism Operations in
mountainous and jungle terrain under the United
Nations Mandate.
Page 20 of 49
SAMPRITI series of bilateral exercises is one of the
major bilateral defence cooperation initiatives between
India and Bangladesh.
India - Nepal
Indo-Nepal Joint Military Exercise Surya Kiran-X
commenced at Army Battle School, Saljhandi, Nepal.
It was the tenth in the series of such exercise between
the two nations.
The Surya Kiran series of Exercises are being
conducted annually, alternatively in Nepal and India.
In the series of military training exercises undertaken
by India with various countries, Surya Kiran series
with Nepal is the largest in terms of troops
participation.
India - Srilanka
The fourth edition of the Indo-Sri Lankan military
exercise MITRA SHAKTI 2016' culminated recently at
Sinha Regimental Centre, Ambepussa.
The focus was on enhancing inter-operability while
carrying out Counter Insurgency (CI) and Counter
Terrorism (CT) operations under a UN mandate.
Significance of Military exercises
The joint Military exercises provide an opportunity to
the involved armies for greater cultural understanding,
sharing mutual experiences and strengthening mutual
trust and co-operation.
These enhance defence co-operation and relations
between the two nations.
These are considered as the step towards taking
traditional friendship between the nations to greater
heights.
India - Russia
Intro
Indo-Russian naval ex held in Bay of Bengal
December 14-21, 2016. Eight-day naval exercise
Aim
Incr interoperability between two Navies
Devp a common understanding of procedures for
maritime security ops.
Focus
Anti-submarine warfare,
air def drills,
surface firings,
Visit Board Search Seizure (VBSS)
Tactical procedures.
Conduct. Conducted in two phases:-
Harbour Phase. Table top exercises, plg
conferences and professional interaction.
Sea Phase. Various facets of fleet operations such
as air def, drills, boarding operations, anti-surface
and anti-air gun firings, anti-submarine exercises
and ASW rocket firing.
India - Mongolia
The 12th iteration of Indo-Mongolian Military Exercise
Nomadic Elephant was conducted at Vairengte from
April 5-18, 2017, according to the Indian Army.
The elite Counter-Insurgency and Jungle Warfare
School of the Indian Army is located at Vairengte in
Mizoram.
The Mongolian Army was represented by nine officers
and 36 soldiers of the elite 084 Special Forces Task
Battalion.
The Indian Army was represented by a contingent of
three officers, four JCOs and 39 soldiers of the
Jammu & Kashmir Rifles, according to the Army.

The Army said that the exercise was aimed at training
the troops in counter insurgency & counter terrorism
operations under the United Nations mandate.
The joint training would also lay emphasis on
conducting operations by a joint subunit, comprising of
troops from both the armies, in adverse operational
conditions aimed at enhancing the interoperability
between the two armies, according to the Indian Army.
TROPEX
Intro
Indian Navys Annual Theatre Readiness
Operational Exercise (TROPEX) 2017
Conducted off the Western Seaboard.
Month long ex
Ships and ac of Western and Eastern Naval Comd,
assets from IAF, Indian Army and Indian Coast
Guard participated.
The last edition TROPEX conducted in Jan 2015
Has grown in scale and complexity over the years
Aim.
Testing combat readiness of the combined fleets of
the Indian Navy and assets of Indian Army, Indian
Air Force and Indian Coast Guard.
Strengthen inter-operability and jt ops.
Conduct. Harbour and At Sea encompassing the
various facets of war-fighting and combat operations.
Participation.
Major surface combatants and air assets of Indian
Navy
Aircraft carrier Vikramaditya,
Nuclear submarine Chakra,
Landing Platform Dock (LPD) Jalashwa.
Recently commissioned destroyer Chennai
P-8I long range maritime reconnaissance and anti-
submarine warfare aircraft.
SU-30 MKI, Jaguars, AWACS, IL-78 Flight
Refueling Aircraft of IAF
Infantry Units of Indian Army.
DPP 2016
Aim.
To ensure timely procurement of def (mil) eqpt,
systems, and platforms reqd by the armed forces
through optimum utilisation of allocated budgetary
resources.
Focus of DPP 2016
Remove bottlenecks in the procurement process.
Rationalise various aspects of def procurement.
Streamline def acquisitions
Give a boost to indigenisation through Make in India
initiative.
Key Changes.
A new category to promote domestic manufacturing.
Including govt funding for R&D.
Recognition of Micro, Small and Medium Enterprises
in technology development.
Highlights of DPP 2016
Capital Acquisitions Schemes.
Buy Scheme. Outright purchase of eqpt and
procurements. Further categorised as
- Buy [(Indian- IDDM (Indigenously Designed
Developed and Manufactured)]
- Buy (Indian)
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- Buy (Global).
Buy and Make Scheme :-
- Buy and Make
- Buy and Make (Indian).
Make Category Scheme.
- Devp of long-term indigenous def capb and
procurements.
- Empowers DAC to take fast-track route in order
to acquire weapons
Priority for Procurement of Def Eqpt:-
Buy (India-IDDM).
Buy (Indian).
Buy and Make (Indian).
Buy and Make.
Buy (Global).
Buy (India-IDDM)
Seeks to boost indigenous prod and procurements
min 40% to be sourced locally for content.
Will promote domestic manufacturing, including
govt funding R&D and recognition of the Micro,
Small and Medium Enterprises (MSMEs) in
technology development.
Significance.
Effort to reduce Indias def imports (65% of total def
procurement).
Create a strong mil industrial complex within the
country in line with the Make in India initiative.
Welcome greater role for private sector and the focus
on Micro, Small and Medium Enterprises (MSME).
Evolution of MoD-private industry relationship from
transaction to a partnership model.
Evidence that Govt firmly focused on developing
indigenous manufacturers.
G-20
Introduction
International forum for govt and central bank
governors from 20 major economies
The G20 started in 1999 in the aftermath of the Asian
financial crisis.
Summit created as a response to the financial crisis of
2007-2010.
Relevance of G-20
G20 represents 85% of global GDP, 80% of
international trade, 65% of worlds population.
Setup Global Infrastructure facility and Global
Investment Hub in 2014 to coord infrastructure
investment
It can provide a political platform to push much
needed reforms
Able to bring consensus betn developing and
developed economies
Global platform to recon transparency stds for the
purpose of combating money laundering and tax
evasion
G20 Annual Summit (Hamburg, 7-8 Jul 2017):
Intro : 12th meeting of G-20
Theme : Shaping an interconnected world
Highlights
Sharing the Benefits of Globalisation
- Trade and Investment
- Excess Capacities

- Sustainable Global Supply Chains
- Harnessing Digitalisation
- Boosting Employment
Building Resilience
- Resilient Global Financial System
- International Financial Architecture
- International Tax Cooperation and Financial
Transparency
- Safeguarding against Health Crises and
Strengthening Health Systems
Improving Sustainable Livelihoods
- Energy and Climate
- Leading the Way Towards Sustainable Devp
- Womens Empowerment
- Towards Food Security, Water Sustainability
and Rural Youth Employment
- Resource Efficiency and Marine Litter
PM Modis 11 Point Agenda on Counter-Terrorism
Deterrent action against nations sp terrorism must be
made compulsory, they should be barred from G20.
G20 nations must exchange lists of suspected
terrorists and their supporters.
Legal processes such extradition should be simplified
and expedited.
Comprehensive Convention on International Terrorism
should be adopted soon.
UNSC resolutions and other international processes
should be effectively implemented.
G20 nations should give emphasis to de-radicalisation
programmes and exchange best practices.
Terror financing should be curtailed by means of
Financial Action Task Force (FATF) and other means.
Weapons and Explosive Action Task Force (WEATF)
should be constituted on lines of FATF so that sounrce
of weapons to the terrorists is stopped.
G20 nations should cooperate in cyber security, with a
focus on terrorist activities.
National Security Advisors on Counter Terrorism
mechanism should be constituted.
Way ahead for India
Using G-20 platform, India can voice concerns on fwg
Black money and money laundering
Measures against tax evaders
Equitable quota reforms in multinational financial
institutes like IMF
Global terrorism
BRICS
Introduction
Concept of BRIC (Brazil, Russia, India and China)
was first articulated by Goldman Sachs in 2003
2006 - BRIC Concept adopted by the Four Countries
as Part of Foreign Diplomacy
2011 - South Africa Joined BRIC to Make it BRICS
8th BRICS Conf
Conduct.
Date : 15 - 16 October 2016
Loc : Benaulim, Goa, India.
Meetings with other regional heads of state org on
sidelines of the Summit.
Theme - "Building Responsive, Inclusive and
Collective Solutions.
Agenda
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Terrorism.
Outreach between BRICS & BIMSTEC.
Regional coop Meeting of heads of state of Sri
Lanka, Bangladesh, Myanmar, Nepal, Thailand &
Bhutan on sidelines of Summit
Significance.
Diplomatic Victory post Uri TII.
- India an opportunity to put forth its new
assertive approach in tackling terrorism.
- Significant in backdrop of changing geopolitical
configurations to gauge each member countries
posn in the current sit.
Terrorism.
- PM Narendra Modi stressed on the menace of
terrorism terrorism was the most serious threat
to the gps economic prosperity.
- India was successful in incl growing menace of
terrorism in the Goa Declaration, which called
for expedited adoption of Comprehensive
Convention on International Terrorism (CCIT)
- Indias PM Narendra Modi held bilateral
meetings with leaders of BRICS member
countries with focus on addressing pressing
international and regional challenges Terrorism
being the chief among those challenges.
Economy/ Trade.
- Took fwd process of creating an emerging
market network to enhance global governance
and economic interaction among countries.
- BRICS New Devp Bank (NDB) started its
lending and borrowing activities.
- Progress on economic integration between the
member countries with the launch of gp-specific
business council and trade fair and progress in
aligning non-tariff barriers, customs coop and
Exim Bank coor.
BRICS BIMSTEC Outreach.
- The first BRICS outreach to BIMSTEC to link
South Asia to SE Asia was done during this
summit.
- BIMSTEC countries accepted BRICS outreach.
- Demonstrated in the attendance of heads of
state of Sri Lanka, Bangladesh, Myanmar,
Nepal, Thailand & Bhutan on sidelines of
BRICS Summit.
Goa Declaration. Key Highlights
World Security
- Strongly condemned terrorism in all its forms,
- Committed to incr effectiveness of the UN
counter terrorism framework.
- Called for adaptation of Comprehensive
Convention on Terrorism (CCIT) in the UN
General Assembly
- Pointed to the need to counter the Islamic State
- Called for all nations to counter radicalism, and
block sources of financing international
terrorism, including through organised crime by
means of money laundering, drug trafficking,
criminal activities
- Called for resolution of the Syrian civil war
SDGs Welcomed adoption of 2030 Agenda for
Sustainable Devp and its Sustainable Devp Goals.
UN Reforms
- Reiterated urgent need to reforms of the United
Nations,

- including International UN Security Council to
incr representation of developing countries.
New Devp Bank (NDB)
- BRICS members satisfied with the approval of
the first batch of loans NDB
- Particularly in renewable energy projects in
BRICS countries.
BRICS Contingent Reserve Arrangement (CRA):
- CRA, established in 2015 by BRICS member
nations
- Now operational, central banks of the
grouping's members are "fully ready to carry
out" the transactions.
- It is a framework for the provision of sp through
liquidity and precautionary instruments in
response to actual or potential short-term
balance of payments pressures.
- CRA is gen seen as a competitor to the IMF
- Along with the NDB is viewed as an example of
increasing South-South coop
BIMSTEC
Bay of Bengal Initiative for Multi-Sectorial Technical
and Economic Coop
Significance of BIMSTEC to India:
India-Myanmar-Thailand Highway which is likely to be
completed by the end of 2019.
Kaladan Transit Facility which is aimed at linking
Indias Haldia port to Sittwe in Myanmar to provide
alternative connectivity to Indias North-East region via
Myanmar.
BCIM Corridor which aims to connect Kolkata with
Kunming, the capital of Yunnan (China) through
Dhaka (Bangladesh) and Mandalay (Myanmar).
Gains for India from BRICS:
Indias position on issues like climate change,
financial rules and trade rules could benefit from the
collective stance of the BRICS
Intra-BRICS market integration could insulate the
BRICS member countries like India from the global
economic slowdown
BRICS is seen as a platform for sharing each others
development experiences and could also be
instrumental in defining new rules for health care,
education and patents for the people of the
developing countries, according to analysts.
Challenges Facing BIMSTEC:
Challenges facing BIMSTEC include issues like
unsettled borders, refugee issues and ethnic tension
among member states.
These include the Rohingya problem between
Myanmar and Bangladesh, Nepalese refugees in
Bhutan & border problems betn Myanmar & Thailand.
Focus Areas of Summit :
Regional connectivity
Terrorism
Devp of region
Coop in various sectors
Promoting people to people contacts and tourism
Key Highlights of Document
Countering Terror
Condemned terror and called for strong measures
Page 23 of 49
Called for early ratification of the BIMSTEC
convention on coop in combating international
terrorism
Coop for envt
conservation of mtn ecosystems
agreed on implementation of Paris agreement on
climate change
Enhancing people to people contact
proposed est of BIMSTEC Buddhist circuit and
heritage sites
Fisheries and Food security
Eliminating poverty
Trade
Exploring other areas of devp like aquaculture,
hydrography, seabed mineral exploration etc
Regional Comprehensive Eco Partnership
Gen.
RCEP is a proposed free trade agreement (FTA)
between the ten member states of ASEAN.
Brunei, Cambodia, Indonesia, Laos, Malaysia,
Myanmar, the Philippines, Singapore, Thailand,
Vietnam) and the six states with which ASEAN has
existing free trade agreements (Australia, China,
India, Japan, South Korea and New Zealand).
Viability.
Potentially incl more than 3 billion people or 45% of
the world's population, and a combined GDP of about
$21.3 trillion, accounting for about 40 percent of world
trade.
Continued growth, particularly in China, India and
Indonesia could see total GDP in RCEP grow to over
$100 trillion by 2050, roughly double the project size
of TPP economies
In 2017, prospective RCEP member states accounted
for a population of 3.4 billion people with a total GDP
of $49.5 trillion, approximately 39 percent of the
world's GDP with combined GDPs of China and India
making up more than half that amt.
On January 23, 2017, US President Trump signed a
memorandum that stated withdrawal of the US from
the TPP, a move which is seen to improve the
chances of success for RCEP.
Aim.
Achieve a modern, comprehensive, high-quality and
mutually beneficial economic partnership agreement
Est an open trade and investment envt in the region to
facilitate the expansion of regional trade and
investment.
Boost economic growth and equitable economic
Devp, advance economic co-operation.
Broaden and deepen integration in the region through
the RCEP
Salient Aspects.
Scope. trade in goods, trade in services, investment,
economic and technical co-op, intellectual property,
competition, dispute settlement and other issues.
Jurisdiction. Broader and deeper engagement with
existing ASEAN+1 FTAs.
Aim. High level of tariff liberalisation, through building
upon the existing liberalisation levels between
participating countries.

Economic Advantages.
Comprehensive, of high-quality and consistent with
WTO rules and all service sectors
otion, protection, facilitation and liberalisation.
Significance for India.
Trade.
The RCEP member nations form a major
destination for Indian investment.
India is looking towards the RCEP member nations
to participate in its planned infrastructure
expansion.
The RCEP member nations are also keen on
human resources from India to develop sectors like
information technology, construction, services and
transportation
Diaspora.
Indians form a large expatriate community in the
RCEP member nations.
RCEP member nations form preferred educational
destination for Indian students to pursue higher
studies.
Def Coop. Indian Navy has conducted series of naval
exercises with number of RCEP member nations
thereby expanding Indias reach in the region. India
has often deployed warships in the SE Asian region
for HADR, SAR and anti-piracy patrols.
Regional Security.
The RCEP member countries anticipate India to
offer security guarantees to the region and
welcome defence coop agreements with India, in
light of her blue water naval capabilities.
With the rise of radicalisation and extremism in the
region, Indias secularist credentials and policy of
seeking and securing regional stability is valued by
countries of the region.
Gulf Coop Council (GCC)
Gen.
Regional inter govt political and economic union
consists of all Arab states of the Persian Gulf, except
for Iraq.
Member states - Bahrain, Kuwait, Oman, Qatar, Saudi
Arabia, and UAE.
The Charter of GCC signed on 25 May 1981.
Discussions regarding the future membership of
Jordan, Morocco, and Yemen.
Aims of GCC.
Formulating similar regulations in religion, finance,
trade, customs, tourism, legislation, and adm.
Fostering scientific and technical progress in industry,
mining, agriculture, water and animal resources.
Establishing scientific research centres.
Setting up joint ventures.
Unified Military (Peninsula Shield Force).
Encouraging coop of the private sector.
Strengthening ties between their people.
Establishing a common currency.
Global Economic Significance.
Gulf region has some of the fastest growing
economies in the world, mostly due to oil boom.
Member nations possess massive FOREX reserves.
Region is an emerging hotspot for events, including
the 2006 Asian Games in Doha, Qatar.
Page 24 of 49
Global Security Significance.
Religious and physical proximity to Middle East,
hence critical space for all global powers to safeguard
their energy as well as diplomatic interests.
SLOCs. 70% of the worlds energy reqmts pass
through Gulf of Aden, Straits of Hormuz and Bab-el-
Mandeb waterways.
Significance for India.
Trade.
GCC is Indias second-largest trading partner.
Major destination for Indian investment.
India is looking towards the GCC countries to
participate in its planned infrastructure expansion.
GCC countries keen on human resources from
India to develop sectors like IT, constr, services
and transportation.
Oil/ Energy.
The GCC countries provide 45% of Indias crude
oil imports
Indias energy security and trade are linked with
security of the Straits of Hormuz and Bab-el-
Mandeb.
Diaspora.
Indians form the largest expatriate community in
the GCC countries
India receives around 52 per cent of its
remittances from its expatriate community in the
GCC countries
Def Coop. Indian Navy has conducted series of naval
exercises with number of GCC countries. India has
also deployed warships in the Gulf of Aden to carry
out anti-piracy patrols.
Regional Security.
GCC want India and other Asian big powers to
offer security guarantees to the region
GCC views India and China to be more reliable
interlocutors than the West.
Indias policy of seeking and securing regional
stability valued by the GCC and other countries of
the region.
Diplomatic Engagement. Closer engagement with
these countries will give diplomatic strength to India in
the fwg:-
Permt membership in UN Security Council.
Countering Chinese hegemony.
Applying leverage against Pakistan.
Org of Islamic Coop (OIC)
Gen.
OIC is an international org founded in 1969
Org states that it is "the collective voice of the Muslim
world"
Works to "safeguard and protect the interests of the
Muslim world in the spirit of promoting international
peace and harmony".
Has permt delegations to UN and the EU.
Official languages of the OIC are Arabic, English, and
French.
Member States.
The OIC has 57 members, 56 of which are also
member states of the United Nations.
Few countries with significant Muslim populations,
such as Russia and Thailand, sit as Observer States,

The collective population of OIC member states is
over 1.6 billion.
Goals of OIC.
Preserve Islamic social and economic values.
Promote solidarity amongst member states
Incr coop in social, economic, cultural, scientific, and
political areas; uphold international peace and
security.
Advance education, particularly in the fields of science
and technology.
Dispute with India.
India has pushed against the OIC for referring to
disputed areas of Kashmir as "occupied by India".
Although 13.4% of India's population is Muslim, it has
pushed for the OIC to make an exception to accept
India as a member,
Pakistan opposes India's entry into the OIC, stating
human rights issues and problems faced by the
Kashmiri people in Indian-held Kashmir (IHK).
Shanghai Coop Org (SCO)
Gen.
On 15 Jun 2001, SCO was established in Shanghai
Main obj - discuss issues such as border control and
terrorism.
Economic issues have also been added to its agenda
recently.
The grouping changed its name from Shanghai Five
following its decision to admit Uzbekistan.
Not a bloc or a closed alliance, nor was it directed at
any country or gp of countries.
Members.
China, Russia, Kyrgyzstan, Kazakhastan, Tajikistan
and Uzbekistan.
Observers. India, Pakistan, Iran and Mongolia.
Objs.
Regional security.
Economic and humanitarian coop.
Fight against terrorism was described as the priority
task for the SCO.
Regional Economic Coop.
Coop in Fuel Energy and Tpt.
Significance of the SCO.
Defence pact between Russia and China.
Balancing the growing US presence in the region.
Safeguarding common security.
Focus on terrorism.
Significance of India as an Observer.
Strategic significance.
Economic benefits.
India accords highest priority to developing relations
with Central Asia.
Putting pressure on Pakistan to eliminate terrorism.
Significant for India's energy security.
Implications of India Joining SCO.
Gains.
Economic Gains as India becomes a part of the
Trans-Asian infra linkages and energy delivery
systems.
Opens up energy and trade transit routes between
Russia and China passing through Central Asia,
Serves as a platform for India to discuss trade
through Iranian ports of Chabahar & Bandar Abbas
Page 25 of 49
Indias Trade Initiatives with the Eurasian EU could
become More Fruitful.
The SCO could become the guarantor for projects
like TAPI and IPI (Iran-Pak-India) gas pipelines that
had major security concerns for India.
India would Gain Access to Membership of SCO
Panel on Afghanistan and Other Counter-Terrorism
Structures.
The SCO would give India a fuller Asian identity in
the political context.
Help India in diversifying its relations with China
SCO could become a key contact point between
India and Pakistan to address their differences.
Provides India the counter-balance to bridge gap in
a polarised world
Risks. The SCO could become yet another forum
where the differences between India and Pakistan
could hinder the smooth functioning of the org.
Challenges before SCO.
Evolving into an org with international mechanisms on
par with the ASEAN or APEC.
Organisational reforms, enhancing the role and
independence of the Secretariat.
SCO also needs to make full use of the economic
potential of its members.
Non Alignment Movement
Introduction:
Three Basic Principles of NAM
Disarmament
Autonomy of decision mkg for developing countries
Development.
Need for Redefinition of Basic Goals of NAM
Threats to the Security of Developing Nations
Need for a Polycentric Balance of Power
NAM Members can Work Out a Common Strategy in
Multilateral Trade Negotiations
Relevance of NAM will Depend on the Adoption of the
Movement to the Context of Current Circumstances
Relevance of NAM:
Political Importance
Bargaining Power Decreased
Current Relevance of NAM the Same as During the
Cold War
Relevance of NAM to India:
International Balance of Power
Advance Indias Global Role
Polycentric Approach
Arguments in Favour of NAM:
Largest Forum for Developing Countries
New Barriers in the World Make NAM More Relevant
Political Relevance:
Crucial Role in International Arena
Countervailing Force
Alternative View
Economic Relevance:
More Economically Viable Than Ever Before
Size of the Market Advantageous
Significance of South-South Cooperation for
Energy Security
Strengthening International Institutions
Arguments Against NAM:
Product of Cold War

Diminishing Commitment
NAM Summits are Talking Shops
Vulnerable to Big Power Influence
Failed as an Effective Group
17 Summit of the NAM (Margarita, Venezuela,
September 13-18, 2016):
Theme of the Summit Peace, Sovereignty and
Solidarity for Development
India Represented by the Vice President Hamid
Ansari
Highlights of Indias Vice Presidents Address at the
NAM Summit:
Anti-terrorism Push:
- India echoed for "concrete action" to fight
against terrorism and asked the 120-nation
group to set up a mechanism to ensure
effective cooperation in combating the menace.
- Vice President called terrorism as one of the
"most egregious sources of human right
violations today" and condemned its use as an
instrument of state policy.
UN reform
- Vice President strongly flagged the issue of UN
reforms. He urged for use the forthcoming 71st
UNGA to ensure that discussions in the Inter-
Governmental Negotiations move forward.
- Noting that the global landscape has changed
since 1961, when NAM was formed, Vice
President stressed that the values and
principles on which the foundations of the
movement, namely
"respect for sovereignty"
"peaceful settlement of disputes" and
"international cooperation" - are as relevant
today as they were at the time of the first
summit.
Sustainable development
- Urged member states to ensure wholehearted
and holistic implementation of the SDGs and
remain attentive to any effort to modify or distort
Agenda 2030.
- He called Sustainable development as the
bedrock and the highest aspiration of NAM
countries' efforts.
Peace and sovereignty
- He asserted that peace and sovereignty are a
prerequisite for development; a peaceful global
environment is essential for development and
for development cooperation.
ASEAN & EAS
ASEAN:
ASEAN - 10 Member Group Formed in 1967
Members include Thailand, Indonesia, the Philippines,
Malaysia, Singapore, Brunei, Vietnam, Cambodia,
Laos and Myanmar.
ASEAN Dialogue Partners: China, Japan, South
Korea and India
Headquarters: Jakarta (Indonesia).
Treaty of Amity and Cooperation (TAC)
Based on security concerns for the region.
A member has to accede to TAC to join the group.
Page 26 of 49
The main intention is to avoid conflict or
confrontation.
ASEAN + 3: ASEAN + China, Japan and South Korea.
30th ASEAN Summit (Manila,Philippines,26-29Apr 17:
Theme: Partnering for Change, Engaging the World
Obj derived form theme:
A people-oriented and people-centred ASEAN
Peace and Stability in the region
Maritime security and cooperation
Inclusive, innovation-led growth
ASEANs resiliency
ASEAN: a model of regionalism, a global player
Highlights of the Chairmans Statement:
Focussed on Regional Comprehensive Economic
Partnership (RCEP) and uplifting the economies of
lesser developed ASEAN nations.
Noted the improved cooperation between ASEAN
and China.
Welcomed the progress to complete a framework
of the code of conduct in the South China Sea by
mid-2017. The code of conduct is a non-binding
document that urges self-restraint and resolution of
disputes through direct negotiations.
Welcomed the operationalisation of the Guidelines
for Hotline Communications among senior officials
of the Ministries of Foreign Affairs of ASEAN
members and China in response to maritime
emergencies.
Extended ASEANs full sp for the denuclearisation
of the Koran Peninsula, and for concerned parties
to explore all avenues for dialogue.
Importance of ASEAN for India
Economically: India is one of the strategic partners of
ASEAN. With a total population of 1.8 billion and a
combined GDP of $3.8 trillion, ASEAN and India
together form an imp economic space in the world.
Geopolitically
India expects to benefit geopolitically as well from
its rejuvenated affinity with ASEAN and other
regional
countries.
India has attempted to demonstrate its ability to
play a dynamic role in the region. India sent a
strong signal to China by mentioning the
importance of maintaining freedom of navigation in
the South China Sea.
Maritime Importance: Freedom of navig in the South
China Sea is essential for India in order to ensure that
its sea-bound trade continues uninterrupted.
Sea lanes are life lines of global trade. India
supports freedom of navigation based on United
Nations on the Law of the Sea (UNCLOS).
ASEAN is important for extending cooperation in
areas such as maritime security including freedom
of navig, drug trafficking and cybercrime.
Security Aspect: There are diverse areas on which
India and ASEAN are jointly working, e.g. non-
traditional security threats such as terrorism, human
and drug trafficking, cybercrimes and piracy in the
Malacca Straits, etc.
Connectivity Aspect
The envisaged highway (under construction) and
rail connectivity to energy giants like, Nepal and
Myanmar and further to Thailand, will improve
people to people contact, thus enhancing the
sphere of economic coop and interdependence.

The highly underdeveloped NE States of India,
which lie at the gateway to a region offering
unlimited economic opportunities, will witness an
economic transformation.
Energy security
ASEAN countries, particularly Myanmar, Vietnam
and Malaysia can potentially contribute to Indias
energy security.
Oil and natural gas deposits in the South China
Sea region.
East Asia Summit (EAS)
The East Asia Summit is the premier leaders-led
forum in the Asia-Pacific. Since its inception in 2005, it
has played a significant role in the strategic,
geopolitical and economic evolution of East Asia.
Apart from the 10 ASEAN Member states, East Asia
Summit incl India, China, Japan, Republic of Korea,
Australia, New Zealand, United States and Russia.
India, being a founding member of the East Asia
Summit, is committed to strengthening the East Asia
Summit and making it more effective for dealing with
contemporary challenges.
Imp Issues Highlighted by PM Modi during the EAS
Recommending strongest action against those states
that use terrorism as an instrument of state policy and
outlining Indias principled stand on the South China
Sea issue.
For Indias principled stand on the South China
Sea issue, he said that the lanes of communication
passing through the sea were main arteries of
global merchandise trade.
India supports freedom of navigation and over
flight, and unimpeded commerce, based on the
principles of international law, as reflected notably
in the UNCLOS.
UN Framework Convention on Climate
Change
Implications of the Paris Climate Agreement:
For the Earth: First step towards tackling the adverse
effects of global warming
Implications for Global Politics:
Tech-innovative economies like the US and Japan
were likely to do well.
The Agreement is also significant for the poor
countries which have abundance of wind and sun
as renewable energy will be in the forefront.
The Paris Agreement signalled a shift from
polluting fossil fuels like coal and oil to renewable
energy, and adoption of rational policies and
innovative technology
Oil producing countries like Russia and Saudi
Arabia could lose some power globally
Business:
Global markets would expand for companies
dealing with renewable energy & energy efficiency.
Innovators and venture capitalists were likely to
rush towards the energy industry.
The Paris Climate Agreement delivered on all key
point and the markets now had the clear signal
they need to scale up investments that would genr
low-emissions, climate-resilient development
Implementation:
Page 27 of 49
Should now be the focus of all countries
Positive implications for all the Sustainable
Development Goals and the world was poised to
enter a new era of opportunity
The UN would assist Member States and society
at large at every stage of the implementation
Implications for India:
India needs huge efforts to implement the key aspects
of the Paris Climate Agreement, particularly the
progressive review of goals, monitoring frameworks,
and the Common but Differentiated Responsibilities
(CBDR) to consider national circumstances.
The key aspect would be the way in which Indias
national circumstances would be interpreted for
funding, technology transfer, or capacity-building, as
India is a large country with high GDP and millions
living in poverty
For India, the implications would be harsh in the
context of vulnerability and adaptation in view of the
regular cycle of droughts, floods and loss of
livelihoods
India has also to deal with the sharing of the
remaining carbon space and to ensure that equitable
sharing of the development space is introduced during
the reviews
India is required to periodically report on its targets &
performance under the Agreement & has to update its
Nationally Determined Contributions by 2020
The Central Govt could consider enacting a stronger
climate change law which includes national policies on
energy, buildings, transport, water, agriculture and
urban development
In order to provide human services in a sustainable
manner to its population, India needs an economic
and domestic transformation on a very large scale
The Paris Agreement also gives India an opportunity
to develop an alternative model of sustainable
development, which is not totally dependent on fossil
fuels
Indias Apch towards Mtg Its Paris Agreement Tgts:
India has pledged to reduce carbon emissions by 33%
to 35% by 2030 from the 2005 levels.
India has three flagship pgmes AMRUT, Swachh
Bharat Mission, and Urban and Smart Cities Mission.
AMRUT - 107.53 million tonnes by 2021
Swachh Bharat Msn - 5.35 million tonnes by 2021
Urban & Smart Cities Msn - 4.58 million tonnes
Planned urbanisation could help tackle climate
change through a comprehensive and cogent plan by
working closely with city govt and administration
Marrakech Action Proclamation (CoP 22)
Loc - Marrakesh, Morocco)
Date - 7-18 Nov 2016
The countries stressed on strengthening cooperation
to eradicate poverty, ensure food security and to take
strict action to deal with climate change challenges in
agriculture.
Countries also demanded support and agreement of
those countries which are most vulnerable to the
impacts of climate change, to enhance their adaptive
capacity, strengthen resilience & reduce vulnerability.
The countries also called for an incr in finance, from
the developed to the developing countries both, for
climate projects, in order to improve capacity & tech.
In the Marrakech Proclamation, developed country
reaffirmed their $100 billion mobilisation goal per year

by 2020 to support climate action by developing
countries.
All countries also called on all non-state actors to join
them for immediate and ambitious action and
mobilisation, building on their imp achievements.
Significance of the CoP 22 Summit:
Member countries reaffirmed their commitment to
climate action under the Paris Agreement
It would be untenable for the U.S., with a quarter of all
cumulative fossil fuel emissions, to go back on its
promise to assist vulnerable and developing nations
with climate funding, technology transfer and capacity-
building under Donald Trumps presidency.
The biggest takeaway from Marrakesh, however, is
that, unlike in the past, the developing countries are
not going to be bogged down by the stingy ways of
the industrialised countries.
The Marrakech Action Proclamation laid emphasis on
the need for all countries to work in tandem to reduce
the gap between their intended reduction of carbon
emissions and what was required to keep the increase
in global average temperature well below 2 degrees
Celsius this century.
Developed countries reiterated their commitment to
raise $100 billion annually in climate funding by 2020.
However, very little new money was pledged.
A group of 45 most vulnerable nations launched a
Climate Vulnerable Forum which adopted an agenda
for maintaining the target of limiting global warming to
1.5 C above pre-industrial levels.
The Climate Vulnerable Forum also called for an
increase in the volume, flow and access to finance for
climate projects alongside improved capacity and
technology.
The Framework Agreement on the International Solar
Alliance launched by India for promoting solar energy
was opened for signatures at CoP 22 Summit in
Marrakech.
India faces the dual challenges of faster economic
growth to meet the development aspirations of its
large population & the reduction in carbon emissions.
Although Indias per capita Green House Gas (GHG)
emission levels are small, but still India the third
largest emitter GHGs in the world.
Adopting a strategy involving all State Govts would
strengthen Indias case for international funding and
boost domestic action.
HFC
Hydrofluorocarbons (HFCs):
HFCs are Green House Gases (GHGs) that are
mostly used in refrigerants in air-conditioners.
HFCs are the worlds fastest growing GHGs with
emissions increasing up to 10% every year.
HFCs can trap 1,000 times more heat in the Earths
atmosphere than carbon dioxide (CO2).
HFC-23:
HFC-23 is a Green House Gas (GHG) that results
when producing HCFC-22, a refrigerant, popularly
known as R-22.
A kg of HFC-23 in the atmosphere traps 14,800 times
more heat than an equivalent amount of CO2.
Page 28 of 49
What is the Montreal Protocol?
The Montreal Protocol on Substances that deplete the
Ozone Layer is a landmark international agreement
designed to protect the stratospheric ozone layer. The
treaty was originally signed in 1987 and substantially
amended in 1990 and 1992.
Agreement to Amend the Montreal Protocol and
Phase Out HFCs (Kigali, Rwanda, October 15, 2016):
The Kigali amdt to Montreal Protocol is legally binding
and will come into force from 1 January 2019. Under
Kigali Amendment, in all 197 countries, including India
have agreed to a timeline to reduce the use of HFCs
by roughly 85% of their baselines by 2045.
All signatory countries have been divided into three
groups with different timelines to go about reductions
of HFCs. These include:
Wealthy, developed countries, such as the United
States and the European Union, will start to limit
their use of HFCs within a few years and make a
cut of at least 10% from 2019.
Rapidly developing countries, including many in
Latin America, will freeze their use of HFCs
starting in 2024.
Developing countries, specifically India, Pakistan,
Iran, Iraq and the Gulf states, will freeze their use
starting in 2028.
Implications of Kigali Amdt to the Montreal Protocol:
Represented a major progress to prevent a 0.5
degree Celsius rise in global temperature
The Kigali Agreement is legally binding and there are
penalties for non-compliance which make it more
effective than the Paris Agreement.
The Kigali Agreement to amend the Montreal Protocol
was significant for India as it demonstrated its
willingness to be part of a global climate agreement
while securing a differentiated agreement for itself,
according to analysts.
India agreed to freeze the use of HFCs by 2028 on a
2024-26 baseline.
The Kigali Agreement allows Indias heating
ventilation and air conditioning (HVAC) sector to grow
while allowing more time to refrigerant manufacturers
to shift to alternatives, according to analysts.
Whats Missing
Developing countries in hot regions with serious use
for HFC-based air conditioners, such as the Gulf
States, will not have to limit emissions for more than
10 years.
China, the worlds largest producer of HFCs, will not
start to cut their production or use until 2029.
Raisina Dialogue
About Raisina Dialogue
It is envisioned as Indias flagship conference of
geopolitics and geo-economics.
It was held jointly by Ministry of External Affairs and
the Observer Research Foundation (ORF), an
independent think tank.
The first edition of the conference was held in March
2016 with the theme Asian Connectivity.
The second edition was held in Dec 2016 with theme
The New Normal : Multilateralism with Multipolarity.
It was attended by delegates from 65 countries

Highlights of PMs speech
Neighbourhood first
Dialogue with Pakistan:
India alone cannot walk the path of peace. It also
has to be Pakistans journey to make.
Pakistan must walk away from terror if it wants to
walk towards dialogue with India.
Challenges to globalisation: growing sentiment
against trade and migration and rising parochial and
protectionist attitudes were putting globalisation's
gains at a risk.
CPEC
It is not unnatural for two large (India and China)
neighbouring powers to have some differences.
PM also highlighted that connectivity could not
override sovereignty in a reference to CPEC that
runs through parts of PoK.
NTRO
National Technical Research Organisation (NTRO)
Under Intelligence Act (May 15, 2017):
The National Technical Research Organisation, which
reports to the Prime Ministers Office (PMO) and the
National Security Advisor (NSA) was listed under the
Intelligence Organisations (Restriction of Rights) Act,
1985 by the Union Home Ministry on May 15, 2017.
The Intelligence Organisations (Restriction of Rights)
Act prevents employees of a notified agency from
forming unions/associations, puts restrictions on the
employees freedom of speech, bars any
communication with the press, or publishing a book or
other document without the permission of the head of
the intelligence organisation.
The NTRO was formed after the 1999 Kargil war as
dedicated technical intelligence agency. It has been
demanding to be included in the list under the
Intelligence Organisations (Restriction of Rights) Act.
In the schedule to the Intelligence Organisations
(Restriction of Rights) Act, 1985 after serial number 3
and the entries relating thereto, the following shall be
inserted namely - The National Technical Research
Organisation, according to the notification issued by
the Union Home Ministry.
Many people from the private sector are hired by the
NTRO and the Intelligence Organisation (Restriction
of Rights) Act meant that they would have the same
safety net and restrictions available to other
intelligence agencies.
Niti Aayog
National Institute for Transforming India (NITI Aayog)
Set up in place of Planning Commission on 01 Jan
2015
It would be a think-tank for the Centre and the States
Tasked with the role of formulating policies for the
Government.
Chairperson: PM
Governing Council: Chief Ministers and Lt. Governors
of Union Territories (UTs)
Regional Councils: PM and Chief Ministers to tackle
issue related to more than one State/region
Vice Chairman: Arvind Panagariya
Page 29 of 49
Two Full time members: Bibek Debroy and V.K.
Saraswat
Four Ex officio Members: Rajnath Singh, Arun Jaitley,
Suresh Prabhu and Radha Mohan Singh.
Significance of the Formation of NITI Aayog:
Inclusive growth benefitting every indl
Bottoms-up approach rather than centralised policy
making.
Include national security while making economic
strategy and policies.
Greater flexibility to States to tailor schemes as per
their reqmt.
The States would have a say in setting their own
development priorities.
It would enable networking with other national and
international think-tanks to provide a broader view to
frame policies.
NITI Aayog has been given the powers of monitoring
and implementation of programmes.
NITI Aayogs 15-Year Vision Docu Vision 2030:
Governance:
Recalibrate role of govt with focus on health and
education
Implement road map on closing select Public
Sector Enterprises (PSEs)
Revenue and Expenditure Framework:
Reduce fiscal deficit to 3% by financial year 2019
Reduce revenue deficit to 0.9%
Farmers Income to be Doubled by 2022:
Increase productivity via precision agriculture
Reform APMC (Agricultural Produce Market
Committee)
Creation of Jobs:
Enhance labour market flexibility
Create coastal employment zones
Education and Skill Development:
Create tiered regulation of universities
Revisit automatic promotion up to eighth grade
Urban Development:
Reduce land prices for affordable housing
Reform Rent Control Act
Release land of sick units
Energy:
Reduce cross-subsidy in power sector
Reform coal sector
Set up regulator
Heart of Asia Conference
Intro
Launched in 2011 and the participating countries
include Pakistan, Afghanistan, Azerbaijan, China,
India, Iran, Kazakhstan, Kyrgyzstan, Russia, Saudi
Arabia, Tajikistan, Turkey, Turkmenistan and the UAE.
14 member countries are supported by 16 other
countries and 12 international organisations.
The platform was floated to encourage security, pol
and eco coop betn Afghanistan and its neighbours.
Highlights
State-sponsored terrorism was identified as a key
challenge and members agreed upon a concerted
effort to dismantle all kinds of terrorism.
Members reiterated their belief in principles of
sovereignty, independence, territorial integrity,

sovereign equality of nations as enshrined in the
United Nations Charter.
Members expressed their commitment to the
Universal Declaration of Human Rights.
Members called up for leveraging the cultural heritage
of the region to drive economic and social devp.
Members consented on eliminating non-tariff barriers
to trade.
Members concerned about the increase in production
and cultivation of opium in Afghanistan, the volume of
drug trafficking and demand in the HoA Region and
beyond.
Significance of the Heart of Asia Conference:
Currently, Afghanistan is the focus of the regions
challenge of terrorism and it was significant for India
to put terrorism as the main theme of the Heart of Asia
Conference held in Amritsar in December 2016.
Modi and President of Afghanistan Ashraf Ghani
highlighted their concerns on cross-border terrorism
from Pakistan.
The Afghan President made it clear that development
in Afghanistan is unsustainable without peace, and
peace is dependent on Pakistan ending its support to
terror groups like the Haqqani network and LeT.
The significant aspect of the Heart of Asia Conference
was that a major international forum was used by
India and Afghanistan to highlight Pakistans role in
fostering terror as a state policy
Underlined the developing consensus that stability in
Afghanistan is the key to stability in the region.
Increased political dialogue and consultations were
recommended by the Declaration.
Heart of Asia process would play a key role in forging
cooperation to make Afghanistan a vibrant hub in
Asia.
NSG
What is NSG?
Nuclear Suppliers Group (NSG) is a multinational
body concerned with reducing nuclear proliferation by
controlling the export.
NSG was set up in 1974 as a reaction to Indias
nuclear tests to stop what it called the misuse of
nuclear material meant for peaceful purposes.
It has 48 members.
Why China is opposing Indias entry into the NSG?
India is not a member of the NPT.
A policy should be formulated induct non-NPT
members some definite criteria should be evolved
rather than granting country specific waivers.
It would disturb the nuclear-arms balance in South
Asia as India will engage in a massive nuclear
weaponisation programme.
China want to deny India the right to build a case for
UNSC seat as an NSG member
Disregard US, who is sp Indias membership
Benefits associated with NSGs membership:
India has been eager to gain legitimacy as nuc power.
Joining the NSG will give India better access to low-
cost, clean nuclear energy important for its
economic growth.
Page 30 of 49
Nuclear power is one way India, the third-biggest
emitter of greenhouse gases, could cut its emissions
and reduce air pollution from coal-fired power plants.
NSG membership would put India on a firmer footing
to propose the idea of plutonium trade for its thorium
programme that has been waiting in the wings. An
early adoption of thorium technology would give India
enormous energy independence and security.
Indias international political, eco, mil and strat profile
will incr
India will mod into the category of international rule
creating nations rather than rule abiding nations
Way ahead:
Most questions raised by China against Indias
membership have little validity. For instance,
membership of NPT is not a condition for becoming a
member of NSG. It is only a guiding principle to which
consideration needs to be given.
Over the last eight years India, as per its commitment,
has separated its reactors which are under IAEA
safeguards and those which are not.
Pakistan has a blemished and flawed proliferation
record as it has engaged in illicit supply of nuclear
tech and materials to Iran, Libya and North Korea.
No comparison between the track records of the two
countries is hence justified.
India maintains that rather than evolving criteria, its
performance should be the basis on which the
decision on its application should be taken.
International Solar Alliance
Msn & Vision :
To provide a platform for coop among solar resource
rich countries where global community can make a
positive contribution to the common goals of
increasing utilising of solar energy.
Objective :
To create a collaborative platform for increased
deployment of solar energy technologies to enhance
energy security & sustainable development.
Governance Structure:
Org : Multi country partnership
Members : from solar resource rich countries betn the
two tropics.
Governance structure would consist of an Assembly, a
Council and a Secretariat.
The Assembly will provide guidance, direction and
advice to the Secretariat for undertaking the activities.
The new body is to function from the National Institute
of Solar Energy in India, Gurgaon. The Centre will
provide land and $30 million to form a secretariat for
the Alliance, and also sp it for 5 yrs.
Indias Commitment:
Use cheap solar energy to connect citizens who are
currently without access to the electricity grid in
remote and rural areas.
40% of its electricity from renewables by 2030.
Incr domestic solar energy prod capacity from 4 GW
to 175 GW by 2022.
Indian Space Pgme

PSLV
PSLVs C-35:
26 Sep 2016 launched eight (3 Indian and 5 foreign)
satellites in two different orbits
Flight lasted for two hours and 15 minutes
Total payload - 675 Kgs
Satl
SCATSAT-1
- 371-kg weather satellite at 700 km.
- Provide wind vector data products for
forecasting weather and cyclone detection.
- It has a life of five years.
PRATHAM
- 10 Kgs, designed by the IIT-Bombay at 600 km
- would estimate the total electron count with a
resolution of 1 km x 1 km location grid.
PISAT
- 5.25 kg, designed by PES University Bengaluru
- At 600 Km for Remote sensing applications.
Three satl from Algeria ALSAT-1B, ALSAT-2B
and ALSAT-1N
US (Pathfinder-1)
Canada (NLS-19).
Significance of PSLV C-35:
Launched of eight satellites in two different orbits.
Longest mission of the PSLV so far
This was the first multiple orbit launch in a single
PSLV mission using the PS4 restart method
Enhanced the marketability and versatility of PSLV
Antrix was in talks with several countries for more
launches worth Rs.280 crore
PSLV-C37:
Detls
Launched a record 104 satellites (3 Indian)
Satish Dhawan Space Centre in Sriharikota
XL version of PSLV
Payload: 1,378 kg
Satellites Launched:
High Res Earth Observation Satellite Cartosat-2
ISRO Nano Satellites INS-1A and INS-1B
101 Foreign Nano Satellites
Significance of PSLV-C37:
38th consecutive successful mission out of 39.
ISROs record launch of 104 satellites in a single
mission was achieved by proven technology, and
PSLV had the capability to launch even 400 nano
satellites at a time
Successful launch of 104 satellites in a single
mission was significant for ISRO to establish its
position as a key space agency in commercial
space launch market by providing reliable and
cheaper launches.
GSLV
GSLV-F05
08 Sep 2016, Sriharikot
Launched INSAT-3DR Satellite into GTO
Using CE-7, Indigenous Cryogenic Upper Stage
It is a three-staged vehicle and cryogenic engine is
used in the third and final stage.
GSLVs are used to carry heavy satellites (usually 2 to
2.5 tonnes) into Geostationary Transfer Orbit.
INSAT-3DR Advanced Weather Satellite:
Adv wx satl to provide variety of met services.
Payloads
Page 31 of 49
First payload - multiple-spectral Imager which
would generate images of the Earth and provide
information on sea surface temperature, cloud
motion winds, snow cover, etc.
Second payload - 19-channel sounder which would
provide information on vertical profile of
temperature, humidity and integrated ozone.
Third payload - Data Relay Transponder which
would provide service continuity to ISROs
previous met missions.
Fourth payload - Search and Rescue payload
which can pick and alert signals originating from
the distress beacons of maritime, aviation and
land-based users to the Indian Mission Control
Centre (INMCC).
The main users of this service would be the Indian
Coast Guards, Airports Authority of India (AAI),
Directorate General of Shipping, Defence Services
and fishermen, according to media reports.
Significance of the Successful Launch of GSLV-F05:
Third consecutive flight of the GSLV Mark II with
indigenous cryogenic upper stage engine
The significance of the successful launch of GSLV-
F05 was that the GSLV Mark II was now ready to put
Chandrayaan-2 into orbit
GSLV would help ISRO in launching heavier payloads
from India instead of relying on facilities abroad. It
would also make the launches cheaper
Chandaryaan 2
Intro
Indias second msn to moon
Consists of an orbiter, lander and rover configuration
Expected during first qtr of 2018
Working
ISRO is planning to deploy a rover on the lunar
surface in the Chandrayaan-2 mission.
After reaching the 100 km lunar orbit, the Lander,
containing the Rover, will separate from the Orbiter.
The Lander then will soft land on the lunar surface at
a specified site and deploy a Rover.
The six-wheeled Rover will move around the landing
site in semi-autonomous mode as decided by the
ground commands.
The instruments on the rover will observe the lunar
surface and send back data useful for analysis of the
lunar soil.
Collection of soil and rock sediments is not planned in
this mission.
South Asia Satellite
GSAT-9
Date - May 5, 2017
Launched by - GSLV MK-II, 5th flight of CE-7
Loc - Sriharikota in Andhra Pradesh.
Benefit countries - Afghanistan, Bangladesh, Bhutan,
Maldives, Nepal and Sri Lanka.
Salient Features of GSAT-9:
Structure: Cuboid built around a central cylinder
Weight: 2,230 kg
Transponders
12 Ku-band transponders for comn
Each of the six SAARC nations would get access
to at least one transponder.
Applications - Telecom & Broadcasting

GSAT-9 has Electric Propulsion System (EPS) to
reduce Fuel:
Satellites would be launched with about 80 kg of
chemical fuel or about 25% of what would
otherwise be required.
The EPS would help in managing GSAT-9 in a cost
efficient manner for 12 years in orbit.
Mission Life: 12 years
Cost of GSAT-9: 235 crore
Project Cost: 450 crore
Significance of the Launch
Would provide telecom links betn SAARC.
Hotline during disasters
Address economic and development priorities
Natural resources mapping, telemedicine, edu, deeper
IT connectivity & fostering people-to-people contact
Netra
Intro
First indigenously developed airborne early warning
and control system (AEW&C)
Mounted on a Brazilian Embraer-145 jet has been
inducted into Indian Air Force.
Developed by DRDO
India has become only 4th such nation after United
States, Russia and Israel that have developed such
technology on their own.
Currently Indian Air Force using 3 Israeli Phalcon
AWACS (Airborne Warning and Control System)
which are mounted on Russian IL-76 heavy-lift planes.
These Phalcon AWACS has a range of 400 kms and
360-degre coverage.
Features
Range of 200 kms (Capability to detect aerial threats
from incoming aircraft and missiles).
240 degrees coverage (simultaneously scan the area
on both sides of aircraft)
State of the art active electronically scanned radar.
Secondary surveillance radar.
Electronic and communication counter measures.
Line of sight and beyond line of sight data link.
Voice communication system and self-protection suit.
Arty Guns
Dhanush
155mm / 39 cal
Rg - 4 to 40 km
Devp by OFB
3 Guns handed over to Army for fd trials
ATAGS
Advanced Towed Artillery Gun System
155mm / 52 cal
Devp by OFB with Tata, Bharat Forge
Fire 5 rds in 1 min
Rg 40 km
12 Kgs lighter than other guns in the same cat
95 KW APU - better than boors
M-777 Ultra-Light Howitzer (ULH) Artillery Guns:
155mm
Imported from US
Page 32 of 49
Manufactures by BAE systems
Wt 4200 kg - can be tpt by C-130 ac
Digital FSC for navig, pointing and self location
Rg - 40km
Agni - V
Gen : ICBM by DRDO
Tech specs
Wt - 50 ton
Length - 17.5 m
Dia - 2 m
Warhead - 1.5 ton (conventional + nuclear)
Rg - 5000 km
Propulsion - 3 stage solid
Guidance - satl based - GPS/GLONASS/IRNSS
Implications
Hy Payload capacity
Stop and launch road mobility
ICBM capb
Strat deterrence
Agni 3 can be mod to Agni 5
INS Khanderi
Project 75:
Under "Project 75, French company DCNS will
provide design and tech to public sector Mazagon
docks to make six scorpene diesel submarines by
2022.
Building Six Scorpene Submarines:
Indian Navy intends to induct two Scorpene diesel-
electric submarines into service in 2017.
The first Scorpene Submarine Kalvari is completing
sea trials and was inducted into the Navy in mid-2017.
Khanderi, the second Scorpene submarine under
Project-75 being built at Mazgaon Docks Limited
(MDL) in Mumbai was launched into sea in January
2017.
The third Scorpene submarine Vela would launched
into water in 2017 after the monsoons
Significance of Msn
It would increase our strategic ability to wage a stealth
fight.
It would protect our sea lanes of commerce
It would help India maintain primacy in the Indian
Ocean.
It would boost indigenous manufacturing and self-
sufficiency in submarine manufacturing.
Features of INS Khanderi
The Kalvari class submarines include superior stealth
and precision guided weapons.
INS Khanderi is designed to operate in all theatres,
including the tropics.
It also has interoperability with other components of a
Naval Task Force.
INS Khanderi can undertake diverse types of missions
like anti-submarine warfare, intelligence gathering,
mine laying, area surveillance etc.
It has ability to launch attacks with torpedoes.
INS Chennai

3rd Ship in Kolkata Class P 15A Guided Msl Destroyer
Built by Mazagaon Dock Shipbuilders Ltd in Mumbai.
Designed by Directorate of Naval Designs
Displaces 7,500 tonnes
Length of 164m
Top speed of over 30 knots (around 55km) per hour.
Armed with BrahMos and Barak-8 missiles.
Undersea warfare capability includes indigenously
developed anti-submarine weapons and sensors, hull-
mounted sonar HUMSA-NG.
Capb of fighting under NBC conditions
For self def, indigenously devp
'Kavach' chaff decoy system
'Mareech' torpedo decoy system.
Has 2 operational multi-role helicopters on board.
Ransomeware - WannaCry
Ransomware WannaCry:
On May 12, 2017, a malicious software WannaCry
infected computer systems in 150 countries.
WannaCry exploits the vulnerability of Microsoft
Windows implementation of Sever Message Block
(SMB) protocol.
This vulnerability was discovered by US National
Security Agency and stolen by hacker gp called The
Shadow Brokers and named Eternal Blue.
WannaCry is a ransomware, a type of malware which
encrypts data and locks out the users unless they pay
the attackers a designated sum in virtual Bitcoin
currency.
Microsoft had already released a software upgrade in
March 2016 to fix the vulnerability of Microsoft
Windows systems, but not all users, particularly
hospitals had updated their systems.
Microsoft re-released security updates for some older
versions of its Windows platforms to counter the
ransomware WannaCry attacks.
A British cybersecurity analysts accidentally stopped
the spread of the ransomware WannaCry by buying a
domain name hidden in the malware.
Impact on India:
As per Kaspersky, India was one of the four most
affected countries along with Russia, Ukraine and
Taiwan.
But the Indian Govt systems was largely safe.
Indian Computer Emergency Response Team (CERT-
IN) issued an advisory asking organisations to install
updates to Windows systems.
Over 100 computers of the Andhra Pradesh Police
were affected by the WannaCry cyberattack.
The malware also affected two south Indian banks
and some Indian companies.
North Korea Could be Behind the Cyberattack:
Kaspersky and Symantec found similarities between
WannaCry and pervious attacks on Sony which were
blamed on North Korea.
North Korea denied being resp for the cyber attk.
CERT-IN
Page 33 of 49
Introduction.
Govt-mandated nodal agency for info technology (IT)
security
Est in 2004 under the aegis of the Indian Dept of Info
Technology, Ministry of Electronics and IT.
According to the provisions of the IT Amdt Act, 2008, it
is resp for overseeing administration of the Act.
Mandate.
Protect Indian cyberspace and software infra against
destructive and hacking activities.
Respond to computer security incidents, report on
vulnerabilities and promote effective IT security
practices throughout the country.
Issue guidelines, vulnerability notes, advisories, and
white papers regarding to info security practices,
prevention, procedures, response and reporting of
cyber security incidents.
MOU.
Union Cabinet approved MoU signed between Indian
CERT-ln and the US Homeland Security Dept on coop
in the fd of Cyber Security.
MoU was signed in Jan 2017 in New Delhi.
Intends to promote closer co-op and exch of info
pertaining to Cyber Security between both strategic
partners in accordance with the relevant laws, rules
and regulations and on the basis of equality, mutual
benefit and reciprocity.
Steps Undertaken to Strengthen Cyber Security.
Central Govt taking measures to strengthen Cert-IN -
the governments cyber security arm.
Mandatory for all org having a significant IT infra to
appoint cyber security officers.
State Certs being planned by Maharashtra,
Telangana, Tamil Nadu, Kerala and Jharkhand.
Three sectoral Certs in power sector viz. generation,
transmission and distribution also set up in addition to
the existing banking sector one.
National Cyber Coordination Centre (NCCC) being set
up to provide near real time sit awareness and rapid
response.
Proj will be completed in 5 years at a cost of Rs 985
crore. Ph 1 of NCCC expected to be eff by March
2017.
Central Govt will also launch Botnet Center shortly.
CERT Advisory for Wannacry Ransomeware.
Indian CERT-In issued an advisory wrt the WannaCry
ransomware, which has affected computers in around
100 countries, including India.
To prevent the infection, CERT-In advised users and
org to apply the relevant patches to Windows systems
as mentioned in Microsoft Security Bulletin MS17-010.
Bharat Stage VI
Bharat Stage(BS).
Emission standards instituted by the Government of
India to regulate the output of air pollutants from motor
vehicles.
The stds and the timeline for implementation are set
by the Central Pollution Control Board under the
Ministry of Environment & Forests & climate change.
Present Status.
BS-III norms have been enforced across the country
since Oct 2010.

BS-IV norms are currently applicable in 33 cities.
In Jan 2016, the Indian govt announced that the
country would skip the Euro V norms altogether and
adopt Euro VI(BS VI) norms by 2020.
Effect of Decision
Petrol cars : 25% redn in oxides of Nitrogen
Diesel cars :
43% redn in hydrocarbons
68% redn in oxides of Nitrogen
82% redn in particulate matter
Heavy Duty Veh :
71% redn in hydrocarbons
87% redn in oxides of nitrogen
67% redn in particulate matter
Benefits of BS stds
Bring down veh related pollution levels
Lead to improved technology in vehs
Reduce health cost for public & economy.
Steps taken by the Govt
Improve carbon emission intensity of its GDP by
33-35% by 2030 from 2005 level and create addl
carbon sink through addl forest cover
Encourage use of alternate fuel like CNG & LPG.
Odd even policy in Delhi
Promote use of mass public transport sys
2/3rd of Indias state owned refineries will need
upgradation at Rs 6000 crore.
Challenges.
Fuel Related Challenge. Upgrade fuel quality from
BS-III & BS-IV stds to BS-VI, cost Rs 40,000 cr.
Vehicle Design Related Challenge. Design changes
of two critical components diesel particulate filter
and selective catalytic reduction module.
Implementation. diff due to lack of professionalism,
malpractice, non-existent tracking sys.
The Way Ahead.
Need for uniform emissions stds across the country.
An eff regulatory framework for fuels and vehicles.
Efficient tracking system.
Public-Private Partnership.
Sino -US Relations
Current Issues:
Taiwan: Arms sales and official recognition of the govt
of Taiwan.
Trade: Currency manipulation and over-taxation of US
imports.
North Korea: Put pressure on North Korea to end its
nuclear programme.
South Korea: US AD THAAD dply
South China Sea: freedom of navig
Chinese President Xi Jinpings Visit to the US
Date : 6-7 Apr 2017.
Loc : Florida.
The meeting took place against the backdrop of
increased threat from North Korea.
The Trump administration would push for fair trade
with China, and interests of American workers were
paramount for the US President
The Trump administration desired to establish policies
that maintain a constructive, cooperative, and result-
oriented trajectory
Page 34 of 49
First Round of Discussions between the Two
Presidents:
Progress in bilateral ties.
Bilateral trade and the threat from North Koreas
nuclear ambitions dominated talks.
Second Round of Discussions between Presidents of
the US and China:
Announced a 100-day plan to improve the strained
trade relations.
China was the largest trading partner of the US with
the two-way trade reaching $519.6 billion in 2016,
compared to $2.5 billion in 1979 when the two
countries established diplomatic ties.
Sino - Russian relations
Deepening Sino-Russian Relations:
Global Tensions Leading to Closer Sino-Russian
Relations
Response to the US policy of pivot to Asia.
Shift in global power and bring in multipolarity.
Sino-Russian Defence Cooperation:
Russia & China concluded a S-400 air defence deal.
Supply of 24 Su-35 planes by Russia to China.
$2 billion deal includes the transfer of tech by Russia
Sino-Russian Energy Cooperation:
Oil and gas reserves in the Siberian zone
China has signed a $400 billion deal with Russia to
import gas for the next 30 years through the Siberia
Power Pipeline.
Another energy deal expected to be finalised through
the western Altai route
Sino-Russian Economic Cooperation:
Working towards undermining hegemony of US dollar.
Both countries are trading in the Chinese currency
yuan and the Russian currency rouble
Currency swap has helped Russia in neutralising the
sanctions imposed by the West after the Ukraine crisis
Trading in local currencies by Russia and China has
also been reinforced through the NDB and AIIB.
China has utilised its surplus funds in constructing
railways, highways, industrial parks, and cyber-cities
along its Silk Road Economic Belt, which extends
from Xian in the East to Europe in the West.
Implications of Closer Russia-China Relations:
Energy
China, the world's second largest consumer of oil
and Russia, the world's second largest exporter of
oil, have been deepening their relationship in
recent years.
With the signing of the gas deal the two countries
were steadily moving towards building a strategic
energy alliance
Against US
China and Russia have also allied with each other
on international issues, generally in opposition to
the US.
Russia has been focusing on enhancing relations
with China after the Ukraine crisis and sanctions
imposed by the US and EU.
China did not condemn Crimeas reunification with
Russia and adopted positive neutrality over
Ukrainian crisis

Enhanced partnership between Russia and China
marked the emergence of a global coalition against
US hegemony in the post-Cold War era.
Security
The sanctions imposed by the West on Russia
over Ukraine were pushing Russia towards a
military alliance with China
While a military alliance between Russia and
China was unlikely, elements of such an alliance
were shaping up.
Sino-Russian Joint Exercises in the South China Sea
September 12-19, 2016.
Featured Navy surface ships, submarines, fixed-wing
aircraft, ship-borne helicopters, marine corps and
amphibious armoured equipment form both navies.
Undertake defence, rescue, and anti-submarine ops,
in addition to joint island seizing and other activities
The Marine Corps would carry out live-fire drills, sea
crossing and island landing operations, and island
defence and offence exercises among others
Implications of the Joint Exercises:
Held in the aftermath of the ruling by an arbitration
court in The Hague
The joint exercises pointed to a deeper military and
political engagement.
Russia has supported Chinas rejection of the ruling
by an international arbitration tribunal at The Hague.
Sent a message to US that Russia stands by China.
Trilateral Partnership China with Russia & US
On January 26, 2017, China indicated that it was open
for a trilateral partnership with Russia and the US,
China was willing to work together with Russia and
the US to address the problems and challenges facing
the world today
Russian govt would like to see Russia, the US and
China to develop relations together.
EU - BREXIT
Historical Perspective.
UK confirmed its membership in a 1975 referendum
by 67% of the votes.
In the 1970s and 1980s, withdrawal from the EEC was
advocated mainly by some Labour Party and trade
unions. From the 1990s, withdrawal from the EU was
advocated mainly by some Conservatives and by the
newly founded UK Independence Party (UKIP).
UKIP achieved third place in UK during 2004
European elections, second place in 2009 European
elections and first place in 2014 European elections,
with 27.5% of the total vote.
Under pressure from many of his MPs and from rise of
UKIP, UK PM announced referendum on 23 June 16.
Reasons for UK Voting for BREXIT.
Sovereignty.
Immigration Issues.
Demographic & Cultural Factors.
Campaign Mgt & Media.
Status of BREXIT.
Article 50 of EU allows a member state to leave.
Member state is reqd to initiate invocation procedure
with EU council in writing invoking this Article.
Thereafter, there is a negotiation period up to 2 yrs
after which the treaty expires.
Page 35 of 49
On 24 Jan 17 UK SC ruled in favour of reqmt of
parliamentary approval for proposed EU bill before
invoking Article 50.
The bill passed by UK house of commons but was
returned by house of lords with obsn.
However the same was passed on 15 Mar 17.
UK is reqd to re-negotiate treaty with EU, which can
only commence after article 50 is invoked.
EUs Dilemma.
Trade
16% of EU goods exports are to the UK
EUs economic interests compel it to seek a quick,
generous and comprehensive FTA with UK.
Easy withdrawal
Avoid the precedent of easy withdrawal by
imposing tough conditions on UK.
Pol Consequences of UKs Exit from EU.
It may result in other member states to opt for exit.
Slow down in European eco and weaken alliance.
Decr influence on world.
The unity of UK itself may get adversely affected as
Scotland may opt for fresh referendum.
Fin Consequences of UKs Exit from EU.
The exit of UK will make financial markets more
sensitive to vulnerabilities of EU nations.
The pound has already plunged to a 30 yrs low.
The investors are likely to question the political will
and public sp to strengthen EU monitory union .The is
likely to result fall in FDI to EU countries thereby
affecting its financial recovery.
This is likely to further incr Germanys political & eco
supremacy in EU which neither Berlin nor EU desires.
The actual final impact will depend on treaties UK
signs with EU which may not be liberal.
Implications on India
Impact on India.
Currency Volatility of pound impacts trade.
Re-negotiation of trade agreements.
IT Coys will have to Est separate offices in UK and
EU, thereby incr expdr.
India-UK Trade.
- The UK is listed 18th among Indias top 25
trading partners.
- After Brexit, India may incr its exports to the UK
- However, in the longer run, it could further
strengthen India-UK economic relationship as
the UK seeks to compensate for loss of
preferential access to EU markets.
Trade Stats.
EU is Indias largest trading partner.
The value of Indias exports to the EU in FY16
stood at $45 billion.
Of that, Britain alone accounted for over 20%.
UKs exports are mainly apparel, pharma,
automobiles and computers.
Moreover, UK is Indias second-largest destination
for export of IT services after US, and accounted
for half of $24 billion IT exports to the EU.
Maj Impacts
In short term there is likely to be decline in demand
for Indias goods & services because of growth
slowdown in UK & EU .
Brexit will make Indias exports revival difficult.
Exch Rate Mov.

- In short term it is likely to adversely affect
export competitiveness in items like textile &
clothing.
- The weaker yuan will also incr competition from
cheaper Chinese products.
- The weaker pound and euro will also affect the
price competitiveness of Indias IT coys and
hurt overall it exports.
- It will also make expensive for European
tourists to vis India and hurt Indias income from
tourism.
Way Ahead.
India needs to think a separate FTA with UK and re-
negotiate a trade pact with EU with re-calibrated tariffs. -
It also needs to diversify exports away from EU to
emerging markets of Asia, Africa and Latin America.
Balochistan
Intro
It is one of the four provinces
Inhabited by Balochs, Pashtuns, Brahuis and others
Largely underdeveloped
Gwadar port is situated here
Location:
Loc in SW pak
44% of total area of Pak
Bordered by Afghanistan in the North and NW, Iran in
SW, and Arabian Sea to the South.
Geo-Strategic Significance of Balochistan:
Copper and Gold Reserves
Large Natural, Mineral and Energy Resources
Transit Route for the Iran-Pakistan-India Gas Pipeline
Economic and Strategic Importance of Gwadar Port in
Balochistan to Pakistan and China
Balochistan an Important Loc in CPEP
Reasons behind the Discontentment of the Baloch
Population:
Poverty and Lack of Basic Amenities
Balochistan Gets a Meagre Share of Its Gas
Production (produces 40% but gets 16% share)
Tribal Leaders Want a Fair Share in Balochistan's Gas
Resources
Current Situation in Balochistan:
The presence of a large ethnic Pashtun population in
Balochistan is causing a problem in the region.
The existence of Taliban around Quetta, the provincial
capital has added to the security problem in the
region.
Baloch nationalists allege that the Govt was not
serious in going after the Taliban in the province as
they serve to undermine the nationalist cause.
After 2000, fifth wave of insurgency broke out
It has several separatist groups, strongest being
Balochistan Liberation Army (BLA)
Pak alleges BLA is sp by India
This is a resource rich province, but people are not
benefiting
Other Issues
PM Modis ref to Baloch freedom struggle in his
Indep day speech
Baloch leaders hail Modis speech
Pak invited self-exiled leaders for talks
Page 36 of 49
Baloch leader Brahamdagh Bugti sought asylum in
India
Balochistan Strategy
Govt is considering to give shape to the new policy on
Balochistan and PoK
Several suggestions, like raising Baloch human rights
issue in UN gen assy and inviting the diaspora for
Pravasi Divas 2017
It gives India the option of responding forcefully to
Paks own use of trt force against India without fearing
nuclear escalation
Issue of Balochistan raised by India
Has great significance for Indias foreign policy
Highlights Paks nefarious designs of aiding trt
Tit for Tat strategy for India
It will provide strat advantage to India on the backdrop
of growing Pak - China relations
It will have deterrence effect for Pak
Counter view
Gives credence to Paks allegation that India is sp
BLA
World may view India on equal footing with Pak as
far as terrorism is concerned
Will hinder SAARC coop
Since CPEC passes through the region, it may
affect Sino - India relations
Solution to Balochistan Problem
Recognition of legitimate demand of Baloch people
and assessment of grnd reality
Devp of sound policies and plans to address eco and
socio political issues and empower people
India can engage with Baloch people living across the
world through its diplomatic channels
India can raise the issue in UN
India can sp the Baloch mov politically without getting
dragged into any nuclear confrontation with Pak
Bangladesh
Chinese President Xi Jinpings Visit:
Date : 14 Oct 2016
Elevate relations to strategic partnership.
Jointly advance Chinas BRI and establish institutional
coop in areas of marine issues and counterterrorism.
China and Bangladesh signed 26 agreements.
Areas such as infra, agriculture, energy and power, tpt
Implications for India:
China would fund infrastructure projects like roads
and railways in Bangladesh and the loan agreements
between the two countries totalled around $20 billion
China is also Bangladeshs largest trading partner
with an annual turnover of around $10 billion.
Bangladesh has supported BRI.
Nepal
Prime Minister of Nepal (July 24, 2016):
On 24 Jul 2016, PM KP Sharma Oli resigned minutes
before facing a no-confidence motion in Parliament
which he was certain to lose.
On 02 Aug 2016, leader of Communist Party of Nepal
(Maoist-Centre) Pushpa Kamal Dahal Prachanda
was elected as the new PM.

Before the election, Nepali Congress and CPN-Maoist
(Centre) signed a three-point agreement with the
Madhesi Front to secure sp from the Madhesi parties.
Ack those killed during the Madhesi agitation as
martyrs and providing free treatment to the injured.
Amend Constitution to redraw political boundaries.
The Madhesi parties would support the new Govt.
On 24 May 2017, PM Prachanda resigned so that the
leader of his coalition partner party can succeed him,
as agreed between the two parties.
Protests Against Constitution Amendment Bill:
On 29 Nov 2016, Thousands of people protested.
The Bill is aimed at carving out a new Province to
meet the demands of agitating Madhesis.
The protesters were demanding that the resource-rich
Province Number five should not be split.
Nepals Deepening Relations with China:
Nepal and China Joint Military Exercise Pratikar-1:
Focus : Counter terrorism.
Nepals Army Chief Gen Rajendra Chhetri visited
China in March 2016 to strengthen military ties.
Chinas defn of terrorism covered Tibetan agitators
Likely to make Indias relations with both Nepal
and China more complex.
Flow Goods from China to Nepal through Tibet:
On Dec 10, 2016, the first major consignment of
goods worth $2.8 million was transported from
China through the Tibetan border port of Gyirong
to Kathmandu, the capital of Nepal.
This was the biggest movement of goods between
China and Nepal since 2005 when China built the
Friendship Highway to link towns on either side
across the difficult mountain terrain.
Adversely impact Indian businesses
Flow goods from China would encourage Nepal to
accept the offer from China for rail connectivity.
China has subsidised the cost of transporting the
goods over 6,000 km to ensure that the pricing
was competitive with products from India
Chinas Increasing FDI in Nepal:
China has pledged the maximum FDI in Nepal.
China accounts for 68% of the FDI pledged to
Nepal for the current fiscal by different countries.
Implications of Nepal-China Relations for India:
Indias relations with Nepal could not be compared
or curtailed by Nepals agreements with China.
In comparison to the Nepal-China transit
agreement, India and Nepal had 25 crossing
points, two integrated checkpoints and 2 more
checkpoints were under construction
The blockade of the Nepal-India border by the
Madhesis which ended in February 2016 pushed
Nepal to open its northern borders with China for
transit trade
Nepalese PMs visit to China had two key objs:
- Decr dependence on India and keeping the
Madhesis & Janjatis marginalised in politics
- Second, to send a strong message to India that
Nepal has an option of mob sp from China.
Afghanistan
Moscow Peace Meeting on Afghanistan
Six-Nation Conference:
Page 37 of 49
Held in Moscow, Russia on February 15, 2016.
Afghanistan, Russia, India, China, Iran & Pakistan.
The meeting followed from a previous conference
held in December 2016 when Russia invited only
China and Pakistan, which led to protests from
Afghanistan and India.
India and Afghanistan Oppose Views to involve the
Taliban in reconciliation efforts.
Afghanistan wanted the US to be included in the
talks as one of its most important partners.
Russia proposed to extend the Conf to Central
Asian countries, but did not mention the US.
TAPI
Introduction.
Countries Involved - Turkmenistan, Afghanistan,
Pakistan and India (TAPI)
Distance. Pipeline connects central Asia with south
Asia covering 1,800 km.
Ground breaking ceremony held at the ancient city of
Mary of Turkmenistan.
Likely to be operational from 2019.
Turkmenistan believed to have worlds fourth-largest
gas reserves, presently exporting it mainly to China.
TAPI Proj : Highlights
Trans-country natural gas pipeline from Caspian Sea,
Turkmenistan to India through Afghanistan and
Pakistan.
Runs Through. Galkynysh field (Turkmenistan)
Herat and Kandahar province (Afghanistan) Multan
via Quetta (Pakistan) and ends at Fazilka in Punjab
(India).
Pipeline begins from Turkmenistans Galkynysh field,
has gas res of approx 16 trillion cubic feet.
Proj Cost. - Approx 10 billion US dollars, being funded
by Asian Development Bank (ADB).
Capacity. - Proposed to carry 90 million standard
cubic metres a day (mmscmd).
Supply Share. - India and Pak - 38 mmscmd each,
Afghanistan - 14 mmscmd supply of natural gas.
Supply Life. - Expected to last for pd of 30 years,
Security. - Est of an inter-govt Jt Security Task Force
(JSTF) recom to serve as the security nucleus.
Proj entered its practical ph in Pak, Front End
Engineering and Design (FEED) route survey
inaugurated on 28 Apr 2017
Syria
Rift between the West and Russia over Syria:
On Dec 12, 2016, France accused Russia of lying
over its role in Syria, pointing out that it was claiming
to battle the IS when it was only interested in backing
the Syrian President Bashar al-Assad.
Russia blamed lack of cooperation from the US for the
setback in Palmyra.
Syrian Govt Troops Recaptured Aleppo:
On 23 Dec 2016, Syrian govt troops recaptured
Aleppo taking full control of Syrias commercial
capital.
The recapture of Aleppo by the Syrian govt forces was
seen as the biggest victory for the President Bashar
al-Assad in nearly six years of civil war and a major
victory for his external backers like Russia

Ceasefire Deal Brokered by Russia and Turkey:
On December 29, 2016, Russian President Vladimir
Putin announced a nationwide ceasefire deal to come
into effect across Syria from mid-night.
Syrian Govt and the main forces of armed opposition
had agreed to sit down for peace talks.
The Russian President said that he would reduce
Russias military contingent in Syria, which has been
carrying out a bombing campaign in support of the
Syrian President since 2015.
Russia would continue to fight terrorism in Syria and
maintain its support for the govt in Syria.
Any groups that did not abide by the ceasefire
agreement would be considered terrorists alongside
the IS and the former Al-Qaeda affiliate previously
known as al-Nusra Front, now renamed the Fateh al-
Sham Front.
The US called the ceasefire deal a positive
development, hoping that it would lead to fresh talks
on Syrias political future.
UN Security Council (UNSC) adopted a resolution
endorsing the ceasefire deal in Syria brokered by
Russia and Turkey.
Peace Talks between Warring Syrian Sides:
The warring Syrian sides met for peace talks in
Astana, Kazakhstan, sponsored by Russia, Turkey
and Iran.
Fundamental differences between pro-Assad Russia
and Turkey which has supported anti-Assad rebels
remained, including whether the Syrian President
should stay in power or step down as demanded by
the rebels.
On February 23, 2017, the Syrian peace talks
resumed in Geneva after 10 months.
The scope of the Geneva talks is now confined to
political issues as the military issues have been taken
off the Geneva agenda and assigned to a separate
peace process in Astana, Kazakhstan.
Indias Role in the Syrian Peace Process:
Syria is keen to include India within the ambit of direct
political consultation for the peace process to end the
conflict.
It shows the broadening international consultation that
could end the international terrorism from Syrian soil
India is open to discussing a larger role for it in
assisting the Syrian peace process, however, the govt
had taken a considered position against joining any of
the coalitions fighting, the IS in Syria and Iraq
Qatar
Summary:
The recent diplomatic rift between Qatar and other Arab
states like Saudi Arabia, Bahrain, UAE and Egypt
has again highlighted the geopolitical significance of the
region beyond the oil factor. It emerged as a result of an
allegation that the small gas-rich country supports and
funds terror through its support of Iran and Muslim
Brotherhood, a Sunni Islamist political group outlawed by
both Saudi Arabia and the UAE.
Historical reasons:
Qatars state funded news network Al Jazeera also
seems to support these groups as champions of
democracy. Qatar was also amongst the most active
Page 38 of 49
backers of Islamist fighters in rebellions in Syria and
Libya. This coupled with the fact that Qatar enjoys
close ties with Tehran, has bothered the Saudi led
bloc.
Egypt also considers the Brotherhood to be
dangerous. During the 2011 Arab Spring, Qatar
backed the Brotherhood and the protestors against
the then-President Hosni Mubarak.
Qatar has also been accused of backing Yemens
Houthi rebels which is a startling claim given that
Qatar, until the day before the crisis, was part of the
Saudi-led coalition fighting the Houthi rebels, who are
allegedly backed by Iran and ex-President Saleh.
How will it affect the rest of the world?
The row has also fanned concerns about the liquefied
natural gas (LNG) market. Qatar is the worlds biggest
supplier of LNG and Egypt and UAE are key
recipients. Although Saudi Arabia, the UAE, Egypt and
Bahrain have all closed transport links with Qatar, the
state can still ship out both LNG and oil to other
countries by sea.
The diplomatic crisis is also the latest complication for
the 2022 World Cup, which Qatar is preparing to host.
If the travel restrictions remain in place long term, they
could keep supplies, workers and eventually soccer
fans from moving freely in and out of the country. The
tournament is already facing allegations of worker
misconduct, and it had to slash the budget for the
soccer tournament by more than 40% because of the
falling price of oil.
Impact on India:
As regards the impact of sanctions on India, it depends
on Qatar for 90% of its natural gas requirements and
hence is likely to maintain its good relationship with the
monarchy. A few days after the crisis began, the External
Affairs Ministry had made it clear that India didnt foresee
any issues caused to its own relations with countries in
the region. However, the Qatar Airways flights between
India and Doha will be affected as following the UAEs
decision to not allow its air space to be used, the flights
will now have to get routed through Iran.
Why is Qatar important for India?
While the current volume of Qatari FDI in India is
modest, Qatars Sovereign Wealth Fund and other
state-owned entities, as well as Qatari private
investors, are looking at investment options in
infrastructure in India, including in real estate, roads
and highways, airports and airlines, ports, LNG,
petrochemicals and fertilisers, and tourism/hospitality.
There is vast potential for Qatar Investment Authority
to substantially increase its investments in India, given
Indias huge needs $ 1 trillion in the next 5 years in
infra alone investment friendly policies, and QIAs
keenness to diversify its global portfolio. India has
made efforts to actively engage with QIA and other
state-owned and private entities in Qatar, highlighting
policies such as Make in India and the advantages of
investing in India.
Indias corporate sector too is increasingly pursuing
business opportunities in Qatar. A number of reputed
Indian companies, particularly in construction/
infrastructure and IT, have operations in Qatar.
While business has been the focus of the relationship,
Indias ties with Qatar have largely been founded on
energy and economic links, and the presence of the
Indian community, which in Qatar numbers over half a

million and, as in other GCC countries, is the largest
expatriate community. The interest of citizens living
and working in Qatar, many of them engaged in
projects related to the FIFA World Cup in 2022, is
paramount for India.
Indo - Russian Relations
Areas of cooperation
Political
Annual Summit meetings atvarious levels
Strategic partnership
BRICS & SCO
Defence
BrahMos msl
Fifth Gen Fighter Aircraft
Aircraft carrier
Submarines
Economic
Tgt of $30 billion trade by 2025
Major imports from Russia - def, nuc, fertilisers,
steel and diamonds
Nuclear Energy
Partner in peaceful use of nuc energy
Kudankulam Nuclear Power Plant being built with
Russian cooperation.
Space Cooperation
Satl launches
Glonass navigation
Remote sensing
Strain in Relations
Indo US
Def ties
Civ nuc deal
Lgs agreement
Russia - Pak
Russias decision to sup Pak Mi-35 Attk Heptrs
Jt ex
17th India-Russia Annual Summit (Goa, October 15,
2016):
16 agreements / MoUs signed with emphasis on def
Def
S-400 Triumf
- Long-range msl def sys with rg up to 400 km.
- The five S-400 Triumf AD Systems would be
operated by the IAF & would cost Rs.39,000 cr.
Four Krivak or Talwar Class Stealth Frigates:
- Cost of around $3 billion.
- Two would be built in Russia while two would
be built in India with Russias assistance.
200 Kamov-226T Utility Helicopters:
- Devp by Hindustan Aeronautics Limited (HAL)
and Russias Rostec Corporation
- Cost : $1 billion.
- Replace Cheetah and Chetak fleets
Info Security : Signed an agreement on info security
aimed at countering terrorism, drug trafficking and
other illegal cross border activities
A Science and Technology Commission to facilitate
development and sharing of cutting edge technologies
Both PM dedicated to the nation, 2nd unit of the
Kundankalam Atomic Power Plant and inaugurated
Ground Laying Work for Units Three and Four..
Russia Clarified Its Position on Jt Mil Ex with Pakistan:
Page 39 of 49
Russia does not intend to sell any military
hardware to Pakistan at present.
Russias military exercises with Pakistan in
September 2016 were directly connected with
modernising counter terror operations in Pakistan
Russian Direct-Investment Fund (RDIF) and Indias
National Investment and Infrastructure Fund (NIIF) to
Co-Invest $1 Billion in India
Essar Oil bought by a Consortium Led by Russian Oil
Major Rosneft for $13 Billion
Significance of the 17th India-Russia Annual Summit:
Deeping bilateral ties
Condemn terrorism
Signed 16 agreements / MoUs
Emphasis on Def mfr
Make in India
FDI
Nuc Power plant
18th Annual Summit (01 June 2017)
12 Agreements
Cultural Exchange
Intellectual Property Rights
Implementation of 5 & 6 units of Kudankulam nut
power plant
Railways
Indo - China relations
Issues of Conflict between India and China:
Border disputes
Trade imbalance heavily in favour of China
Chinas strong bilateral relations with Pak
Chinas technical hold on listing of Masood Azhar,
JeM leader, as trt in UN
CPEC passing through PoK
Chinas sp for Paks nuc pgme
Chinas reluctance to sp India at NSG and UNSC
Issue of Common Interest
Afghanistan, CAR and counter terrorism
Coop in multilateral realm, incl trade and climate
change
Maritime security in Indian ocean
Stability in West Asia and Gulf
Growing Concerns for China
Complex pol and security situation in Asia Pacific
Ruling against China over its claim to the South China
Sea by tribunal under UNCLOS
Relations with ASEAN
Dply of THAAD by US in South Korea
US - Japan relations
US - India relations
Strat Dialogue:
On February 22, 2017, Indias Foreign Secretary S.
Jaishankar visited China for the Strategic Dialogue.
The Strategic Dialogue was upgraded in 2016
following Chinas resistance to ban JeM Chief Masood
Azhar an international terrorist under the UNSC
Resolution 1267.
India and China also decided in 2016 to establish a
separate official-level forum to especially discuss
Indias membership of the NSG.
The India-China Strategic Dialogue is divided into five
sub-groups:
UN including the 1267 designation committee

Bilateral issues
Consular & Visa matters, or people-to-people ties
Afghanistan
Nuclear issues
BRI Forum
Belt and Road Initiative (B&RI) Forum:
Loc : Beijing, China
Date : 14-15 May 2017.
Attended by leaders from 29 countries, UN Secy-Gen,
IMF and World Bank President.
India did not attend the Belt and Road Forum.
US, Japan, France and South Korea sent delegates.
Funds
Since 2013, China has invested $60 billion.
Plans to invest $600 o $800 billion in next 5 years
China Development Bank and the Export-Import
Bank of China have extended $110 billion in loans
by the end of 2016
Currency swap deals worth 900 billion yuan with
countries along the Belt and Road routes
Chinese President Xi Jinpings Address at the Forum:
China would enhance friendship and coop with all
countries in the world on BRI on the basis of the five
principles of peaceful coexistence - Panchsheel.
China was ready to share the experience of
development with other countries.
China had no intention to interfere in other countries
internal affairs, export its social system or model of
development, or impose its will on others.
Pledged $124 billion additional funding for the B&RI to
help promote free trade, investments, and peace.
Reasons behind India Not Attending BRI Forum:
While the Govt supported connectivity projects, they
must be pursued in a manner that respects
sovereignty and territorial integrity.
India has objected to CPEC, which is part BRI, as it
includes projects in Gilgit-Baltistan region in PoK.
India believes that Chinas high interest project loans
could lead to a debt trap in countries like Bangladesh
and Sri Lanka.
There was lack of transparency in Chinas agenda
India was concerned that the B&RI was not only an
economic project but also one with political
implications as well.
China needed the Indian market more than India
needed Chinas investment
Border Dispute
Know about the dispute:
Indian troops have blocked a road under construction by
China in a part of territory under dispute. Its called the
Donglang region by China, Bhutan calls it Doklam
Plateau and India refers to it as Doka La.
The standoff with China is in Bhutans territory and in
a disputed area which is controlled by Thimphu but
coveted by Beijing.
The 89-square-km patch of territory in the Chumbi
valley sitting between Sikkim and Bhutan is an
unresolved boundary dispute Beijing has with
Thimphu. The two countries have failed to resolve it
despite 24 rounds of negotiations since 1984.
The same plateau extends to the India-Bhutan-China
tri-junction at the southern tip of Chumbi valley. The
Page 40 of 49
border with China is accepted by India along Sikkim,
so there is no dispute between the two.
Importance of Doklam Region:
Commanding view of the Chumbi valley
Overlooks the narrow Siliguri Corridor that links the
North-East to the rest of India.
Intentions behind Chinas aggressive moves:
India is a huge market for Chinese consumer goods.
Indias opposition to BRI marks a setback for Beijings
strategic economic and political pursuits.
China wants to keep India engaged in territorial issues
with it and its ally Pakistan. Since it has surged way
ahead of India in terms of economic development,
China wants to zealously guard the advantage.
India is moving to the US camp, undercutting Xis
ambition to establish a Sino-centric Asia
Given Indias vantage geographical location, China
needs its participation in BRI project. But India not
only boycotted BRI summit but has also portrayed BRI
as an opaque, neo-colonial enterprise seeking to
ensnare smaller, cash-strapped states in a debt trap.
Indo - Japanese relations
Issues between the India and Japan:
Global Partnership with a Strategic Orientation
Comprehensive Economic Partnership Agreement
(CEPA) between India and Japan being Implemented
from August 2011
Japan Agreed to Fund Six Infrastructure Projects
Worth Rs.10,500 Crore - India Highest Recipient of
Official Development Assistance (ODA) from Japan
India and Japan have signed a Civil Nuclear
Cooperation Agreement In Principle subject to the
approval by the Japanese Parliament.
Modis Visit to Japan (November 10-12, 2016): Deals
Civ Nuc deal
Skill devp pgme
Outer Space
Agriculture, Fisheries
Infrastructure and Urban devp
Textiles
Education, Science and Technology
Civ Nuc Deal
Why both countries took so much time?
The deal had been proposed six years ago and till
very recently, it seemed that the process would not be
concluded.
The two prime ministers had signed a memorandum
of understanding last December but the thorny issues
of Japanese companies liability for nuclear accidents,
the reprocessing of spent nuclear fuel, and the
consequences of any future testing of nuclear
weapons by India, remained on the table.
The last stage of negotiations on the deal was keenly
watched due to a nullification clause, which sought
automatic cancellation of the agreement if India
resorts to nuclear testing in the future.
Another sticking point has been Indias refusal to sign
the NPT, as it considers the treaty unfair to the
developing world.

Whats there in the new deal?
Nullification clause issue was resolved by annexing a
separate memorandum to the treaty which specifies
that Japan can suspend cooperation if India breaches
its no-testing pledge to the NSG.
India conceded to Japan on another clause which
says that Japan can notify India of the termination of
the pact with one years notice.
Why this deal was important for India?
Apart from the Russian reactors, Indias planned
nuclear reactors with France and US also depend on
Japanese parts. Moreover, GE, Westinghouse, and
Areva, the companies planning reactors in India, have
important ownership stakes of Japanese companies
such as Hitachi, Toshiba and Mitsubishi, which were
stopped by the Japanese govt from doing business
with India without a final nuclear deal. This deal will
help guarantee Japans continued support to Indias
civil nuclear programme for generation of clean and
cheap power.
Reservations in Japan against nuclear energy have
hardened after the Fukushima accident. Tokyos
support to the deal so far is therefore an indication of
the importance it accords to relations with India.
The agreement is also important for the message of
trust it would convey to Nuclear Suppliers Group
members in a year the country hopes to have its
admission accepted.
The move will also boost the meagre, and dipping,
bilateral trade of $15 billion, and lift the strategic
military and defence relationship.
Whats in it for Japan?
This deal will mainly help Japan for economical reasons
as companies like Mitsubishi and Hitachi are also in the
nuclear energy field, and they are running in loss ever
since the Fukushima disaster.
Indo - UK Relations
Importance of India for UK:
Indias dynamic economy
Indias democracy with three million elected
representatives - a beacon to the world
Indias tradition of Tolerance - dozens of faiths and
hundreds of languages living side by side
Indias sense of responsibility - reconstruction
assistance to Afghanistan, peacekeeping in Sierra
Leone or providing intellectual leadership in the G-20
India a source of strength for the world
Importance of UK for India:
UK and India are natural partners
Both countries have deep and close connections
among the people
Nearly two million people of Indian origin living in
Britain
UK and India are closer culturally
UK is the worlds sixth largest manufacturer and the
best base for companies wanting to do business in
Europe.
UK is a hub of science and innovation with some of
the best universities in the world
Irritants in Indo-Britain Relations:
Tax matters concerning British companies in India like
Vodafone and Shell
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Indias serious concerns at charges of corruption in
the VVIP helicopter deal with Agusta Westland, and
Anglo-Italian conglomerate.
British PM Theresa Mays Visit to India (6-8 Nov 16):
Signed two MoUs on ease of doing business and
intellectual property-related issues.
Security and Extradition-Related Issues:
India asked the United Kingdom (UK) to return 57
fugitives, including liquor baron Vijay Mallya, and
members of some Sikh extremist groups.
Visa Services:
The British Prime Minister offered first of its kind
frequent traveller scheme for Indians travelling to
Britain for business that would speed up their entry
into Britain.
Under frequent traveller scheme, Indian nationals
who frequently visit the UK, and contribute to
growth in both countries would face a significantly
easier entry process.
Economic Ties:
Foreign Direct Investment opportunities in India
India and the UK would set up an India-UK Urban
Partnership to explore the large business
opportunities provided by initiatives like Make in
India, Smart Cities, Startup India and Digital India
The UK is Indias largest G20 investor, employing
nearly 700,000 people across India.
The India-UK Joint Eco and Trade Committee
(JETCO) discussed tax and visa-related issues
The UK sought an early resolution of the Govt of
Indias disputes with Cairn and Vodafone on
retrospective taxation and also raised concerns
over tax uncertainties in India.
Indo - Israel Relations
Israels Importance to India:
Major Supplier of Hi-Tech Weaponry
Countering Terrorism
Economic relations
Importance of India to Israel:
Political, Diplomatic and Strategic Benefits
Insulating Arab Neighbourhood from Transfer of
Nuclear Technology from Pakistan
Maritime Security: India is emerging as a key partner
of Israel in safeguarding its vital strat interests in Asia.
Areas of Bilateral Cooperation:
Defence Cooperation
People-to-People Interaction
Counter-terrorism
Defence Deals with Israel:
Israel Second Largest Arms Supplier to India
Phalcon Deal Signed
Arrow II Anti-Ballistic Missiles
Barak Anti-Ship Missiles Space.
Night-Vision Equipment
Shipborne Electronic Warfare Systems.
Israel Pres Reuven Rivlins Vis (15-20 Nov 16):
Agenda for the Visit:
Delegation of businessmen, agriculture, defence
and university officials.
Both nations signed several agreements with focus
on cooperation in agriculture, water and education.

The President of Israel also visited Chandigarh &
Karnal as part of his plan to highlight agri-coop.
Bilateral Talks:
Terrorism - Both sides would work to counter
terrorism, radicalism and extremism even as they
agreed to work together in areas like agriculture
and water resources management.
Both sides agreed to take practical and specific
measures like cyber-security cooperation and
agreed to expand defence ties.
Make in India - The President of Israel said that his
country was ready to make in India and make with
India.
Sp reformed UN Security Council (UNSC).
India and Israel signed Agreements to Strengthen
Cooperation in Agriculture and Water Management.
Modis vis to Israel
Date : 5 July 2017
7 MoUs
Industrial R&D and Technological innovation fund
Infra, Energy and Water resources
Agriculture
Outer Space
- Atomic Clocks
- Optical link
- Electric propulsion for small satls
India - UAE Relations
UAEs Importance for India
Energy security: UAE is a significant contributor to
India's energy security and was the fifth largest
supplier of crude oil in 2015-16.
Important trading Partner: UAE is an important trading
partner for India in the Gulf region with bilateral trade
last year at $50 billion. It has $4 billion in investments
in areas ranging from smart cities to real estate.
Security and welfare of Indian community:
Indians make up 30% of the population, 2.6 million
the single largest expatriate community in the
UAE.
India receives around 52% of its remittances from
its Gulf expatriates.
To counter radicalisation: UAE is member of Gulf
cooperation council - close cooperation is essential for
maintaining stable relations in Gulf region and for
counter radicalisation.
To isolate Pakistan:
In 2015, during PM's visit, UAE made a critical shift
in its policy by backing India on terrorism from
Pakistani soil.
The unspoken significance of the UAE visit is
about ending Pakistans primacy in the UAE.
Crown Prince of Abu Dhabi Visited India as the Chief
Guest of Republic Day in 2017:
Contingent of UAE Soldiers Participated in Indias
Republic Day Parade
14 Agreements:
Comprehensive Strategic Partnership agreement.
Cyber Space
Def industry
Maritime tpt
Rd tpt and Highway sector
Small and Medium Enterprises
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Agriculture
Visa Exemption - Diplomatic, Special & Official
Coop in broadcasting pgme
Storage of Oil
India - Egypt Relations
Egyptian President Abdel Fattah Al Sisis Visit to
India (September 1-2, 2016)
Enhancing Bilateral Ties :
Incr bilateral trade to 8 million from 3 million
India and Egypt would upgrade economic and
trade ties, increase mutual visits, intensify counter
terror cooperation, and work on renewable energy.
Egypt invited Indian participation in the Suez cnl
eco zone, particularly in sectors such as
petrochemicals, energy, agriculture, healthcare,
education, skills and IT.
Maritime Transport : Agreement on maritime transport
between the two sides.
Defence and Security Cooperation:
Aimed at expanding defence trade, training and
capacity building, greater information and
operational exchanges to combat terrorism and
coop on emerging challenges of cyber security.
Exchanges on security coop and counter-terrorism
at the level of NSAs and the conclusion of a MoU
for coop betn the two national security councils.
The Joint Statement strongly condemned terrorism
in all forms and manifestations.
Both sides also reaffirmed their resolve to work
together at UN on concluding the Comprehensive
Convention on International Terrorism (CCIT).
Climate Change : Highlighted the provisions of
UNFCCC and in particular of Equality and Common
but Differentiated Responsibilities
Economic Ties:
Deepen cooperation in agriculture, skill
development, small and medium industry and
health sectors to diversify the portfolio of economic
engagement.
Agreed that increased flow of goods, services and
capital.
Cultural Exchanges:
Egypt has proposed to hold the cultural event,
Egypt by the Ganga in response to Indias
initiative, India by the Nile which has now
become a major cultural event in Egypt.
India - Qatar Relations
Qatars Importance for India
Energy security: Qatar is the largest supplier of LNG
to it, accounting for 66% of the total imports in
2015-16.
Important trading Partner: Bilateral trade in 2014-15
standing at $15.67 billion of which Indias exports
were only $1 billion.
Security and welfare of Indian community: Indians
form largest expatriate community in Qatar. There are
over expatriate 630,000 Indians in Qatar.
To counter radicalisation: Qatar is member of Gulf
cooperation council (GCC), close cooperation with

Qatar is essential for maintaining stable relation in
Gulf region.
List of agreements
Visa Exemption for holders of diplomatic, special and
official passport
Protocol on technical coop in cyberspace & combating
cybercrime
MoU was signed between Supreme Committee for
Delivery and Legacy of Qatar and Confederation of
Indian Industry, which will provide a framework for
project experts for Indian companies in Qatar,
including through participation in infrastructure
projects in Qatar undertaken for the 2022 FIFA World
Cup.
Letter of Intent regarding negotiations on an
Agreement on grant of e-Visa for businessmen and
tourists of the two countries
Indo - Vietnam relations
Vietnams Importance for India
Vietnam is an imp element of Indias Act East Policy.
Connectivity: In the future, the India-Myanmar-
Thailand trilateral highway could link up with
Vietnamese port of Da Nang.
Vietnam is also an important partner for Indias
engagement in the ASEAN.
Strategic location: operates as the gate to enter
Southeast Asia from north.
Growing economic and commercial engagement.
Indias growing economy needs energy resources and
Vietnam has rich hydrocarbon reserves, for example
ONGC had been given two exploration blocks
originally (Block 127 and Block 128 in 2006).
Indias Importance for Vietnam
Counter China in the South China Sea
Indian companies can infuse much needed capital
and technology into the Vietnamese market to bring it
to par with its East Asian counterparts.
Cultural values due to Buddhism
Modis Visit to Vietnam (September 03, 2016)
Strategic Partnership Upgraded to a Comprehensive
Strategic Partnership
Defence Cooperation:
Defence Line of Credit for Vietnam of $500 million
for deeper def coop.
Agreement to construct offshore patrol boats.
India and Vietnam Signed 12 Agreements:
Covering defence, IT, Space, cyber security and
sharing white shipping information.
South China Sea Conflict:
Both sides also urged all parties to show utmost
respect for UNCLOS.
Chairwoman of National Assembly of Vietnam, paid
official visit to India.
Civil nuclear cooperation agreement:
Vietnam is the 14th country with which India signed
the civil nuclear deal.
The two countries had earlier in 1986 signed a
pact in the civil nuclear field limited to training.
However, the new agreement is broad based and
encompasses research on reactors.
MoU was signed between Air India and Vietjet
Aviation Company for promotion of traffic between
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Vietnam and India and sharing of best practices in
airline operation, ground handling procedure and
management.
Another MoU was signed between India's Energy
Efficiency Services Limited (EESL) and Vietnam
Electricity (EVN) on developing a partnership to jointly
work in the area of energy efficiency.
A parliamentary coop agreement was also signed.
Other areas of cooperation
Vietnam extended invitation to India to explore energy
in South China Sea and supported Indias multilateral
membership plans.
Highlighting Indias importance as a regional power,
Vietnam has urged New Delhi to intensify economic
engagement with Southeast Asia.
Defence cooperation:
In a further boost to its growing defence ties with
Vietnam, India has agreed to train the southeast
nations Sukhoi-30 fighter pilots.
A memorandum of understanding was signed on
peacekeeping as well as exchange of delegations.
India - Myanmar Relations
Reasons for Reviving Bilateral Relations:
Myanmars Geo-Strategic Importance
Bearing on Indias Security Interests in Bay of Bengal
Coop to Counter North-Eastern Insurgent Groups
Countering the Influence of other Powers in Myanmar
Countering China
Countering Pakistan
Land bridge between India and South-East Asia
Growing Relations with Myanmar Reflect India's
Decision to give Paramount Importance to National
Security and Regional Engagements
Indias Projects in Myanmar and Aid to Myanmar:
Kaladan multi-modal transport project
Sittwe deepwater port.
$10 million for procurement of agricultural tools
India handed over 10 modern and disaster-proof rice
silos @ $2 million to preserve grains during natural
calamities
Modernise the childrens hospital in Yangon
Team from the Archaeological Survey of India for
restoration of 11th century Ananda temple
Bilateral Coop
Trade and Economy
Indias demands for pulses can be met by long
term arrangement
Sp to devp agriculture, industry & infra
Sp for skill devp
Direct trade route & eff security can help incr trade
Connectivity
Myanmar acts as land br betn India and SE Asia
Kaladan multimodal proj for improving connectivity
with NE India through land and water route
Trilateral Asian Highway project connecting India,
Myanmar and Thailand
250 km Tamu - Kalewa - Kalemyo rd built by BRO
Upgradation of Rd Kalewa and Yagyi
Security
NE militancy in India
India is sp peace and reconciliation in Myanmar
Importance of sound border mgt

Maritime security coop in Bay of Bengal
Military
Indias sp to modernise Myanmar Armed forces
Naval Ex in Bay of Bengal
Multilateral Forums : Coop in ASEAN, BIMSTEC,
SAARC
Energy and Power
India has setup power plants in Myanmar which
are expected to be scaled up to sup elec to
Manipur
Expand coop in oil exploration
Developmental coop
Capacity building, education, healthcare,
infrastructure
Hospitals, IT, agriculture etc
Indian External Affairs Minister Visit (Aug 22, 2016):
This was the first high-level visit from India after the
formation of a civilian govt in Myanmar.
Main agenda - cross border terrorism
Myanmar President Visit (Aug 27-29, 2016):
Agreement for Construction of 69 Bridges:
Including apch roads in the Tamu Kyigone-Kalewa
section of the Trilateral Highway
Another agreement was signed on the upgradation
of the Kalewa-Yagyi road section.
Wide-Ranging Discussions:
India supported the national reconciliation and
peace process of the Govt of Myanmar under the
21st century Panglong Conference an initiative
by Aung Suu Kyi to bring three rebel armed groups
to the negotiating table with Chinas help.
Both countries recognised that their security
interests were closely aligned
Agreed to remain sensitive to each others
strategic interests and concerns.
Work together for the safety and security of their
people.
Coop to tackle the common challenges of terrorism
and insurgent activity in their region
The Joint Statement pledged efforts against violent
rebels and promised to uphold territorial integrity
and national sovereignty.
Commitment not to allow insurgents groups to use
their territory for hostile activities.
Myanmars State Counsellor and Foreign Minister
Aung San Suu Kyis Visit (October 18-19, 2016):
Three MoUs on insurance, power and banking.
Coop for building programme for insurance
industry of Myanmar
Coop in Power sector - scale up power supply from
Moreh in Manipur to Tamu in Myanmar. India would
also partner a pilot LED electrification project in a
site designed by the govt of Myanmar
Banking supervision betn RBI and Central Bank of
Myanmar
Fencing the Eastern Border with Myanmar
Background
Myanmar will construct the fence in its Naga self-
adm zone, 10 metres from the demarcation border
line for effective border management.
The NE insurgents like NSCN-K move seamlessly
between the two countries due to porous borders.
They also find safe havens across the border after
carrying out attacks in India.
Page 44 of 49
In 2015, India carried out surgical strikes against
NSCN-K by crossing the border in response to the
killing of a troop contingent by the insurgents.
Supreme Court has also asked the govt to fence
the eastern border like the western one.
Issues Involved
Sovereignty v/s National Security With recent
surgical strike by India, question arises whether
National Security of one country can be given
precedence over the Sovereignty of the other
country. Fencing may be a move to protect
sovereignty.
National security v/s right to livelihood and trade -
1,624 km long India-Myanmar border gives tribals
a travel access up to 16 km on either side without
visa (known as Free Movement Regime). Fencing
may disturb these trade activities but may prevent
seamless movement of insurgents.
Challenges : May lead to armed conflict with the locals
Recom
Selective fencing
Regulated flow of cross border mov
India - Sri lanka Relations
Issues of Concern in Indo-Sri Lankan Relations:
13th Amendment to the Sri Lankan Constitution.
Repatriation of 100,000 Tamil refugees in Sri Lankan.
Chinese submarines docking in Sri Lankan ports
Problem of fishermen.
SL PM Ranil Wickremesinghe Visit (Oct 5-6, 2016):
SL wanted SAARC to Address Cross-Border Terrorism
Bilateral Talks with the Indian PM
Indias aid and technical support to Sri Lanka.
Peace building process after LTTE
Economic Ties:
Signed an enhanced bilateral eco partnership to
allow free flow of services, investments and tech.
It is in addition to the existing FTA.
Sri Lanka would build a second refinery with a
capacity of at least 100,000 barrels per day (bpd)
in a tie-up with Indian Oil Corp (IOC).
Significance of SL PM Visit to India:
Several bilateral issues were resolved amicably.
Decision to fast track negotiations on the Economic
and Technical Cooperation Agreement (ETCA).
Sri Lankan PM Ranil Wickremesinghes Visit to India:
Date : 26 Apr 2017.
Signed MoU for cooperation in economic projects.
Expressed hope for an early conclusion of the
ongoing negotiations on the Economic and Tech
Cooperation Agreement (ETCA).
Modis Visit to Sri Lanka (May 12-13, 2017):
To participate in the UN Vesak Day celebrations.
The visit was termed as a religious engagement.
Tamil National Alliance (TNA) Wants the Northern and
Eastern Provinces to be Merged:
Northern and eastern provinces were merged fwg the
Indo-Sri Lankan Accord of 1987. However, in 2006
they were separated by a Supreme Court order.
Muslims, Sinhalese and some Tamils of the eastern
province have opposed the controversial demand.

Indo - Nepal relations
Nepals PM Prachandas Visit to India:
Date : 15-18 Sep 2016.
India and Nepal Signed Three Agreements:
Upgrading Rd infra in Terai area of Nepal
Amendatory agreement to $1 bn LoC signed on 25
Nov 2014, enabling reapportioning of unutilised
funds for post earthquake reconstr proj in Nepal
New LoC of $750 mn for post-earthquake reconstr.
Bilateral Talks
Strengthen its development partnership with Nepal
Trade, connectivity in all its dimensions, devp
projects and mutual investments were key pillars
Indias initiatives for open sky, cross-border power
trade, transit routes, cross-border connectivity
would directly benefit Nepal and help strengthen
their economic partnership
Three power projects Pancheswar, Arun III and
Upper Karnail being discussed in detail.
Significance of the Visit:
Repairing the bitterness of the past year and the
economic blockade.
The Nepalese Prime Minister said that his priority was
the implementation of the Constitution, and would be
initiating dialogue with the Terai Madhesi parties.
India focused on economic and power projects during
the Nepalese Prime Ministers visit which displayed
the maturing of Indias position after the friction in
bilateral relations last year
Indian President Pranab Mukherjees Visit to Nepal:
Date : 2-4 Nov 2016
Mr. Mukherjee pointed to the task ahead for Nepal in
framing a Constitution that addressed its diverse
social fabric.
Try to carry all sections of the population along
India remained committed to its neighbourhood first
foreign policy.
Nepalese Students would be able to Compete for
Seats in IITs from 2017
India - Afghanistan relations
India's Stakes in Afghanistan:
India's Gateway to the West.
Security and Economic Stakes
India can mentor a nascent democracy & demonstrate
that India is indeed a major and responsible power
TAPI project will be possible if stability is est
Need to reduce Pak influence in the region
For access to land locked countries of CAR
Natural resources of Afghanistan
Focus of Indias Afghan Policy:
Afghanistan's territorial integrity and political stability
Preventing return of Taliban and religious extremism.
Afghanistan will emerge as a key land passage for the
Caspian basin gas and oil which are crucial for Indias
growing energy requirements.
Securing Indias Interests in Afghanistan:
Indias development projects in Afghanistan remain
the target of the Taliban.
Page 45 of 49
Indias role in the long-term stability of Afghanistan is
opposed by the Taliban as it would strengthen the
democratic Govt in that country
India Needs to Consider Long-Term Scenarios of Its
Political, Diplomatic and Mil Options in Afghanistan
Creation of a Regional Grouping for Long-Term
Stability in Afghanistan
Widen Its Engagement with Different Sections
India, Iran and Afghanistan signed an agreement for
Trilateral Transport Transit Corridor connecting
Chabahar with Afghanistans road and rail network.
The trilateral agreement would give India access to
Afghanistan, CAR and beyond bypassing Pakistan
Bilateral Relations
India has emp soft power apch in Afghanistan
Trade : 20% incr in 5 yrs
Def : export of Mi-25 & LCA heptrs and Tejas ac
Parliament Building : India constr @ $90 million
Heart of Asia Conf : @ Delhi with obj of bringing
peace and stability in Afghanistan
Financial Aid : Over $ 2 billion
Afghanistan President Ashraf Ghanis Visit to India
(September 14-15, 2016):
India Announced $1 Billion Development Assistance
to Afghanistan:
Would add to the $2 billion already committed
Would be used for capacity and capability building
in education, health, agriculture, skill development,
empowerment of women, energy, infrastructure
and strengthening of democratic institutions.
Three Pacts Signed:
Extradition Treaty the treaty would provide legal
framework for seeking extradition of terrorists,
economic offenders and other criminals from and
to Afghanistan.
Agreement on mutual legal assistance mechanism
Use of Outer Space
Jt Statement
Terrorism
Connectivity Chabahar Port
The two leaders expressed disappointment over
the fact that 1.7 lakh tonnes of wheat that India
had offered Afghanistan in December 2015
remained undelivered due to Pakistans blockage
of transit rights
India proposed to supply world-class and easily
affordable medicines and cooperation in solar
energy through mutually agreed instruments.
Significance of the Visit:
Marked a course correction in Afghanistans
foreign policy. This was evident in the signing of
pacts on extradition treaty, mutual legal assistance
and space cooperation.
Visits of the President of Afghanistan and the
Prime Minister of Nepal to India in September
2016 a twopronged message was sent out by
India in its neighbourhood first policy:
- First, India sought to isolate its bad ties with
Pakistan in comparison to its good ties with the
rest of the SAARC region.
- Second, the visits marked a repair in Indias ties
with Afghanistan and Nepal.
Indias Def Asst to Afghanistan
Positive Impact
Better combat of militants
Aligning Afg towards India and away from Pak

Thrust mfr of def eqpt to India
Status of regional power
Stability essential for Indias various projects &
gateway to CAR
Negative Impact
Fundamental problem is leadership crisis which
arms cannot compensate for
Conflict with Taliban may incr
India should first attain self-sufficiency before
exporting weapons to other countries
APTTA (Afg - Pak transit trade agreement)
Introduction
The 2010 APTTA allows for both countries to use each
other's airports, railways, roads, and ports for transit
trade along designated transit corridors.
The agreement does not cover road transport vehicles
from any third country (India or CAR)
The APTTA agreement allows Afghan trucks to
transport exports to India via Pakistan up to the
Wagah crossing point, but does not offer Afghanistan
the right to import Indian goods across Pak territory.
Issues with APTTA
Bitter India-Pakistan relations mean Afghan trucks
carrying perishable fruit face long delays on both
sides of the border where they must be loaded and
unloaded, often more than once.
Pakistan has rejected the demand voiced by Afghan
President Ashraf Ghani that India be made a party to
its transit trade pact with Kabul
Indias External Affairs Minister had at the last Heart of
Asia ministerial conference in Islamabad expressed
Indias wish to join the Afghanistan-Pakistan Trade
and Transit Agreement (APTTA).
Separate trade routes
India is working on a corridor via Irans Chabahar port,
where goods will go up the land route and connect to
the Zaranj-Delaram Highway bypassing Pak.
Pakistan will connect directly to China through the
small strip through PoK and Gilgit-Baltistan once the
China-Pakistan Economic Corridor is ready, avoiding
both India and Afghanistan.
Afghanistan too is assiduously cultivating its options to
the north, and its position in Chinas One Belt, One
Road plans.
India - Singapore relations
Commons issues
Tourism
Skill devp
Economic agenda
Investment
Greater role in ASEAN and Indo-Pacific region
Singapore PM Lee Hsien Loong vis India
MoU in the field of Industrial Property Coop betn
Department of Industrial Policy and Promotion (DIPP)
and Intellectual Property Office of Singapore.
MoU on Collaboration in the Field of Technical and
Vocational Education and Trg betn National Skill Devp
Corporation & ITE Education Services, Singapore.
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MoU on Collaboration in the Field of Technical and
Vocational Education and Training between the Govt
of Assam and ITE Education Services, Singapore.
The agreements were signed for smart cities drive
and skill India program during the bilateral visit as
Singapore has expertise in both the fields.
Double Taxation Avoidance Protocol (DTAA)
Will come into effect from Apr 2017
Provides for residence based taxation of capital gains
of shares in a company
Allows India to tax investments from Singapore
It will help plug the loophole for black money
Indo - Bangladesh Relations
Areas of Coop
Power, Water resources, trade, transit & Connectivity
Bangladesh PM Sheikh Hasinas Visit to India:
Date : 7-10 Apr 2017
22 Agreements
LoC worth $5 Billion
peaceful uses of Outer Space
Defence Cooperation:
- Signed MoU on defence framework.
- LoC of $500 million for def procurement.
- Not bound to source its sup only from Indian
coys
- Strat and Op studies
- Natl security, devp and Strat studies
Civ Nuc Coop
- Peaceful uses of nut energy
- Research & Devp betn them.
IT and Electronics
Cyber Security
Est Border Haats
Bilateral Judicial sector coop
Navig aids for shipping industry
Earth sciences R&D
Mass media
Construction of 36 Community clinics
Connectivity Rail and Bus Services Launched:
- Between Kolkata and Khulna.
- The defunct Radhikapur-Biral rail link between
the two countries was also restored.
- Hoped for an early implementation of the BBIN
Motor Vehicles Agreement.
Deal to Finance a Diesel Oil Pipeline from Assam
to Bangladesh
Sharing of Teesta River Water: India and Bangladesh
could not make any progress on the sharing of Teesta
River water.
Economic Relations:
Bangladesh invited Indian companies to invest in
her countrys infrastructure sector which requires
investments of about $20 billion annually till 2030.
Major power, oil and gas companies from India and
Bangladesh signed agreements worth $9 billion.
Teesta Waters Issue
Key facts:
Teesta is the fourth largest transboundary river shared
between India and Bangladesh, after the Ganges,
Brahmaputra and the Meghna (GBM) river system.

The Teesta originates in the Indian state of Sikkim and
its total length is 414 km, out of which 151 km lie in
Sikkim, 142 kms flow along the Sikkim-West Bengal
boundary and through West Bengal, and 121 km run
in Bangladesh.
Whats the issue?
It all began when West Bengal started constructing a
barrage across the Teesta River. Bangladesh opposed
the construction as few regions in the country were
dependent only Teesta River water for agriculture.
However, after negotiation, an ad-hoc agreement was
reached. As per the agreement, 36% of water of the
Teesta flows was allocated to Bangladesh, 39% to
India and a further 25 % remained unallocated.
But even this deal has remained pending for more
than 2 decades.
Later, in 2013, an agreement was drafted which
allowed for the 50:50 allocation of Teesta waters
between the countries during the lean season, when
the real problems of allocation crop up. However, that
was not acceptable.
From Dec to March, Bangladesh wants 50% of the
rivers water supply, but India claims a share of 55%.
Efforts to solve the issue:
A Joint River Commission was setup. However, no
pragmatic and long-term solution could come out.
India has been examining many parameters for
arriving at a workable solution. A possible option
considered was that since the regeneration of flow
in the river channel between the Gajoldoba and Dalia
barrages is about 25%, which would be available at
the downstream barrage the additional 25%
demanded by Bangladesh could be released by West
Bengal from the upstream barrage.
But the state had its own compulsions for meeting
irrigation needs as the summer flows are generally
erratic. Hence, West Bengal did not want to commit to
releasing water from the upstream barrage.
West Bengals opposition:
West Bengal has been opposing the treaty fearing
that the loss of higher volume of water to the lower
riparian would cause problems in the northern region
of state, especially during drier months.
It is estimated that the Teesta River has a mean
annual flow of 60 billion cubic metres but a significant
amount of this water flows only during wet season i.e.
between June and September, leaving scant flow
during the dry season i.e. October to April/May
wherein the average flow gets reduced to about 500
million cubic metres (MCM) per month.
Why this deal matters for both India & Bangladesh?
India witnessed a surge in insurgency in the Northeast
during the rule of the Bangladesh Nationalist Party
(BNP) from 2001 to 2005. A new policy to befriend the
BNP backfired. Bangladesh allegedly sheltered
insurgents engaged in anti-India activities, and nearly
all the Home Ministry-level talks ended without
agreement, and India had to increase the security
budget for the Northeast.
In a couple of years of assuming office in 2008, the
Awami League targeted insurgent camps and handed
over the rebels to India. As Indias security
establishment heaved a sigh of relief, the relationship
improved on multiple fronts.
But in 2017, the Awami League is on a sticky wicket.
It will be facing one of its toughest elections in two
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years and water-sharing will be one of the key issues.
If this deal is not sealed, it will hurt both India and
Bangladesh.
What can be done?
Proposals made in the Indian River Linking (IRL)
project could be considered.
The Manas-Sankosh-Teesta-Ganga (MSTG) link
canal is one of the links proposed under the
Himalayan component of the IRL. It envisages
diversion of the surplus waters of the Manas and
Sankosh rivers to the Teesta, Ganga and beyond, to
meet the requirements of water-deficit areas. By
making suitable provisions in the link canal, it should
be possible to release the required water into the
Teesta during the summer to augment river flows, thus
meeting the requirements being proposed for water-
sharing with Bangladesh.
Also, another suggestion is the construction of giant
artificial reservoirs, where the monsoon water can be
stored for the lean season. The reservoirs need to be
built in India as the country has some mountain-
induced sites favourable to hosting dams with
reservoirs, unlike Bangladesh.
Indo - Pak Relations
Indus Waters Treaty
Indus River
It comprises of the eastern rivers-the Sutlej, the Beas
and the Ravi and the western rivers-the Indus, the
Jhelum and the Chenab.
The Indus itself originates in the Tibetan Himalayas.
After flowing through Jammu and Kashmir enters
Pakistan.
The Jhelum and Chenab originate in India as well.
Indus Waters Treaty
The Indus Waters Treaty was signed in 1960.
Under the Treaty, the waters of the eastern rivers
along the border were allocated to India while those of
the western rivers went exclusively to Pakistan.
Under Article 8 of the Indus Waters Treaty, both
countries are expected to meet at least once a year to
discuss bilateral problems.
Kishenganga Hydro-Power Project:
Involves diversion of waters of Kishenganga, tributory
of Jhelum to another tributary (Bunar Mandhumati)
near Bandipur in Baramulla district
India is bldg a 330 MW proj on the Kishenganga.
Pakistan's Objections to the Project:
Pakistan maintains that it has rights over the western
rivers including Jhelum and diversion of waters by
India for the Kishenganga project would adversely
affect its project on Neelum (Jhelum is called Neelum
in Pakistan).
Questions on Design of the Project: Pakistan has
raised questions on the design of the Kishenganga
project.
Cut in Supply of Water to Pakistan: Pakistan claims
that the construction of the Kishenganga project will
reduce the capacity of similar projects in Pakistan.
Diversion of Water by India Goes Against the Indus
Water Treaty: The project envisages a 21-km long

underground canal which amounts to diversion of
waters and hence goes against the Indus water treaty.
India's Stand:
India emphasises that it is within its rights under the
Indus Waters Treaty to deliver waters into a tributary
to the extent that the existing agriculture and
hydroelectric uses by Pakistan are not affected.
India has pointed out that so far Pakistan had not
given details of any agriculture use and its
hydroelectric use is also non-existent.
Design is not Violation of the Indus Water Treaty: India
maintains that the design of the Kishenganga project
is very much within the provisions of the Indus water
treaty.
India Ready to Make Modifications to the Project
Design: India is willing to make practical modifications
to the project design.
Waters Will be Released Back to Pakistan: India has
made it clear that the 21-km canal is needed to take
waters to the reservoir. The entire waters will be
released back to Pakistan.
Court of Arbitration Stayed Permanent Works on
Kishenganga Project (September 2011):
In September 2011, the Court of Arbitration in its
interim order said that except for the sub-surface
foundations of the dam, India should not proceed with
the construction of any permanent works on or above
the Kishenganga/Neelum riverbed at the Gurez site
that may inhibit the restoration of the full flow of that
river to its natural channel.
The Court said that for the duration of the proceedings
up until the rendering of the Award, it was open to
India to continue with all works relating to the project
except for the restriction placed by it.
The interim order of the Court of Arbitration urged both
India and Pakistan to undertake joint inspection of the
site to monitor the implementation of the Courts
direction. Both parties could also submit their
agreement or disagreement on the implementation of
the order.
The Court said that it would remain actively seized of
the matter and may revise the interim order or issue
further orders in the light of the circumstances then
obtaining.
Pakistan had also taken the matter of Indias 450 MW
Baglihar hydroelectric dam to a neutral expert.
At Pakistans behest the works on the Tulbul
Navigation project have also been stayed at the
bilateral level.
The Court of Arbitration Allowed India to Go Ahead
with the Construction of the Kishenganga Project
(February 18, 2013):
The Court rejected Pakistans plea that the project
was a violation of the 1960 Indus Water Treaty.
The Court of Arbitration in its award said that India
could go ahead with the diversion of the waters of
Kishenganga for hydroelectric power generation.
India was restrained by the Court from adopting the
d r a w d o w n fl u s h i n g t e c h n i q u e f o r c l e a r i n g
sedimentation for the 330 MW River project. India
would have to opt for a different technique for flushing.
Significance of Court of Arbitration Award for India:
The Ministry of External Affairs said that the award of
the Court of Arbitration at the Hague reaffirmed the
validity of Indias position regarding the Kishenganga
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Hydro-Electric Project (KHEP) by allowing diversion of
water from the KHEP as envisaged by India
The Court of Arbitration award highlighted once again
that India is adhering to all the provisions of the Indus
Water Treaty, according to the Ministry of External
Affairs.
India Attends Indus Water Commission (Islamabad,
March 20-21, 2017):
Indias 10-member delegation.
Ratle Project:
Located in Doda on the Chenab river
Installed capacity: 850 MW
Incl constr of 195m x 133m high concrete dam
Commissioning of the project: 2018
Cost of the Project: 6,400 crore
Pakistan has objected to three hydro projects being
built by India on rivers that flow to Pakistan:
Pukul Dul Dam: A 1000 MW hydroelectric project
on the Chenab in Jammu and Kashmir
Miyar Hydroelectric Project: A 120 MW project
located across Miyar Nalla which is right bank
tributary of the Chenab, located in Himachal
Pradesh.
Lower Kalnai Hydroelectric Project: A 43 MW
project on the Lower Kalnai Nalla, another tributary
of the Chenab located in Jammu and Kashmir.
India and Pakistan agreed on redesigning the Miyar
Hydroelectric project.
Both countries also agreed that the Pakul Dul and the
Lower Kalnai projects would be inspected again.
India - US Relations
Converging Interests Between India and the US:
Economic coop incl def tech.
Sp for global issues like climate change.
Intensive coop in counter-terrorism.
Maint of peace in IOR.
Stability in West Asia.
Safeguarding of sea lanes in the region.
Prevention of proliferation of WMDs.
Preservation of a stable balance of power in Asia.
The Pakistan Factor in Indo-US Relations:
Separate Relationships with Both.
No Mediation in Kashmir.
The China Factor in Indo-US Relations:
Containment of China.
India insists Indo-US relations is free of China Factor.
Indo-US Mil Coop Not Targeted against China.
Indo-US Defence Ties:
Expansion of Defence Trade.
Conducting Joint Exercises and exchanges.
Collaborating in multi-natl ops of national interest.
Strengthening the militaries capb to defeat terrorism.
Enhancing the capb to combat proliferation of WMDs.
Expanding collaboration in missile defence.
Defence Technology and Partnership Act
Intro in US congress in Mar 2016
Would institutionalise Def Tech and Trade Initiative
(DTTI) framework betn the two countries and setup
India specific cell in Pentagon
Aims to amend the US Arms Export Control Action to
formalise Indias status as a major partner of equal
status on par with US treaty allies and closet partners.

The act would institutionalise what US is doing with
DTTI and India Rapid Reaction Cell (IRRC).
IRRC is the only country specific unit in the Pentagon
and works for Def acqn,Tech and Lgs.
IRRC was setup in Jan 2015 with 6 member team.
Lgs Exchange Memorandum of Agreement (LEMOA).
Signed during US Def Secys vis to India on 12 Apr 16
and Indian Def ministers vis to US on 30 Aug 16.
The LEMOA (traditionally called the Lgs Sp
Agreement) provides a framework for lgs sp, sup and
services betn US military and armed forces of partner
nations on a reimbursable basis.
It makes it more routine and automatic for the two
countries to operate together.
LEMOA will not facilitate basing US troops in India
Three Foundational Agreements guide the US high
technology cooperation with other countries:
Lgs Exch Memorandum of Agreement (LEMOA)
Comns Interoperability and Security Memorandum
of Agreement (CISMOA)
Basic Exch and Coop Agreement for Geo-spatial
Coop (BECA)
Significance of LEMOA to India:
Strengthen strategic relations with US.
The LEMOA would give access to US aircraft and
warships to Indian military bases for logistical
purposes, including refuelling and repair. Indian mil
would also be given similar access to US bases.
LEMOA is a security partnership and not an alliance
with the US, hence India is not surrendering its
strategic autonomy.
The agreement does not entail stationing of US tps in
India or require Indias sp for US mil action anywhere
in the world nor does it mandate joint naval patrols.
As China aggressively trying to emerge as a maritime
power in the Indian Ocean, Indias engagement with
the US and keeping its options open gives it the
strategic leverage against China.
The need for LEMOA was felt during humanitarian ops
like Op Rahat.
India - Africa Relations
Significance of Africa to India:
Africa can diversifying Indias Energy Supplies.
African countries have rich uranium reserves.
Support from the African Block is Crucial for India's
aspirations for Permanent UNSC.
Significance of India to Africa:
India can offer Africa Eco Devp and Democratic
Freedom
Expanding Trade betn India & Africa - $70 Billion
India's adv in Africa lies in the large expatriate
business community throughout Africa
India Helping Africa in Human Resource Development
and Capacity Building Programmes through ITEC
India Helping Africa in Bridging the Digital Divide
India's Partnership with Africa Does Not Carry the
Colonial Baggage
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Asia-Africa Growth Corridor (AAGC)
Introduction
On 22-23 May, PM Modi announced the launch of
Indias latest initiative in Africa, the Asia-Africa Growth
Corridor (AAGC), in partnership with Japan.
Aimed to boost ties with the continent.
Main objective is to enhance growth and connectivity
between Asia and Africa.
Significance
The Asia-Africa Growth Corridor highlights the
growing importance of Africa in Indian foreign policy
It signals Indias willingness to partner with like-
minded countries, such as Japan, in this region.
Agriculture, health, technology, enhancing skills and
disaster management have been identified as the
main areas of development cooperation.
The corridor will facilitate greater people-to-people
exchanges amongst the participating countries.
AAGC marries Indias brand of human resources
development and capacity building with Japans
objective of delivering quality infrastructure in the
region.
The AAGC-led growth in Africa and Asia will be
responsive to the collective commitment for the
sustainable development goals.
The AAGC will provide a great chance for India to
improve its position in the global market.
Is AAGC a Counter to OBOR?
AAGC is said to link Africa with India and other
countries of South-East Asia and Oceania.
AAGC emphasises on inclusivity and centrality of
people, rather than focusing only on trade and eco
China's BRI regional connectivity project, is perceived
as more centralised and trade-oriented.
India has great trade and network experience in Africa
and Japan has very advanced technology.
Japans ability to deliver quality infrastructure will play
a major role in developing this corridor.
India in Africa
African Devp Bank mtg in Gandhinagar has shifted
the spotlight back to Indias relations with Africa.
Economic engagement has increased in the last two
decades with a large number of public and private
sector companies from India investing in Africa.
Trade has seen a five-fold increase in the last decade
Multilateral engagement was launched with the first
India Africa Forum Summit (IAFS) in 2008.
India's partnership is an amalgam of African
development priorities and the Africa Agenda 2063, as
well as Indias development objectives.
Differences in India's and China's approach
China concentrates on infrastructure and cheque-
book diplomacy (foreign policy which openly uses
economic aid and investment between countries to
win diplomatic favour).
India promotes a broader spectrum of coop projects
and programmes focussed on the development of
Africas human resources.
China goes solo, while India is desirous of working
with other willing nations to assist Africa.