Union Budget 2024-25: Highlights –Interim Budget
A budget is a forecast of the government’s revenue and expenses for a future period, typically the upcoming financial year. The Union Budget gives a detailed account of the government's finances over the previous fiscal year, summarises new tax proposals for the upcoming fiscal year, and estimates revenue and expenditure for the next fiscal year.
The Union Budget accounts for the government's finances during the fiscal year from April 1 to March 31. The first Budget in pre-independent India was presented in 1860 by James Wilson of the British Indian Government. After independence, India's first Budget was presented in 1947 by Finance Minister RK Shanmukham Chetty.
Union Finance Minister Nirmal Sitharaman presented the budget for Financial Year 2024-25 on February 1.
Interim Budget
|
Full Budget and Interim Budget
Full Budget |
Interim Budget |
|
|
|
|
|
|
|
|
|
|
|
|
Union Budget?
The Union Budget is the annual financial statement of the Union Government of India that is presented every year on the 1st of February by the Finance Minister (FM) in the Lok Sabha.
Constitutional Provisions Related to India's Union Budget
Article 266 All revenue receipts generated by the Government of India shall be credited to the Consolidated Fund of India.
Revenue raised through provident fund, Postal insurance, etc, shall be credited to the Public Account of India.
Article 267 A Contingency Fund of India has to be set up by the Parliament to meet unexpected or unforeseen expenditures.
Objectives of Union Budget
The Union Budget lies at the foundation of India's economic system and is extremely crucial for the economy's functioning. The Union Budget aims to achieve several key objectives:
History and Evolution of Budget in India
Process of Union Budget
Types of Budgets
Governments have three main types of budgets - balanced, surplus and deficit. A few other types of budgets exist, as explained below:
Type of Budget |
Description |
Balanced Budget |
- A budget where the government’s expected revenue for the financial year equals its expended expenditure. |
Deficit Budget |
- A budget where the government’s expected spending exceeds expected revenue for the financial year. - The deficit is usually covered by borrowing or using a reserve surplus. |
Surplus Budget |
- A budget where the government’s predicted income or revenue exceeds planned expenditures. - It can be used to lower aggregate demand and reduce inflation. |
Zero-Based Budget |
- An approach to planning and preparing the budget from scratch, or 'zero bases’. - It is a systematic cost management process that considers the efficient allocation of income to fixed expenditures, variable expenses, and savings. |
Gender Budget |
- A process of examining the budget of a government or other organisation to assess the extent to which it promotes gender equality. - It is used to identify and track the allocation of resources for women, men, and gender-related issues. |
Iconic Budgets
Over the years, budgets have been crucial in catalysing structural reforms and shaping India's economic progress. Some iconic budgets that significantly impacted India are:
2024 – Interim Budget highlight
With the ‘mantra’ of ‘Sabka Saath, Sabka Vikas, and Sabka Vishwas’ and the whole of nation approach of “Sabka Prayas”, the Union Minister for Finance and Corporate Affairs Smt. Nirmala Sitharaman presented the Interim Union Budget 2024-25 in Parliament. The key highlights of the Budget are as follows: Part A
Social Justice
· Prime Minister to focus on upliftment of four major castes, that is, ‘Garib’ (Poor), ‘Mahilayen’ (Women), ‘Yuva’ (Youth) and ‘Annadata’(Farmer). ‘Garib Kalyan, Desh ka Kalyan’
· Government assisted 25 crore people out of multi-dimensional poverty in last 10 years.
· DBT of Rs. 34 lakh crore using PM-Jan Dhan accounts led to savings of Rs. 2.7 lakh crore for the Government.
· PM-SVANidhi provided credit assistance to 78 lakh street vendors. 2.3 lakh have received credit for the third time.
· PM-JANMAN Yojana to aid the development of particularly vulnerable tribal groups (PVTG).
· PM-Vishwakarma Yojana provides end-to-end support to artisans and crafts people engaged in 18 trades.
Welfare of ‘Annadata’
· PM-KISAN SAMMAN Yojana provided financial assistance to 11.8 crore farmers.
· Under PM Fasal BimaYojana, crop insurance is given to 4 crore farmers
· Electronic National Agriculture Market (e-NAM) integrated 1361 mandis, providing services to 1.8 crore farmers with trading volume of Rs. 3 lakh crore.
Momentum for Nari Shakti
· 30 crore Mudra Yojana loans given to women entrepreneurs.
· Female enrolment in higher education gone up by 28%.
· In STEM courses, girls and women constitute 43% of enrolment, one of the highest in the world.
· Over 70% houses under PM Awas Yojana given to women from rural areas. PM Awas Yojana (Grameen) · Despite COVID challenges, the target of three crore houses under PM Awas Yojana (Grameen) will be achieved soon.
· Two crore more houses to be taken up in the next five years.
Rooftop solarization and muft bijli
· 1 crore households to obtain 300 units free electricity every month through rooftop solarization.
· Each household is expected to save Rs.15000 to Rs.18000 annually.
Ayushman Bharat
· Healthcare cover under Ayushman Bharat scheme to be extended to all ASHA workers, Anganwadi Workers and Helpers.
Agriculture and food processing
· Pradhan Mantri Kisan Sampada Yojana has benefitted 38 lakh farmers and generated 10 lakh employment. · Pradhan Mantri Formalisation of Micro Food Processing Enterprises Yojana has assisted 2.4 lakh SHGs and 60000 individuals with credit linkages.
Pradhan Mantri Kisan Sampada Yojana has benefitted 38 lakh farmers and generated 10 lakh employment.
Pradhan Mantri Formalisation of Micro Food Processing Enterprises Yojana has assisted 2.4 lakh SHGs and sixty thousand individuals with credit linkages. Other schemes are complementing the efforts for reducing postharvest losses, and improving productivity and incomes.
For ensuring faster growth of the sector, Government will further promote private and public investment in post-harvest activities including aggregation, modern storage, efficient supply chains, primary and secondary processing and marketing and branding, said Sitharaman.
Research and Innovation for catalyzing growth, employment and development
· A corpus of Rs.1 lakh crore to be established with fifty-year interest free loan to provide long-term financing or refinancing with long tenors and low or nil interest rates.
· A new scheme to be launched for strengthening deep-tech technologies for defence purposes and expediting ‘atmanirbharta’.
Infrastructure
· Capital expenditure outlay for Infrastructure development and employment generation to be increased by 11.1 per cent to Rs.11,11,111 crore, that will be 3.4 per cent of the GDP.
Railways
· 3 major economic railway corridor programmes identified under the PM Gati Shakti to be implemented to improve logistics efficiency and reduce cost o Energy, mineral and cement corridors o Port connectivity corridors o High traffic density corridors
· Forty thousand normal rail bogies to be converted to Vande Bharat standards.
Aviation Sector
· Number of airports in the country doubled to 149.
· Five hundred and seventeen new routes are carrying 1.3 crore passengers.
· Indian carriers have placed orders for over 1000 new aircrafts.
Green Energy
· Coal gasification and liquefaction capacity of 100 MT to be set up by 2030.
· Phased mandatory blending of compressed biogas (CBG) in compressed natural gas (CNG) for transport and piped natural gas (PNG) for domestic purposes to be mandated.
Tourism sector
· States to be encouraged to take up comprehensive development of iconic tourist centres including their branding and marketing at global scale.
· Framework for rating of the tourist centres based on quality of facilities and services to be established.
· Long-term interest free loans to be provided to States for financing such development on matching basis.
Investments
· FDI inflow during 2014-23 of USD 596 billion was twice of the inflow during 2005-14. Reforms in the States for ‘Viksit Bharat’
· A provision of Rs.75,000 crore rupees as fifty-year interest free loan is proposed to support milestone-linked reforms by the State Governments.
Revised Estimates (RE) 2023-24
· RE of the total receipts other than borrowings is Rs.27.56 lakh crore, of which the tax receipts are Rs.23.24 lakh crore.
· RE of the total expenditure is Rs.44.90 lakh crore.
· Revenue receipts at Rs.30.03 lakh crore are expected to be higher than the Budget Estimate, reflecting strong growth momentum and formalization in the economy.
· RE of the fiscal deficit is 5.8 per cent of GDP for 2023-24.
Budget Estimates 2024-25
· Total receipts other than borrowings and the total expenditure are estimated at Rs.30.80 and Rs.47.66 lakh crore respectively.
· Tax receipts are estimated at Rs.26.02 lakh crore.
· Scheme of fifty-year interest free loan for capital expenditure to states to be continued this year with total outlay of Rs.1.3 lakh crore.
· Fiscal deficit in 2024-25 is estimated to be 5.1 per cent of GDP
· Gross and net market borrowings through dated securities during 2024-25 are estimated at Rs.14.13 and Rs.11.75 lakh crore respectively.
It has provisions for a huge capital expenditure of ₹11.11 lakh crore while keeping the fiscal deficit under control. Macroeconomic takeaways from Interim Budget
|
Here’s a list of money allocated to specific ministries:
|
Towards meeting the commitment for ‘net-zero’ by 2070, the following measures will be taken:
Here are key announcements made in the Budget speech by FM Nirmala Sitharman on infrastructure development.
- Infrastructure outlay increased by 11.1% to ₹11.11 lakh crore
- 50-year interest-free loans to state governments extended for another year under Gati Shakti master plan
- Three major economic railway corridor programmes will be implemented. These are: (1) energy, mineral and cement corridors, (2) port connectivity corridors, and (3) high traffic density corridors.
- 40,000 normal rail bogies will be converted to the Vande Bharat standards to enhance safety, convenience and comfort of passengers.
- NAMO trains and metro rail services will be added in more cities
The government will formulate a comprehensive programme for supporting dairy farmers.
Efforts are already on to control foot and mouth disease, said FM Sitharaman.
The programme will be built on the success of existing schemes such Rashtriya Gokul Mission, National Livestock Mission, and Infrastructure Development Funds for dairy processing and animal husbandry.
Matsya Sampada
(1) enhance aquaculture productivity from existing 3 to 5 tons per hectare
(2) double exports to ₹1 lakh crore and
(3) generate 55 lakh employment opportunities in the near future
Five integrated aquaparks will be setup
Social sector
Here are some of these announcements:
PM Awas Yojana (Grameen): 2 crore more houses will be taken up in the next five years to meet the requirement arising from increase in the number of families.
Rooftop solarization and muft bijli: Through rooftop solarization, one crore households will be enabled to obtain up to 300 units free electricity every month.
Housing for middle class: Government will launch a scheme to help deserving sections of the middle class “living in rented houses, or slums, or chawls and unauthorized colonies" to buy or build their own houses.
Medical Colleges: Government plans to set up more medical colleges by utilizing the existing hospital infrastructure under various departments. A committee for this purpose will be set-up to examine the issues and make relevant recommendations.
Cervical Cancer Vaccination: Government will encourage vaccination for girls in the age group of 9 to 14 years for prevention of cervical cancer.
Maternal and child health care: Upgradation of anganwadi centres under “Saksham Anganwadi and Poshan 2.0" will be expedited for 14 improved nutrition delivery, early childhood care and development
Ayushman Bharat: Healthcare cover under Ayushman Bharat scheme will be extended to all ASHA workers, Anganwadi Workers and Helpers.
Quick Highlight Here are highlights:
|
Part B
Direct taxes
Indirect taxes
Tax rationalization efforts over the years
Achievements in tax-payer services
Economy-then and now
Context: The decision of the speaker of Maharashtra to recognise Chief Minister Eknath Shinde, who left the Uddhav Thackeray-led group, as the leader of the actual Shiv Sena is a disregard for the legislative procedure and regulations.
The Speaker in a parliamentary democracy, particularly in India's Lok Sabha, holds a pivotal position in overseeing parliamentary proceedings. The essence of a parliamentary democracy lies in citizens electing representatives to legislate and make decisions for the nation.
Roles of the Speaker in a Parliamentary Democracy:
Ensure Smooth Proceedings: The Speaker presides over Lok Sabha meetings and joint sittings, facilitating debates and law passage.
Maintain Discipline: The Speaker upholds discipline, warning or removing disruptive members to ensure orderly proceedings.
Fix Agenda: In collaboration with the business committee and the Prime Minister, the Speaker sets the agenda for parliamentary meetings.
Permission for Questions: Members require the Speaker's permission to pose questions to ministers, preventing politically motivated queries.
Conduct House Business: The Speaker manages House business, allowing bill introductions, recognizing members, setting debate time limits, and conducting votes.
Interpret Rules: In case of disputes over House rules, the Speaker interprets them, and the interpretation is final.
Power to Adjourn: The Speaker can adjourn sessions if quorum isn't met or if disorderly conduct hinders House business.
Criticism Faced by the Office of the Speaker:
Impartiality Issues: Speakers, usually elected on party tickets, face criticism for potential bias, unlike the British convention of political neutrality.
Anti-Defection Law Challenges: Instances of disqualifying MLAs under anti-defection laws have been contested, questioning the Speaker's role.
Discretionary Power Critique: Speakers' discretionary powers, especially in declaring bills as money bills, have faced criticism, as seen in the Aadhar bill case.
Review Challenges: The Speaker's decisions are not subject to appeal or review, contrasting with the American system where appeals can be made.
Increased Disruptions: Frequent disruptions reduce time for important discussions, leading to accusations of bias in allocating time and harsher punishments.
In conclusion, while the Speaker holds a crucial role in maintaining parliamentary democracy's integrity, concerns about impartiality must be addressed to ensure effective functioning of the Indian Parliament.
Context: The National Centre for Disease Control (NCDC) recently found that over half of the nearly 10,000 hospital patients surveyed for a study were given antibiotics to prevent, rather than treat, infection.
What is antimicrobial resistance (AMR) and how did India reach this stage?
Antimicrobial Resistance (AMR) is the resistance of microorganisms to antimicrobial agents to which they were originally sensitive.Multiple types of bacteria, such as E. coli, Klebsiella, Acinetobacter, Staphylococcus aureus, and enterococcus, have developed resistance to even the latest generation antibiotics.
Factors contributing to the rise of AMR include inappropriate use of antibiotics in non-bacterial infections, both through prescribing practices and over-the-counter use:
Should there be standardisation for ensuring uniformity in prescribing antibiotics?
How important is the judicial use of antibiotics in the world and what is the immediate danger that we face?
What measures have been put in place by the Central government most recently to control AMR in India? And are they enough?
Solutions:
Context: The President of India, Smt. Droupadi Murmu conferred Swachh Survekshan awards 2023 at Bharat Mandapam, New Delhi hosted by the Ministry of Housing and Urban Affairs (MoHUA).
News:
Swachh Survekshan
It was initiated by the Ministry of Housing and Urban Affairs (MoHUA) in 2016, serves as a competitive framework to incentivize cities to enhance urban sanitation, with large-scale citizen participation. Over the years, it has evolved into the world's largest urban sanitation survey.
Context: The Prime Minister held bilateral meetings with the President of Timor Leste and Mozambique, a day before the inauguration of the 10th edition of Vibrant Gujarat Global Summit.
About Timor-Leste or East Timor:
About Mozambique:
The Year 2023 marks the beginning of ‘Amrit Kaal’ - the 25-year period beginning from the 75th anniversary of its independence on 15th August 2022, leading up to the centenary of its Independence, towards a futuristic, prosperous, inclusive and developed society, distinguished by a human-centric approach at its core.
India continues to be one of the fastest-growing economies of the world. The country's second quarter growth, 7.6 per cent, has been then highest in the world and India's GDP growth for the April-June quarter was 7.8 per cent.
Putting into effect the roadmap for making India a $5 trillion economy, the Government continues to focus on growth at the macro level and complementing it with all-inclusive welfare at the micro level, promoting digital economy and fintech, technology-enabled development, energy transition and climate action and relying on a virtuous cycle of investment and growth.
The Government has also focused on a capex-led growth strategy to support economic growth and attract investment from the private sector, increasing its capital investment outlay substantially during the last three years. Central Government’s capital expenditure has increased from 2.15 per cent of GDP in 2020-21 to 2.7 per cent of GDP in 2022-23.
The success of Government’s policies is further reaffirmed and underscored when the International Organisations like the World Bank and IMF recognise India as the fastest growing Emerging Market Economy (EME) in the world and applaud the resilient and stable growth India continues to witness.
G-20
The Year 2023 is also significant as India hosted the G20 Presidency from December 1, 2022 to November 30, 2023. The 43 Heads of Delegations - the largest ever in G20 - participated in the final New Delhi Summit in September 2023.
The G20 Finance Track under India's leadership addressed critical global issues, including the strengthening of Multilateral Development Banks (MDBs) through the G20 Independent Expert Group's comprehensive report. The DEA played a pivotal role in fostering cooperation on crypto-assets, with the International Monetary Fund (IMF) and the Financial Stability Board (FSB) developing a Synthesis Paper adopted as the G20 Roadmap on Crypto Assets in October 2023.
During the G20 Indian Presidency, India steered the G20 agenda and hosted the Summit. The G20 consists of two parallel tracks: the Finance Track and the Sherpa Track. Finance Ministers and Central Bank Governors lead the Finance Track, while Sherpas lead the Sherpa Track. The high point of the Leaders’ Summit was that a global consensus was arrived at in the form of New Delhi Leaders’ Declaration (NDLD).
The department facilitated debt restructuring efforts through the Common Framework and launched the Global Sovereign Debt Roundtable, reinforcing its commitment to supporting vulnerable economies. Initiatives like the G20 Sustainable Finance Technical Assistance Action Plan (TAAP) underscored efforts to enhance capacity-building in sustainable finance, particularly for Emerging Markets and Developing Economies.
Infrastructure development also received a boost through initiatives like the Harmonised Master List (HML) of Infrastructure Sub-sectors, the National Infrastructure Pipeline (NIP), and the G20 Infrastructure Working Group's consensus on key deliverables. The DEA's strategic measures for promoting Public-Private Partnerships (PPPs) include the VGF Scheme's expansion and the revamping of the Infrastructure Investment Project Development Fund (IIPDF).
The DEA also played a role in financial sector reforms, including the launch of the NSE IFSC-SGX Connect and the transition to a T+1 settlement cycle, positioning India as a pioneer in global securities markets.
In summary, the Department of Economic Affairs in 2023 has demonstrated a proactive and inclusive approach, contributing significantly to sustainable finance, climate action, infrastructure development, and financial sector reforms on both national and international fronts.
Following are some of the major achievements of the Department of Economic Affairs, Ministry of Finance, in 2023:
Sovereign Green Bonds:
In the Union Budget 2022-23, the Government announced that, as a part of the government’s overall market borrowings in 2022-23, sovereign Green Bonds will be issued to mobilize resources for green infrastructure. The proceeds will be deployed in sector projects which help in reducing the carbon intensity of the economy.
In pursuance of the above budget announcement, framework for Sovereign Green Bonds has been brought out by the Government of India to mobilise resources for green infrastructure projects which help in reducing the carbon intensity of the economy.
The Government has raised ?16,000 crore, through issuance of Sovereign Green Bonds in 2023 till date and these proceeds were allocated to the eligible schemes/projects of the Ministries/Departments such as New and Renewable Energy, Environment, Forests and Climate Change, Housing and Urban Affairs, Railways etc. In the FY 2023-24, Government has decided to raise ? 20,000 crore through issuance of Sovereign Green Bonds.
Mahila Samman Savings Certificate (MSSC):
The introduction of the Mahila Samman Savings Certificate (MSSC) reflects the government's dedication to women's financial inclusion. With total number of accounts opened are at 14,83,980 with deposit of Rs. 8,630 crore as on July 2023, this initiative empowers women economically, offering an attractive 7.5% interest rate compounded quarterly.
Mahila Samman Savings Certificate (MSSC) was launched by the Government of India to commemorate the Azadi ka Amrit Mahotsav. MSSC account may be opened by women of any age group including the girl child with a minimum deposit of ?1000/- and maximum deposit of ?2 Lakhs for a period of two years. This scheme is available for a two-year period up to March 2025. The facility of partial withdrawal and premature closure on compassionate grounds are also available under this Scheme. Government of India has authorized Department of Posts, all Public Sector Banks and four Private Sector Banks to operate MSSC.
The maximum deposit for the senior citizen saving scheme has been enhanced from Rs 15 lakhs to Rs 30 lakhs.
The maximum deposit limit for the Post office monthly Income savings scheme is enhanced from Rs.4.5 lakh to Rs.9 lakh for a single account and from Rs.9 lakh to Rs.15 lakh for a joint account.
Sukanya Samriddhi Yojana (SSY)
The Sukanya Samriddhi Yojana (SSY) is a savings scheme initiated by the Department of Economic Affairs, Ministry of Finance, specifically designed for the benefit of the girl child. The scheme was launched as part of the ‘Beti Bachao, Beti Padhao’ campaign to promote the welfare of the girl child and encourage parents to save for their education and marriage expenses. So far, 3.2 crore accounts are active under the Scheme.
National Investment and Infrastructure Fund in 202:
G20 Finance Track under India’s G20 Presidency, 2023:
KEY OUTCOMES OF THE G20 FINANCE TRACK IN 2023:
Some of the key outcomes of the Finance Track are highlighted below.
Report of the G20 Independent Expert Group on Strengthening Multilateral Development Banks (MDBs)
IMF-FSB Synthesis Paper on crypto-assets:
Crypto-assets have been in existence for more than a decade and have displayed significant volatility. Alongside their volatility, crypto-asset activities have also grown in complexity. So far, direct connections between crypto-assets and systemically important financial institutions, core financial markets, and market infrastructures have been limited. Nevertheless, they have the potential to emerge as a source of systemic risk in specific jurisdictions if they gain traction for payments or retail investments. The IMF has outlined key elements of an appropriate policy response including macroeconomic, legal and financial integrity considerations and implications for monetary and fiscal policies. In parallel, the Financial Stability Board (FSB) and standard-setting bodies (SSBs) have published regulatory and supervisory recommendations and standards to address financial stability, financial integrity, market integrity, investor protection, prudential and other risks derived from crypto-assets.
G20 Principles for Financing Cities of Tomorrow:
Mechanisms for timely and adequate mobilization of climate finance:
G20 Policy Recommendations for advancing financial inclusion and productivity gains through DPI and New Financial Inclusion Action Plan 2024-26:
Managing global debt vulnerabilities:
G20 Sustainable Finance Technical Assistance Action Plan (TAAP):
INITIATIVES TO BOOST INFRASTRUCTURE INVESTMENT
India Infrastructure Financing Company Limited (IIFCL) etc.
In accordance with para 49 of the Union Budget for FY 23-24, an expert committee has been constituted under the chairmanship of Shri Bibek Debroy, Chairman of the EAC to PM with the objective to undertake a comprehensive assessment of the characteristics/ parameters defining infrastructure and the financing framework for Amrit Kaal.
The Expert Committee had a series of stakeholder’s consultations and is finalising the recommendations and the final report of the committee is expected by 31st December 2023
NIP was launched with 6,835 projects and has expanded to capture over 9,288 projects with a total project outlay of Rs 108.88 lakh cr between 2020-2025. Transport (42%), energy (25%), water & sanitation (15%) and social infrastructure (3%) sectors amount to around 85% of the projected infrastructure investments under NIP. NIP projects are housed on the India Investment Grid (IIG) portal
Initiatives for Promoting PPPs:
Knowledge Dissemination and promoting Cooperative Federalism:
During the period, a total of 3 Workshops were organised - Two State Outreach workshops, One workshop on ‘PPP Structuring Toolkit’. The workshops elicited good response and the impact was that the awareness of GoI schemes for promoting PPPs were disseminated and witnessed further traction.
Financial Sector Reforms
T+1 Settlement:
In January 2023, India, one of the earliest adopters of T+1 settlement system in the global securities market, well ahead of major developed and emerging markets. The clearing and settlement system of Indian securities market completed its transition to T+1 settlement cycle based on a phased implementation which was initiated in November 2021.
So far, under the T+2 settlement cycle, trades on the Indian stock exchanges were settled within two working days. For instance, if an investor buys/sells shares on a T (Trade) day, then the settlement of the trade, i.e. pay-in and pay-out of securities and funds would be completed within two working days i.e. by T+2 day. Under the T+1 settlement cycle, the settlement of such trade will take place within one working day i.e. by T+1 day, resulting in faster delivery of securities.
The switch to T+1 settlement cycle shall benefit investors by increasing market liquidity as the securities/funds of trades carried out on T day will be available on the next working day itself. An early settlement of funds/securities under a T+1 settlement cycle would also enable faster redemption for mutual funds, thereby benefiting the retail investors. In addition, T+1 settlement cycle include usher in a ecosystem of increased trading turnover and reduced settlement risk thereby leading to overall development of the securities market.
India has become one of the very few large economies that switched from T+2 to T+1 settlement. The shorter settlement cycle (T+1) is in the interest of retail investor as it reduces the risk of non-payment or non-delivery of shares by the broker by one day, which is an improvement over the present system. Further, faster trade settlements lead to better efficiency levels and further protect investors.
The Supreme Court recently opined that if the State of Rajasthan believes that the mining activities in the Aravali Range pose a threat to the environment, it can also prevent mining activities in the Aravalli Range.
About Aravalli Range
The Non-Aligned Movement was formed during the Cold War as an organization of States that did not seek to formally align themselves with either the United States or the Soviet Union, but sought to remain independent or neutral.
Who founded: The Non-Aligned Movement was founded and held its first conference (the Belgrade Conference) in 1961 under the leadership of Josip Broz Tito of Yugoslavia, Gamal Abdel Nasser of Egypt, Jawaharlal Nehru of India, Kwame Nkrumah of Ghana, and Sukarno of Indonesia.
Purpose: The purpose of the organization was enumerated in Havana Declaration of 1979 to ensure "the national independence, sovereignty, territorial integrity and security of non-aligned countries" in their struggle against imperialism, colonialism, neo-colonialism, racism, and all forms of foreign subjugation.During the cold war era the NAM played a vital role in stabilizing the world order and preserving peace and security. Non alignment of NAM doesn't mean the neutrality of state on global issues, it was always a peaceful intervention in world politics.
Principles
As J.L Nehru was founding members, the principles of NAM was largely guided by Panchsheel principles, some of them are:
Objectives
Relevance of NAM
NAM: Importance Activities and positions
Issue/ Incident |
Action by NAM |
1961 Puerto Rico’s self-determination |
· The NAM organization has supported the discussion of the case of Puerto Rico’s self-determination before the United Nations. |
1973 Self-determination of Western Sahara |
· The group has supported the discussion of the case of Western Sahara’s self-determination before the United Nation |
2003 invasion of Iraq |
· In recent years the organization has criticized certain aspects of US foreign policy. · The 2003 invasion of Iraq and the War on Terrorism, its attempts to stifle Iran and North Korea’s nuclear plans, and its other actions have been denounced by some members of the Non-Aligned Movement as attempts to run roughshod over the sovereignty of smaller nations |
Sustainable Development Goals and Millennium Development Goals |
· The movement is publicly committed to the tenets of sustainable development and the attainment of the Millennium Development Goals, but it believes that the international community has not created conditions conducive to development and has infringed upon the right to sovereign development by each member state · Issues such as globalization, the debt burden, unfair trade practices, the decline in foreign aid, donor conditionality, and the lack of democracy in international financial decision-making are cited as factors inhibiting development |
Criticism of current UN structures |
· The movement has been outspoken in its criticism of current UN structures and power dynamics, stating that the organisation has been used by powerful states in ways that violate the movement’s principles · NAM has made a number of recommendations that it says would strengthen the representation and power of “non-aligned” states |
Non-Aligned Movement Centre for South-South Technical Cooperation (NAM CSSTC)
NAM & India
NAM Relevance in present day world
Recent NAM Summit
The 19th NAM Summit was held under Uganda's leadership in Kampala. Uganda has taken over as chair from Azerbaijan, to run until 2027.
Current members:
After the United Nations, NAM is the second-largest grouping of nations.
NAM does not have a permanent secretariat or a formal founding charter, act, or treaty. The summit usually takes place every three years.
Launch of “Alliance for Global Good- Gender Equity and Equality” by India at World Economic Forum, Annual Meeting Davos, 15-19 January, 2024
Shri Narendra Modi’s “Women-led Development” agenda resonates globally at the WEF 2024, with committed support from WEF and over 10,000 businesses worldwide
WEF hails India’s inclusive and remarkable growth story under the visionary leadership of Prime Minister Shri Narendra Modi and compliments the Indian government for its philosophy of “Sabka Saath, Sabka Vikas”
Key Highlights?
World Economic Forum (WEF)
The project also includes the world's first indigenous portable hospital.
It aims to showcase the holistic impact of the research and innovation carried out by the country's top higher education institutes.
We provide offline, online and recorded lectures in the same amount.
Every aspirant is unique and the mentoring is customised according to the strengths and weaknesses of the aspirant.
In every Lecture. Director Sir will provide conceptual understanding with around 800 Mindmaps.
We provide you the best and Comprehensive content which comes directly or indirectly in UPSC Exam.
If you haven’t created your account yet, please Login HERE !
We provide offline, online and recorded lectures in the same amount.
Every aspirant is unique and the mentoring is customised according to the strengths and weaknesses of the aspirant.
In every Lecture. Director Sir will provide conceptual understanding with around 800 Mindmaps.
We provide you the best and Comprehensive content which comes directly or indirectly in UPSC Exam.