Overview:

regulate or restrict any economic, financial, political, or other secular activity associated with religious practice;

provide for social welfare and reform, or throw open Hindu religious institutions of a public character to all classes and sections of Hindus;

Article 25 also contains two explanations: one, the wearing and carrying of kirpans is to be included in the profession of the Sikh religion; and two, the Hindus, in this context, include Sikhs, Jains, and Buddhists.

Context: Good Governance Day is being celebrated on the birth anniversary of former Prime Minister Atal Bihari Vajpayee on 25^th December.

• Origin: 2014
• Governance involves decision-making and effective implementation. Good Governance occurs when power is utilized responsibly to foster a nation's development. This concept dates back to ancient times, with figures like Chanakya discussing it. At its core, good governance prioritizes the well-being of citizens.
• 8 Principles of Good Governance

• Atal Bihari Vajpayee
  • • Atal Bihari Vajpayee was born on December 25, 1924, in Gwalior, part of Madhya Pradesh.
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    • He entered national politics during the Quit India Movement in 1942, contributing to the hastening of the end of British colonial rule.
    • In 1947, he began working as a journalist for Deendayal Upadhyaya's newspapers, including Rashtradharma, Panchjanya, Swadesh, and Veer Arjun.
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    • Influenced by Syama Prasad Mookerjee, Vajpayee joined the Bharatiya Jana Sangh in 1951.
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    • He served as the Prime Minister of India, being elected to the position twice in 1996 and 1999.
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    • Acknowledged for his parliamentary contributions, he received the Pandit Govind Ballabh Pant Award for Best Parliamentarian in 1994, recognized as a role model for legislators.
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    • He was honored with the Bharat Ratna, the highest civilian award in 2015, and the Padma Vibhushan, the second-highest civilian award, in 1994.

Context: Recently, Forex reserves jumped $2.816 billion to $606.859 billion.

About forex reserves

• Foreign Exchange Reserves refer to assets kept in reserve by a central bank, comprising foreign currencies such as bonds, treasury bills, and government securities.
• These reserves, expressed in the US dollar, the international standard, are managed by the RBI, serving as the custodian of India's Foreign Exchange Reserves.
• It includes:
  • Foreign Currency Assets (FCA)
  • Gold reserves,
  • Special Drawing Rights (SDRs)
  • Reserve position with the International Monetary Fund (IMF)

Significance

• They are utilized to support liabilities denominated in their own issued currency, maintain the exchange rate, and formulate monetary policy.
• They act as a safeguard in case of an economic Balance of Payment (BoP) crisis. The purpose is to ensure that the RBI has reserve funds in case the national currency experiences a rapid devaluation or faces insolvency.
• If the Rupee depreciates due to increased demand for foreign currency, the RBI intervenes by selling dollars in the Indian money market to curb the depreciation.
• Reserves instill confidence in markets and investors regarding a country's ability to meet external obligations.
• A robust forex reserve is instrumental in attracting foreign trade and building a positive reputation with trading partners.