In News:

The India-Australia Economic Cooperation and Trade Agreement (Ind-Aus ECTA) completes two years of remarkable success, driving mutual growth and showcasing the complementarity of both economies.

Key Achievements:

• Bilateral Merchandise Trade Surge:
  • Trade increased from USD 12.2 billion (2020-21) to USD 26 billion (2022-23).
  • Trade moderated slightly in 2023-24 to USD 24 billion, but exports from India to Australia grew by 14%.
  • From April-November 2024, bilateral trade reached USD 16.3 billion.
• Preferential Import Utilization:
  • Export utilization: 79%
  • Import utilization: 84%
• Sectoral Growth:
  • Textiles, chemicals, and agriculture sectors have seen significant growth.
  • New export products: Gold studded with diamonds, turbojets.
  • India’s imports: Metalliferous ores, cotton, wood products that fuel Indian industries.
• Geopolitical Strengthening:
  • Enhanced relations in forums like Quad, Indo-Pacific Economic Framework (IPEF), Supply Chain Resilience Initiative (SCRI).

Key Features of the Agreement:

• Tariff Reductions:
  • Australian goods: 85% tariff-free access to India (rising to 90% by 2026).
  • Indian goods: 96% tariff-free access to Australia (rising to 100% by 2026).
• Access to Key Markets:
  • India: Access to Australia's fast-growing market.
  • Australia: Access to India's labor-intensive sectors like gems, jewelry, textiles, leather, furniture, food, agriculture.
• Services and IT:
  • 135 sub-sectors covered in services.
  • India gains market access in 103 sub-sectors with Most Favoured Nation (MFN) status in 31.
  • Fast-tracked approval of medicines and elimination of double taxation for India's IT sector.
• Job Creation & Skill Exchange:
  • Expected creation of 1 million jobs in India.
  • Opportunities for Indian yoga teachers, chefs, and 100,000 students with post-study work visas.

Future Prospects:

• Comprehensive Economic Cooperation Agreement (CECA): Builds on ECTA to advance bilateral trade, with 10 formal rounds and ongoing inter-sessional discussions.
• Trade Target: Aim to reach AUD 100 billion in trade by 2030.
• Global Economic Impact: Strengthening the partnership will contribute to a more resilient and dynamic global economy, with deeper economic integration between India and Australia.

In News:

• On January 19, 2024, the UN Security Council approved a new African Union (AU) force in Somalia to counter the Al-Shabaab terrorist group.
• The resolution was supported by 14 of 15 members, with the US abstaining due to concerns about funding.
• The new force will replace the African Union Transition Mission in Somalia (ATMIS) after its mandate ends on December 31, 2024.

New Mission - AUSSOM:

• The new mission is named African Union Support and Stabilization Mission in Somalia (AUSSOM).
• AUSSOM will continue supporting Somali forces in stabilizing the nation and combating terrorism.
• The mission's objective is to enhance security and stability in Somalia, addressing the challenges posed by Al-Shabaab and ISIL.

Mandate and Operations:

• AUSSOM allows for the deployment of up to 12,626 personnel, including 1,040 police officers, until June 2025.
• The force will focus on counterterrorism, maintaining security, and assisting the Somali government in stabilizing the country.

Financing:

• A hybrid funding approach will be used:
  • 75% of the mission’s costs will be covered by the UN, and 25% will come from African Union and partner countries.
• The US raised concerns about the UN's disproportionate funding of the mission, which led to its abstention from voting.

Contributing Countries:

• Egypt has announced its participation in the new force.
• Burundi and Ethiopia will not be contributing troops to AUSSOM.
• Ethiopia has its own ongoing disputes with Somalia, particularly regarding its maritime deal with the breakaway Somaliland region.

Background on Somalia's Challenges:

• Somalia has faced decades of civil war, an insurgency by Al-Shabaab, and recurring climate disasters.
• The country is one of the poorest in the world, and its internal conflicts are exacerbated by clannism, which has fragmented its political and social structure.

Historical Context of Peace Missions in Somalia:

• Previous UN peacekeeping missions in Somalia (1992-1995) faced significant failures, notably the Battle of Mogadishu and the failure to prevent the 1993 massacre.
• The rise of Al-Shabaab in the mid-2000s has further escalated the conflict, and the mission of AUSSOM aims to address these continuing threats.

The Role of Clannism:

• Clannism has hindered the establishment of a unified government in Somalia, with clan rivalries leading to a lack of national cohesion.
  • Clannism refers to the prevalence of clan-centric politics, where allegiance to clan and sub-clan interests often takes precedence over national cohesion. In Somalia, the major clans are Darod, Hawiye, Dir, and Rahanweyn.

Importance of AUSSOM:

• AUSSOM represents a strategic shift in the international approach to stabilizing Somalia, relying more on African-led initiatives for peace and security in the region.

Global Peacekeeping Operations:

• The UN peacekeeping mission has been active globally, with over 1 million personnel deployed across 70+ operations.
• Success stories like Sierra Leone (1999-2005) and Liberia (2003-2018) demonstrate the potential impact of well-executed peace missions, but past failures like in Somalia (1992-1995) and Rwanda (1994) underline the challenges faced.

India’s Contribution:

• India has contributed significantly to UN peacekeeping missions, deploying over 253,000 personnel in 49 operations since 1948.
• India’s contributions to missions in Somalia, Rwanda, Sierra Leone, and Sudan reflect its active role in global peacekeeping efforts.

In News:

China approved the construction of the world's largest dam, stated to be the planet's biggest infra project, on the Brahmaputra river in Tibet close to the Indian border, raising concerns in India and Bangladesh.

Key highlights:

Overview of the Project:

• Location: Lower reaches of the Yarlung Zangbo River (Tibetan name for Brahmaputra), where the river makes a U-turn in the Himalayan region before flowing into Arunachal Pradesh, India.
• Purpose:
  • To support China’s carbon neutrality goals.
  • To boost industrial growth and create jobs in Tibet.
  • Expected to generate 300 billion kWh of electricity annually, over three times the capacity of the Three Gorges Dam in central China.

Significance:

• Scale: The dam is poised to be the world’s largest hydropower project, surpassing the Three Gorges Dam, and becoming the biggest infrastructure project globally, with an estimated cost of USD 137 billion.
• Engineering Challenges: The site is located in a seismic zone on the Tibetan plateau, prone to earthquakes, making construction and operational stability a major engineering challenge.

Concerns:

• Environmental Impact:
  • Potential disruption to the local ecosystem and biodiversity.
  • Risk of altering the river’s flow and course, which could impact agriculture and water resources downstream, particularly in India and Bangladesh.
• Geopolitical Risks:
  • Water control: India and Bangladesh are concerned about China’s ability to control the water flow, with fears of China manipulating the flow to release excess water during conflicts, causing potential flooding in border areas.
  • The project could also disrupt the hydrological cycle, affecting the region’s water availability, especially in Assam and Bangladesh.

Background:

• The Brahmaputra River is a trans-boundary river, flowing through China, India, and Bangladesh. Known by different names in these countries, it plays a vital role in the livelihoods of millions of people.
• China has already initiated hydropower generation on the upper reaches of the Yarlung Zangbo, with plans for additional projects upstream.

India-China Cooperation:

• China and India have an Expert Level Mechanism (ELM) in place since 2006 to manage trans-boundary river issues, under which China shares hydrological data with India, especially during the flood season.
• India is also constructing its own hydropower projects on the Brahmaputra in Arunachal Pradesh.

Potential Outcomes:

• Energy Generation: The dam could significantly contribute to China’s energy needs, providing a substantial amount of renewable energy.
• Regional Tensions: The dam’s construction may escalate tensions between China, India, and Bangladesh due to the control over water resources and environmental impact concerns.

In News:

In mid-2024, India surpassed China as the largest importer of Russian oil. This milestone has been accompanied by the operationalization of a new maritime route, the Eastern Maritime Corridor (EMC), which connects Chennai in India to Vladivostok in Russia. The new sea route is significantly reducing both shipping times and costs, facilitating smoother commodity trade between the two countries, particularly crude oil shipments.

The Eastern Maritime Corridor (EMC)

The EMC, covering a distance of about 5,600 nautical miles, has reduced the shipping time between India and Russia’s Far East by up to 16 days. The Chennai-Vladivostok route now takes just 24 days, compared to over 40 days using the traditional St. Petersburg-Mumbai route. This reduction in transit time makes it a highly efficient route for transporting goods such as crude oil, coal, LNG, fertilizers, and other commodities. Additionally, this new corridor supports India’s maritime sector and aligns with the country’s broader vision for maritime growth and regional strategic engagement.

Key Features of the EMC:

• Efficiency and Cost Savings: The route cuts shipping time and distance, reducing costs associated with longer transit periods. For example, a ship traveling between Vladivostok and Chennai now takes only about 12 days at cruising speed, compared to the traditional route's 40+ days.
• Strategic Importance: Vladivostok is Russia’s largest Pacific port, and the corridor strengthens India's strategic presence in the region. This maritime route bypasses traditional chokepoints like the Suez Canal, offering faster, more direct access to key markets.
• Diversification of Trade: Besides crude oil, the EMC facilitates the transportation of coal, LNG, fertilizers, and metals, diversifying India's trade portfolio with Russia. It also helps maintain supply chains for essential goods.
• Boosting India’s Maritime Sector: The corridor supports India’s Maritime Vision 2030, which aims to enhance the efficiency and reach of India's maritime trade, a sector responsible for over 70% of the country’s trade value.

Economic and Strategic Impact:

• The new Eastern Maritime Corridor is particularly significant for India’s energy needs. As the world’s third-largest consumer of crude oil, India imports over 85% of its crude oil demand. The growing imports of Russian crude, especially the Urals grade, are crucial for securing India’s energy future. Additionally, Russia’s competitive pricing on crude, coupled with the savings on shipping costs through the EMC, makes Russian oil even more attractive.
• Beyond the economic benefits, the EMC also supports India’s broader strategic goals, including strengthening ties with Russia, a key partner in defense, nuclear cooperation, and regional geopolitics. The closer maritime links also help counterbalance China's growing dominance in the Pacific region, aligning with India's Act Far East Policy and enhancing trade and diplomatic engagement with East Asia and Russia.

Other Key Maritime Corridors Relevant to India:

• International North-South Transport Corridor (INSTC): A 7,200 km multimodal route linking the Indian Ocean with Russia, offering alternative trade routes to Europe and Central Asia.
• India-Middle East-Europe Economic Corridor (IMEC): A recent project announced at the G20 Summit, which connects India, the Middle East, and Europe via rail, road, and maritime links, fostering greater regional integration.
• Northern Sea Route (NSR): A 5,600 km Arctic route offering shorter transit times between the Barents and Kara Seas and the Bering Strait, gaining importance due to growing imports of Russian energy resources.

In conclusion, the Eastern Maritime Corridor is reshaping India-Russia trade dynamics, boosting economic ties and strategic cooperation between the two nations. By facilitating faster and cheaper transportation, the EMC is not only beneficial for trade in crude oil but also for a range of other commodities, positioning India as a key player in the evolving global trade network.

In News:

Recently, the European Union (EU) cleared Bulgaria and Romania for full membership in the Schengen Zone, effective January 1, 2025. This marks the end of a 13-year wait for these Eastern European nations, which joined the EU in 2007.

Key Highlights:

• Schengen Integration: Until now, Bulgaria and Romania were partially integrated into the Schengen Zone, with air and sea travel without border checks since March 2024. However, land border controls were still in place due to Austria's objections, mainly due to concerns over migration and border security.
• Austria's Shift: Austria had blocked full entry for years but finally lifted its veto on December 9, 2024, after a border protection package was agreed upon. This package includes joint border guard deployment at the Bulgarian-Turkish border and temporary land border controls for six months.

Schengen Zone Details:

• What is the Schengen Zone?
  • Created by the Schengen Agreement (1985) and the Schengen Convention (1990), it is the world’s largest area without internal border controls, allowing free movement across most EU countries and some non-EU countries. It currently includes 29 countries (25 EU states and 4 non-EU countries: Iceland, Liechtenstein, Norway, and Switzerland).
• Key Features:
  • Free Movement: Over 425 million people can travel freely within the zone without border checks.
  • Uniform Visa Policy: Short-term stays of up to 90 days are allowed for tourists and business travelers from outside the Schengen Area.
  • Cross-Border Cooperation: The Schengen Information System (SIS) facilitates security and border management by sharing critical data between countries.
  • Temporary Border Controls: Countries can temporarily reintroduce border controls for security reasons, after notifying other member states and the European Commission.

Bulgaria and Romania

• Bulgaria:
  • Capital: Sofia
  • Location: Southeastern Europe, bordered by the Black Sea, Romania, Turkey, Greece, North Macedonia, and Serbia.
  • Political System: Parliamentary Republic
• Romania:
  • Capital: Bucharest
  • Location: Bounded by Ukraine, Moldova, Black Sea, Bulgaria, Serbia, and Hungary.
  • Political System: Semi-Presidential Republic

Implications of Full Schengen Membership:

• Security and Unity: Romania and Bulgaria's full integration into the Schengen Zone is seen as a boost to both EU security and unity. It solidifies the EU's commitment to free movement while enhancing border security across Europe.
• Impact on Migration: With Bulgaria and Romania’s full membership, the EU’s border management system will be more integrated, helping to address ongoing migration challenges.

In News:

The 13th edition of Exercise Agni Warrior (XAW-2024), a joint military drill between the Indian Army and the Singapore Armed Forces (SAF), concluded successfully at the Field Firing Ranges, Devlali, Maharashtra. The exercise focused on enhancing mutual understanding and interoperability between the two nations’ artillery units.

Key Facts:

• Participating Nations: India and Singapore
• Location: Field Firing Ranges, Devlali, Maharashtra
• Participants:
  • 182 personnel from the Singapore Artillery
  • 114 personnel from the Indian Army's Regiment of Artillery
• Objective: To maximize mutual understanding of drills and procedures for joint operations under the UN Charter, particularly in firepower planning and execution, utilizing advanced artillery technologies.
• Historical Context: The exercise began in 2004 under a bilateral agreement between India and Singapore and has evolved over the years, now marking 20 years of cooperation.

Purpose and Highlights:

The exercise aimed to reinforce the long-standing defense relationship between India and Singapore, focusing on:

• Joint Firepower Planning and Execution: Both forces demonstrated the use of New Generation Artillery Equipment, enhancing their firepower coordination.
• Enhancing Interoperability: The exercise emphasized seamless coordination between the two armies to operate as a multinational force under the UN Charter, addressing global security challenges.
• Knowledge Sharing: Personnel from both armies exchanged expertise on advanced artillery tactics, fostering a deeper understanding of each other's military capabilities.
• Technological Integration: Both sides integrated cutting-edge technologies, allowing the exchange of best practices in the use of artillery systems.

Key Objectives of XAW-2024:

• Enhanced Interoperability: To ensure smooth coordination in joint operations, fostering the ability to respond to regional security threats.
• Firepower and Coordination Techniques: Sharing expertise on artillery planning, coordination, and execution.
• Advanced Equipment Use: Testing and demonstrating modern artillery systems in joint operations, ensuring both forces are prepared for contemporary warfare.

Structure and Execution:

The exercise was structured to include pre-exercise training, field operations, and a post-exercise evaluation:

• Pre-Exercise: Both armies engaged in interactive sessions to familiarize themselves with each other's artillery tactics and advanced systems.
• Field Operations: Simulated combat scenarios tested joint firepower execution, emphasizing real-time problem-solving and decision-making under pressure.
• Post-Exercise Review: A thorough analysis identified areas for improving joint operations and coordination.

Strategic Significance:

• Strengthening Bilateral Ties: Agni Warrior reinforces the defense partnership, facilitating joint operations that support regional security.
• Regional Stability: The exercise underscores the commitment of both nations to peace and security in the Indo-Pacific region.
• Capacity Building: Both Indian and Singaporean forces gained exposure to sophisticated firepower planning and gained operational readiness for future deployments.

In News:

The 3-day stocktake meeting took place in New Delhi, marking a significant step in strengthening the India-Australia trade and strategic partnership.

Key Highlights:

• Key Discussion Areas:
  • Trade in goods and services.
  • Mobility, agri-tech cooperation, and market access.
  • Focus on ensuring the CECA delivers balanced benefits for both nations.
  • Food security concerns and market access modalities aligned with India’s goals.
• Background on Negotiations:
  • The discussions in New Delhi were a continuation of the 10th round of negotiations held in Sydney (August 2024).
  • Both sides aimed to outline a path forward for the early conclusion of the CECA.
• Importance of CECA:
  • CECA is a Free Trade Agreement (FTA) aimed at eliminating tariffs and liberalizing services sectors to enhance business opportunities and cooperation.
  • It addresses five key areas: Goods, Services, Digital trade, Government procurement & **Rules of Origin/Product Specific Rules
  • New areas under discussion include: Competition policy, MSMEs, Gender, Innovation, Agri-tech, Critical minerals & Sports
• Historical Context:
  • CECA negotiations began in May 2011, were suspended in 2016, and resumed in September 2021.
  • The India-Australia Economic Cooperation and Trade Agreement (ECTA) was signed in 2022, serving as a foundational agreement and a precursor to CECA.
• Trade Statistics (2023-24):
  • India's imports from Australia: $16.2 billion.
  • India's exports to Australia: $8 billion.
  • Trade has grown significantly, with India being Australia’s 5th-largest trading partner.
• Regional Cooperation Initiatives:
  • India and Australia are partners in several regional initiatives:
    • Indo-Pacific Economic Framework for Prosperity (IPEF)
    • Trilateral Supply Chain Resilience Initiative (SCRI) with Japan.
• India's CECA with Other Countries:
  • India has similar CECA agreements with several nations, including: Singapore, Malaysia, Thailand & New Zealand
• Future Prospects:
  • The stocktake discussions have paved the way for further cooperation in areas such as agricultural innovation, market access, and supply chain resilience.
  • Both nations are optimistic about the early conclusion of the CECA and the broader economic partnership.

This recent stocktake visit represents a significant step in the ongoing efforts to solidify trade ties and deepen economic cooperation between India and Australia under the framework of the Comprehensive Economic Cooperation Agreement.

In News:

India, France and UAE recently kicked off a major air combat exercise called “Desert Knight” over the Arabian Sea, strengthening trilateral defence cooperation and enhancing military interoperability amid the ongoing geopolitical churn.

Key Highlights:

• What It Is: A trilateral air combat exercise aimed at improving military interoperability and enhancing combat readiness among the participating nations.
• Nations Involved: India, France, and the UAE.
• Location: Conducted over the Arabian Sea, approximately 350-400 km southwest of Karachi.
• Aim of the Exercise:
  • To strengthen trilateral defence cooperation among the three nations.
  • To enhance combat skills and military interoperability of the air forces involved.
• Details of the Exercise:
  • Duration: The exercise lasts for three days.
  • The exercise involves large force engagement and intensive combat maneuvers in a realistic operational environment.
• Aircraft Involved:
  • India: Deployed Sukhoi-30MKIs, Jaguars, IL-78 mid-air refuellers, and AEW&C (Airborne Early Warning and Control) aircraft from bases like Jamnagar.
  • France: Deployed Rafale jets and other aircraft from Al Dhafra airbase.
  • UAE: Deployed F-16 jets and other aircraft from Al Dhafra airbase.

Strategic Significance:

• The exercise is part of India’s efforts to build military interoperability with nations in the Persian Gulf region and strengthen defence ties with France and the UAE.
• Enhances combat readiness and strengthens cooperation against both traditional and non-traditional threats.
• Reflects the geopolitical shift and growing military cooperation in the Indo-Pacific region, especially in the context of China’s expansionist activities.
• Trilateral Framework: India, France, and the UAE launched a trilateral framework in 2022, focusing on areas like defence, technology, energy, and environment.
• Previous Exercises: In addition to Desert Knight, the countries also conducted their first trilateral maritime exercise in June 2023 to enhance cooperation in maritime security.

Broader Defence Relations:

• India-France: Long-standing strategic partnership with regular joint exercises like Shakti (army), Varuna (navy), and Garuda (air force).
• India-UAE: The defence relationship has grown significantly in recent years, with regular professional exchanges, combat exercises, and staff talks. India participates in the Desert Flag exercise at Al Dhafra airbase annually.

In News:

Switzerland scraps MFN status to India, dividend income to face higher tax

Key Highlights:

• Reason for Suspension:
  • The suspension follows a 2023 Supreme Court ruling in India, which clarified that the MFN clause in tax treaties is not automatically triggered when a country joins the OECD if the tax treaty with that country was signed before its OECD membership.
  • The Court ruled that the Double Taxation Avoidance Agreement (DTAA) cannot be enforced unless it is notified under the Income-Tax Act, 1961.
• Details of the Suspension:
  • Starting January 1, 2025, Switzerland will suspend the Most Favoured Nation (MFN) clause in its DTAA with India.
  • The MFN clause was part of the India-Switzerland DTAA signed in 1994.

Impact of the Suspension:

• Higher Tax Liabilities for Indian Companies: Withholding tax on dividends from Switzerland will increase from 5% to 10% for Indian companies.
• Effects on Swiss Investments in India: Swiss companies will continue to face a 10% withholding tax on dividends from India, as per the India-Switzerland DTAA.
• Potential Re-evaluation of MFN Clauses by Other Countries: Other countries may reconsider how the MFN clause is applied in their tax treaties with India, following this development.
• No Change for Other Benefits: Other DTAA benefits and investments related to the European Free Trade Association (EFTA) will remain unaffected.

Most Favoured Nation (MFN) Clause Overview:

• Definition: The MFN principle ensures that favorable trading terms given by one WTO member country to another are extended to all other WTO members, promoting non-discrimination.
• Purpose: To ensure equal treatment among trading nations by preventing discrimination, and to promote fair trade and equitable market access.
• Key Features:
  • Equal treatment in tariffs, quotas, and trade barriers.
  • Members must extend the best terms to all other WTO members.
• Origin: The MFN principle was established after World War II as a cornerstone of the multilateral trading system under the WTO.
• Exceptions:
  • Bilateral or regional trade agreements.
  • Special access granted to developing countries.
  • Non-WTO members (e.g., Iran, North Korea) are not bound by MFN rules.
• Removal of MFN:
  • There is no formal procedure under the WTO to suspend MFN status.
  • Countries are not obligated to notify the WTO when suspending or removing MFN treatment.

Recent Development:

• From January 1, 2025, Indian companies will face higher withholding tax (10%) on income sourced from Switzerland, as a result of the MFN clause suspension.

In News:

India had ‘limited success’ in capturing ‘China Plus One’ opportunity.

Limited Success in ‘China Plus One’ Strategy:

• India has had limited success in attracting multinational companies looking to diversify their supply chains under the ‘China Plus One’ strategy, aimed at reducing dependence on China.
• Vietnam, Thailand, Cambodia, and Malaysia have been more successful in benefiting from this shift due to factors like lower labor costs, simplified tax laws, and proactive Free Trade Agreements (FTAs).

Geopolitical Context - US-China Trade Conflict:

• The fresh US-China trade conflict involves tit-for-tat restrictions, with the US imposing export controls on Chinese high-tech goods and China retaliating by banning key materials.
• India's Position: As a "connecting economy" not directly aligned with the US or China, India stands to benefit from trade diversions arising from this conflict.

Opportunities for India Amid Trade Diversion:

• NITI Aayog CEO BVR Subrahmanyam highlighted opportunities arising from trade diversion, particularly due to US trade policies under President-elect Donald Trump, which could potentially create an economic boom for India.
• India has opportunities to capture a larger share of the global trade, especially in sectors where it currently holds a small market share (less than 1% of world trade in many areas).

Trade Policy Challenges:

• Steel Import Duty Proposal: NITI Aayog Vice Chairperson cautioned against imposing high duties on steel imports, arguing that it could reduce India’s competitiveness and lead to negative consequences for domestic industries reliant on steel.
• The global steel market has been affected by oversupply from China, with India’s iron and steel exports experiencing a sharp decline in Q1 FY25 due to weak domestic demand.

Impact of US Tariffs:

• A general 10% tariff on all imports by the US would not have a major negative impact on India.
• However, a 60% tariff on China could open significant opportunities for India, especially in sectors where it competes directly with China. There might be short-term shocks but long-term benefits.

Ongoing Trade Fragmentation:

• The report noted that trade fragmentation is driven by strict export controls on Chinese goods, implemented by the US to curb China’s growth, particularly in high-tech sectors.

Sectoral Competitiveness:

• While China remains India's key competitor across most export sectors, countries like Brazil, Indonesia, and South Africa generally lag behind India.
• Malaysia and Thailand outperform India in select sectors such as electrical machinery.

Challenges in the EU Market - Carbon Border Adjustment Mechanism (CBAM):

• Iron and steel industry facehigh exposure under the CBAM for EU exports, with tariffs potentially rising by 20-35% due to carbon emissions-related regulations.
• Indian firms could experience higher compliance costs due to the requirement for detailed emissions reporting, impacting competitiveness in the European market.

In News:

India and Slovenia have announced a five-year scientific collaboration plan (2024-2029) to deepen ties in research and technology. The Programme of Cooperation (PoC) was finalized during a meeting between Dr. Jitendra Singh (Indian Minister for Science and Technology) and Dr. Igor Papi? (Slovenian Minister for Higher Education, Science, and Innovation) on December 5, 2024.

Key Highlights:

• Joint Research Focus: The collaboration will focus on hydrogen technologies, sustainable innovation, AI, renewable energy, and smart cities.
• Over 20 Successful Projects: More than 20 joint initiatives in sectors like health, AI, and energy have already been implemented.
• Future Areas of Collaboration: New research projects will be launched, further strengthening academic exchanges and scientific networks between the countries.
• Hydrogen Technologies: Both ministers emphasized hydrogen's role in global energy sustainability, marking it as a critical area for future research.
• Historical Partnership: This builds on a partnership dating back to a 1995 agreement, with initiatives like the Joint Working Group on Scientific and Technological Cooperation.

What is the Programme of Cooperation (PoC)?

• The Programme of Cooperation (PoC) is a formal agreement between two countries designed to enhance collaboration in specific sectors, such as science, technology, and innovation.
• In the case of India and Slovenia, the PoC for the period 2024–2029 aims to promote joint research efforts, academic exchanges, and partnerships in emerging fields like hydrogen technologies, sustainable innovation, and other transformative areas.
• The PoC serves as a structured framework for long-term cooperation, enabling both nations to develop networks among scientists and researchers while addressing global challenges through collaborative innovation.

In News:

• US President-elect Donald Trump threatens BRICS countries (Brazil, Russia, India, China, South Africa) with 100% import tariffs if they create a new currency or support an alternative to the US dollar as the global reserve currency.
• Trump emphasizes that attempts to undermine the US dollar’s dominance will face economic retaliation, asserting the US economy won’t tolerate such moves.

Background

• Weaponization of the Dollar: The US has increasingly used its financial influence to impose sanctions (e.g., Russia, Iran) and cut off countries from systems like SWIFT (Society for Worldwide Interbank Financial Telecommunication).
• Concerns: Countries are concerned about their vulnerability to US monetary policies, which can have global impacts (e.g., rising US interest rates causing economic instability in other countries).

Efforts to Reduce Dependence on the US Dollar

• BRICS Countries’ Initiatives:
  • Russian President Putin criticizes the weaponization of the dollar.
  • Brazil's President Lula advocates for a new BRICS currency to increase payment options and reduce vulnerabilities.
• India's Steps:
  • The Reserve Bank of India (RBI) allows invoicing and payments in Indian rupees for international trade (since 2022), particularly with Russia.
  • Prime Minister Modi supports increasing financial integration and cross-border trade in local currencies within BRICS.
  • External Affairs Minister Jaishankar emphasizes the importance of mutual trade settlements in national currencies.
• China-Russia Trade: Over 90% of trade between Russia and China is settled in rubles and yuan due to their more balanced trade relations.

Internationalization of the Indian Rupee

• RBI's Role:
  • In July 2022, RBI allowed export/import settlements in rupees, starting with Russia in December 2022.
  • More than 19 countries, including the UK and UAE, have agreed to settle trade in rupees.
• Challenges:
  • The Indian rupee currently accounts for only 1.6% of global forex turnover.
  • India’s trade imbalance with Russia limits the effective use of rupee reserves.
  • Indian banks are cautious due to the risk of US sanctions.

Global Trends in Currency Diversification

• Multipolarity in Finance: Emerging economies like China, India, and Brazil are advocating for a more decentralized financial system, moving away from US dominance.
• Declining Dollar Share: The US dollar’s share of global reserves is gradually decreasing, with non-traditional currencies like the Chinese yuan gaining ground.

Risks of Moving Away from the US Dollar

• Chinese Dominance: Concerns about increasing Chinese economic influence, especially within BRICS, as China pushes for more use of the yuan in trade.
• Liquidity and Volatility Issues: Alternatives to the dollar may face challenges like lower liquidity and increased exchange rate volatility.
• Implementation Challenges: Countries, especially those with trade imbalances, find it difficult to adopt local currencies for international trade.

Potential Impact of 100% US Tariff on BRICS Imports

• Global Trade Dynamics: A blanket tariff would likely encourage deeper intra-BRICS trade and accelerate the move towards de-dollarization.
• Impact on the US: Higher import costs for American consumers and potential trade diversification to third countries could hurt the US economy without revitalizing domestic manufacturing.
• Retaliation: BRICS countries might retaliate with tariffs on US goods, escalating trade tensions.

India’s Strategic Approach

• Diplomatic Engagement: India should clarify to the US that diversifying trade mechanisms is not anti-American but seeks financial stability and multipolarity.
• Leadership Role in BRICS: India should support financial reforms within BRICS that align with its interests while maintaining strong ties with the US.
• Promotion of Digital Currency: India should accelerate its Central Bank Digital Currency (CBDC) and strengthen international platforms like UPI to enhance its global financial presence.

In News:

The first edition of CINBAX (Counter-Terrorism Counter-Bio-Terrorism and Intelligence Operations Exercise) was launched on December 1, 2024, at the Foreign Training Node, Pune.

Key Details:

• Participants: 20 personnel from each side – the Indian Army and the Cambodian Army – focusing on enhancing cooperation for UN peacekeeping operations.
• Objective:
  • Enhancing Trust and Interoperability: CINBAX aims to foster mutual trust, build camaraderie, and improve operational efficiency between the two armies in conducting peacekeeping operations under UN guidelines.
  • Focus Areas: Joint Counter-Terrorism (CT) operations, Intelligence, Surveillance, and Reconnaissance (ISR), cyber warfare, logistics, casualty management, and disaster relief operations.

• Phases of the Exercise:
  • Phase I: Orientation for Counter-Terrorism operations in the context of UN peacekeeping missions.
  • Phase II: Conduct of tabletop exercises to simulate and plan response scenarios.
  • Phase III: Finalization of plans and review of lessons learned, focusing on operational strategies and tactical decision-making.
• Key Topics Covered:
  • Discussions on setting up a Joint Training Task Force for intelligence, surveillance, and reconnaissance.
  • Exploring cyber warfare, hybrid warfare, and unconventional tactics.
  • Strategies for managing logistics, casualties, and coordination during Humanitarian Assistance and Disaster Relief (HADR) operations.
• Promotion of Indigenous Defence Equipment:
  • The exercise will showcase Indian-made weapons and defence equipment, supporting India’s commitment to Atmanirbhar Bharat (self-reliance in defence production).
  • Objective: To highlight India's advanced military technology and indigenous defence capabilities.
• Significance for India-Cambodia Relations:
  • The exercise strengthens military ties between India and Cambodia, contributing to improved cooperation in regional peacekeeping efforts.
  • CINBAX marks a significant milestone in India-Cambodiadefence collaboration and sets the stage for future joint operations.

India-Cambodia Bilateral Relations

• Historical Context:
  • India and Cambodia share strong religious, cultural, and linguistic ties, with Hindu rituals influencing Cambodian culture and Sanskrit and Khmer sharing common words.
  • Diplomatic relations were established in 1952, even before Cambodia's independence from France.
• Key Developments:
  • 1954: Prime Minister Jawaharlal Nehru visited Cambodia, initiating strong diplomatic ties, particularly during the Non-Aligned Movement.
  • Post-1970s: India played a pivotal role in Cambodia's recovery from the Khmer Rouge regime. India was the first democratic country to recognize the Heng Samrin regime in 1981 and contributed to Cambodia's political reconciliation.
  • 1980s: India facilitated dialogue for the Paris Peace Accord and contributed to the success of UNTAC elections in 1993.
• Strategic and Economic Cooperation:
  • Defence: Enhanced cooperation in defence capacity building, military training, and infrastructure development.
  • Trade: India exports pharmaceuticals, bovine meat, automobiles, and leather products to Cambodia. In return, Cambodia exports organic chemicals, apparel, and footwear to India.
  • Mekong-Ganga Cooperation (MGC): Established in 2000, MGC includes Cambodia and aims to enhance cooperation in sectors like trade, education, tourism, and cultural exchanges.
• Recent Collaboration:
  • India has extended financial assistance for infrastructure projects in Cambodia, especially in restoring and conserving cultural heritage sites like Angkor Wat.
  • MoUs signed in bilateral cooperation, cultural exchanges, and development projects highlight the growing India-Cambodia strategic partnership.

In News:

India has been re-elected to the United Nations Peacebuilding Commission (PBC) for the term 2025–2026, continuing its strong commitment to global peace and stability.

UN Peacebuilding Commission (PBC)

It is an advisory body established by the UN General Assembly and UN Security Council in 2005. It is tasked with supporting peace efforts in conflict-affected countries by advising and recommending strategies for post-conflict recovery and long-term peacebuilding.

Composition of PBC:

• The PBC is composed of 31 member states, elected from the General Assembly, Security Council, and Economic and Social Council.
• It includes key financial and troop-contributing countries, which play a central role in shaping global peacebuilding initiatives.

Key Mandates of the PBC

• Coordination of Resources and Strategies:The Commission brings together all relevant actors to propose integrated strategies for post-conflict recovery and peacebuilding.
• Reconstruction and Development:It focuses on rebuilding conflict-affected countries through institution-building and supporting sustainable development efforts.
• Improving Coordination:The PBC ensures better coordination within and outside the UN, develops best practices, and secures predictable financing for early recovery initiatives.
• Sustaining Peace:The Commission promotes sustained international attention to peacebuilding efforts and offers political support to countries emerging from conflict, with their consent.
• Integrated Approach:The PBC advocates for an integrated approach that links security, development, and human rights as interrelated and mutually reinforcing.
• Bridging Role:It serves as a platform to connect UN bodies, Member States, national authorities, civil society, and other stakeholders, sharing good practices in peacebuilding.

India’s Contributions to UN Peacebuilding and Peacekeeping

India has been at the forefront of UN peacebuilding initiatives due to its long-standing commitment to international peace and stability.

• Largest Contributor of Personnel:India is one of the largest contributors of uniformed personnel to UN Peacekeeping. Currently, around 6,000 Indian military and police personnel are deployed across multiple missions in Abyei, Central African Republic, Cyprus, Democratic Republic of Congo, Lebanon, Middle East, Somalia, South Sudan, and Western Sahara.
• Sacrifices in Service:India holds the tragic distinction of having lost over 180 peacekeepers, the highest number from any troop-contributing nation. These sacrifices reflect India's enduring commitment to global peace.
• Financial Support:India contributes to the Peacebuilding Fund, the primary financial instrument for conflict prevention and peacebuilding, which supports countries transitioning from conflict to peace.
• Championing South-South Cooperation:India has actively promoted South-South cooperation, a model for post-conflict recovery that emphasizes shared learning and capacity-building among developing nations.
• Women in UN Peacekeeping:India has led efforts for gender parity in UN peacekeeping. In 2007, India became the first country to deploy an all-women contingent to a UN peacekeeping mission. It has since deployed Female Engagement Teams (FETs) and Female Formed Police Units (FFPUs) in Lebanon and the Democratic Republic of Congo.
• Training and Capacity Building:India has invested in capacity development for both the UN and host nations. The Centre for UN Peacekeeping (CUNPK) in New Delhi, established by the Indian Army, trains over 12,000 troops annually in peacekeeping operations. India also deploys Mobile Training Teams to share best practices with other countries.

India’s Pledges at the UN Peacekeeping Ministerial (2023)

At the UN Peacekeeping Ministerial held in Accra, Ghana (December 2023), India made significant pledges:

• To contribute an Infantry Battalion Group, along with various sub-groups and pre-deployment training courses, for the next two years.
• India’s ongoing commitment to strengthening peacekeeping efforts and supporting the UN’s peacebuilding agenda was reaffirmed.

In News:

The 6th ASEAN-India Trade in Goods Agreement (AITIGA) Joint Committee and related meetings for discussions on the review of the AITIGA were held recently in Vanijya Bhawan, New Delhi.

Key Highlights:

Key Negotiation Areas

• 8 Sub-Committees under the AITIGA Joint Committee discussed:
  • Market access, rules of origin, SPS measures, standards and technical regulations.
  • Customs procedures, economic and technical cooperation, trade remedies, and legal and institutional provisions.
• 5 Sub-Committees met physically during this round of negotiations.

Progress in Discussions

• Textual Discussions: Sub-Committees made progress in discussions on various provisions.
• Tariff Negotiations: Initial steps towards initiating tariff negotiations were covered.

High-Level Meetings Leading to AITIGA Review

• 21st ASEAN-India Economic Ministers Meeting: Held in September 2024 in Vientiane, Laos.
• 21st ASEAN-India Summit: Held in October 2024 in Vientiane, Laos.

Both meetings urged the Joint Committee to expedite negotiations and aim for the conclusion of the review in 2025.

Bilateral Meetings

• ASEAN delegates held separate bilateral meetings with Thailand and Indonesia to discuss bilateral trade issues.
• Indian and ASEAN Chief Negotiators met to align on the ongoing issues and future steps.

India's Review Demands

• Request for Review: India sought a review of AITIGA (implemented in 2010), citing disproportionate trade benefits favoring ASEAN countries.
• India’s Objectives:
  • Enhanced Market Access: India pushed for ASEAN countries, especially Vietnam, to commit to greater market-opening for Indian goods.
  • Stricter Rules of Origin (ROO): India requested more stringent ROO provisions to prevent Chinese goods from entering India via ASEAN countries at preferential rates.

Trade Relationship and Economic Impact

• Bilateral Trade:
  • Total trade with ASEAN reached USD 121 billion in FY 2023-24.
  • Trade during April-October 2024 was USD 73 billion, marking a 5.2% growth.
• Trade Deficit: India’s trade deficit with ASEAN widened from USD 4.98 billion in FY 2010-11 to USD 38.4 billion in 2023-24.
• ASEAN accounts for 11% of India’s global trade.

Future Outlook

• The next meeting of the AITIGA Joint Committee is scheduled for February 2025 in Jakarta, Indonesia.
• The review process aims to further enhance sustainable trade between India and ASEAN countries.

In News:

The 11th ADMM-Plus held in Vientiane, Laos saw Union Defence Minister Rajnath Singh engage in discussions with his counterparts from the United States, Japan, and the Philippines.

Focus: The talks centered on strengthening defence partnerships, regional security, and enhancing cooperation among Indo-Pacific nations.

ASEAN Defence Ministers’ Meeting-Plus (ADMM-Plus):

• Platform for Dialogue: The ADMM-Plus is a key platform for ASEAN and its eight Dialogue Partners—Australia, China, India, Japan, New Zealand, Republic of Korea, Russia, and the United States.
• Establishment: The inaugural ADMM-Plus was held in HàN?i, Vietnam on 12 October 2010.
• Annual Meetings: Since 2017, the ADMM-Plus has met annually to enhance dialogue and cooperation amidst an increasingly complex regional security environment.

Objectives:

• Capacity Building: To aid ASEAN members in addressing shared security challenges.
• Promote Trust and Transparency: Enhance mutual trust and confidence between ASEAN and partner nations.
• Regional Peace and Stability: Focus on cooperation in defence and security to counter transnational security challenges.
• ASEAN Security Community: Contribute to realizing the ASEAN Security Community, as per the Bali Concord II, aiming for peace, stability, democracy, and prosperity in the region.
• Vientiane Action Programme: Facilitate ASEAN's efforts towards a peaceful, secure, and prosperous ASEAN with outward-looking relations with Dialogue Partners.

In News:

• Daniel Barenboim (Classical Pianist and Conductor) and Ali Abu Awwad (Palestinian Peace Activist) were jointly awarded the Indira Gandhi Prize for Peace, Disarmament, and Development for 2023.
  • Daniel Barenboim was recognized for fostering peace through musical and cultural dialogue initiatives.
  • Ali Abu Awwad was honored for his advocacy of peace through dialogue via his organization Roots, which he founded after serving time in Israeli prison.

Significance of the Indira Gandhi Peace Prize:

• The award is given to individuals or organizations who have made outstanding contributions to international peace, disarmament, and development.
• It includes a monetary award of ?25 lakh and a citation.

About the Indira Gandhi Peace Prize:

• Established: 1986 by the Indira Gandhi Memorial Trust in memory of former Prime Minister Indira Gandhi.
• Objective: To honor sustained efforts towards international peace, the development of humanity, and the promotion of disarmament.
• Past recipients: Includes prominent figures and organizations such as Mikhail Gorbachev, UNICEF, Jimmy Carter, Angela Merkel, ISRO, and Sir David Attenborough.

2022 Awardees:

• The Indira Gandhi Peace Prize for 2022 was awarded to the Indian Medical Association and the Trained Nurses Association of India, in recognition of their contribution as COVID-19 warriors.

Key Takeaways:

• The Indira Gandhi Peace Prize is regarded as one of the most prestigious awards for promoting peace, disarmament, and development worldwide.
• Daniel Barenboim's musical initiatives and Ali Abu Awwad's work through dialogue exemplify efforts to bridge divides and promote peaceful resolutions to conflict.

In News:

• Russia reported that Ukraine fired six US-made Army Tactical Missile System (ATACMS) missiles at Bryansk, Russia, marking a significant escalation in the ongoing conflict.
• This came after US President Joe Biden authorized Ukraine to use long-range missiles to strike deeper inside Russian territory, easing previous restrictions on such weapons

About the Army Tactical Missile System (ATACMS)

• Overview:
  • ATACMS is a surface-to-surface artillery weapon system designed to strike targets at much greater ranges than conventional artillery, rockets, or missiles.
  • Manufacturer: Produced by Lockheed Martin, a leading US defense contractor.
  • First Use: It was first used during the 1991 Persian Gulf War.
• Key Features:
  • Guidance: ATACMS missiles are inertially guided ballistic missiles, capable of operating in all weather conditions.
  • Range: Approximately 190 miles (305 km).
  • Propulsion: It uses a single-stage, solid propellant for propulsion.
  • Launch Platforms: Fired from platforms like the High Mobility Artillery Rocket System (HIMARS) and the M270 Multiple Launch Rocket System (MLRS).
  • Payload: ATACMS missiles can carry cluster munitions, releasing hundreds of smaller bomblets over a targeted area, increasing their destructive power.
• Global Operators:Besides the US, ATACMS is also operated by countries such as Bahrain, Greece, South Korea, Taiwan, and the United Arab Emirates.

In News:

PM Modi receives Nigeria’s second-highest national award.

Key Events and Achievements

• Award Conferred:
  • Award Name: Grand Commander of the Order of the Niger (GCON).
  • Significance: Nigeria’s second-highest national award, conferred on Prime Minister Narendra Modi.
  • Historical Context: Modi becomes the second foreign dignitary to receive this award, after Queen Elizabeth in 1969.

Strategic and Developmental Ties Between India and Nigeria

• First Visit in 17 Years: Modi’s visit is the first by an Indian PM to Nigeria in 17 years, underscoring the significance of strengthening bilateral ties.
• Economic Cooperation:
  • Over 200 Indian companies have invested around $27 billion in Nigeria across key sectors, making India a major economic partner.
  • India has provided $100 million in development assistance through concessional loans and is actively involved in capacity-building training programs in Nigeria.
• MoUs Signed:
  • Three Memoranda of Understanding (MoUs) were signed in the fields of:
    • Cultural Exchange.
    • Customs Cooperation.
    • Survey Cooperation.
• Relief Aid: Modi announced the dispatch of 20 tonnes of relief supplies to help Nigeria recover from the devastating floods that affected the country last month.

Diplomatic Discussions and Initiatives

• Strategic Partnership: Modi described the India-Nigeria partnership as one with immense potential in sectors like defence, energy, technology, trade, health, and education.
• Indian Expatriate Community: Modi acknowledged the 60,000-strong Indian diaspora in Nigeria, recognizing their role as a pillar of bilateral ties.
• Support for Africa:
  • Modi highlighted India’s support for the African Union’s membership in the G20, an outcome of the India-hosted G20 summit in 2023.
  • Nigeria’s Role: He noted Nigeria’s positive influence on Africa and its importance as a key partner in India’s Africa engagement.

Broader Implications for International Relations

• India-Nigeria Security Cooperation:
  • The National Security Advisors (NSA) of India and Nigeria held in-depth discussions on counter-terrorism, extremism, and cybersecurity challenges.
  • India and Nigeria are committed to jointly addressing global threats such as arms smuggling and international crime.
• India's Role as a Development Partner:
  • India’s growing role as a development partner for African nations is becoming increasingly important, exemplified by Nigeria’s close ties with India.
• Global Diplomacy and Soft Power:
  • Modi’s award and visit reflect India’s growing influence in Africa and its emphasis on fostering ties with resource-rich and strategically located nations like Nigeria.
  • The Grand Commander of the Order of the Niger is also a reflection of the soft power India is wielding globally.

Key Facts about Nigeria:

• Location: Nigeria is located in West Africa, bordering Niger, Chad, Cameroon, and Benin, with access to the Atlantic Ocean.
• Significance:
  • Known as the “Giant of Africa” due to its large population and economic power.
  • It has the largest economy in Africa, largely driven by its oil reserves.

In News:

Nepal starts exporting energy to Bangladesh with Indian grid support.

Significance of the Power Transfer:

• Energy Cooperation:
  • A major step in regional energy cooperation among Nepal, India, and Bangladesh.
  • Strengthens sub-regional connectivity in the power sector.
• Nepal’s Hydropower Potential:
  • Nepal, a Himalayan nation, possesses untapped hydropower resources, and this agreement opens the door for future cross-border electricity cooperation.
  • Nepal’s energy exports are a green energy initiative, supporting sustainable industrial growth in Bangladesh and regional prosperity.
• Electricity Crisis in Bangladesh:
  • Bangladesh is facing an ongoing electricity shortage, worsened by the suspension of power supply from Adani’s Godda plant and the maintenance of the Payra thermal unit.
  • The addition of 40 MW of Nepalese hydroelectric power aims to alleviate the energy shortfall in Bangladesh.

Tripartite Power Sales Agreement:

• Agreement Details:
  • The agreement for power transfer was signed in October 2023 between:
    • NTPC Vidyut Vyapar Nigam (NVVN) (India)
    • Nepal Electricity Authority (NEA) (Nepal)
    • Bangladesh Power Development Board (BPDB) (Bangladesh).
  • Power Export: Nepal has started exporting 40 MW of electricity, which marks a significant milestone in trilateral power cooperation.

Key Entities Involved:

• NTPC Vidyut Vyapar Nigam (NVVN):
  • A wholly owned subsidiary of NTPC Ltd. (National Thermal Power Corporation), created to facilitate power trading.
  • NVVN is diversifying into renewables, e-mobility, and green fuel solutions.
• NTPC Ltd.:
  • A Maharatna PSU under India’s Ministry of Power, established to develop power resources in India.
  • Involved in large-scale power generation and clean energy initiatives

In News:

• India and Japan recently signed a Memorandum of Implementation (MoI) to co-develop the UNICORN (Unified Complex Radio Antenna) mast for deployment on Indian Navy ships. This pact marks a significant milestone as it is India's first military technology transfer agreement with Japan.
• The deal follows a 2015 agreement on the transfer of defense equipment and technology, further strengthening defense ties between the two countries.
• The UNICORN mast is a cutting-edge communication and radar system designed to enhance the stealth characteristics of naval vessels. This agreement is seen as an important step towards deepening India-Japan defense cooperation.

What is UNICORN?

The UNICORN mast is an advanced, integrated antenna system that combines several communication and radar components into a single conical structure or radome (a radar-absorbing dome). It is designed to reduce the radar cross-section (RCS) of ships, improving their stealth capabilities.

Key features of the UNICORN mast include:

• Integration of multiple antennas: It consolidates various antennas used for tactical data links, communications, and navigation systems (e.g., TACAN - Tactical Air Navigation System).
• Stealth enhancement: By reducing the number of exposed components and consolidating them into a single radome, the mast significantly lowers the ship’s radar signature, making it harder to detect.
• Improved performance: The mast design minimizes mutual interference between antennas, enhances maintainability, and increases lightning resistance.
• Space efficiency: It saves valuable below-deck space and reduces ship-building time by integrating multiple systems into one mast.

The UNICORN system is currently deployed on Mogami-class frigates of the Japan Maritime Self-Defence Force.

India-Japan Defense Cooperation

• 2015 Defense Technology Transfer Agreement: This pact established a framework for defense cooperation between India and Japan, paving the way for joint projects like the UNICORN mast.
• Bilateral Military Exercises:
  • Veer Guardian 2023: A bilateral exercise conducted between the Japan Air Self Defence Force (JASDF) and the Indian Air Force (IAF), which deepened defense interoperability between the two nations.
  • Tarang Shakti 2024: The first multilateral air exercise hosted by the Indian Air Force, with Japanese fighter aircraft participating.
• Andaman and Nicobar Islands Development: Japan has also provided financial aid for infrastructure development in India’s strategically located Andaman and Nicobar Islands, contributing to enhancing India’s maritime security in the region.

In News:

• Bali Jatra 2024 is being held from November 15 to November 22 in Cuttack, Odisha.
• The festival celebrates Odisha’s ancient maritime history and its cultural and trade links with Southeast Asia.
• The event has gained international attention due to the participation of diplomats and cultural troupes from ASEAN, BIMSTEC, and Pacific Island countries.

Historical and Cultural Significance:

• Bali Jatra ("Voyage to Bali") commemorates the 2,000-year-old maritime trade routes between ancient Kalinga (modern-day Odisha) and Southeast Asia, including regions like Bali, Java, Sumatra, Borneo, Burma (Myanmar), and Sri Lanka.
• The festival honors the skills of Kalinga sailors who contributed to the prosperity of the region through trade, including commodities like pepper, cinnamon, cardamom, silk, camphor, gold, and jewelry.
• It highlights Odisha’s maritime legacy and the cultural exchanges between India and Southeast Asia, particularly the cultural influence of Odia merchants on Bali.

Commercial and Economic Aspects:

• Bali Jatra is Asia’s largest open-air trade fair, featuring over 2,500 stalls selling a variety of products including artisanal crafts, household items, and food.
• The event is a major commercial activity with business transactions estimated to exceed ?100 crore over the course of the festival.
• The festival provides an opportunity for both local and national traders to exhibit products at competitive prices.

Cultural Performances and International Participation:

• The festival includes daily cultural performances showcasing Odissi dance, Chhau dance, Bihu, Mahari, Gotipua, Sambalpuri, and Santali folk dances.
• This year, cultural troupes from countries like Indonesia, Thailand, and Sri Lanka have participated, enhancing the international profile of the festival.
• Diplomats, including Ambassadors, High Commissioners, and Heads of Mission from 14 countries attended the inaugural ceremony.

Historical Background of Bali Jatra:

• The festival is linked to Kartika Purnima, the full moon night of the month of Kartika, marking the annual migration of traders from Odisha to Southeast Asia.
• Traders used boats called Boitas to travel to distant lands, which is now symbolically represented in the festival.
• The event’s cultural significance extends to the recognition of Odisha’s historic maritime routes, with ports like Tamralipti, Manikpatna, Chelitalo, Palur, and Pithunda playing key roles in global trade from as early as the 4th century BC.

Kalinga's Maritime Influence:

• The Kalinga Empire (present-day Odisha) had significant influence over the Bay of Bengal, referred to as the Kalinga Sea.
• Kalinga’s dominance in maritime trade is reflected in Kalidasa's Raghuvamsa, where the King of Kalinga is called "Lord of the Sea."
• Kalinga's Boitas (ships) were instrumental in connecting India with the Southeast Asian archipelago, including Bali.

Cultural Linkages with Bali:

• Odisha's trade with Bali influenced the culture, religion, and architecture of the region.
• Balinese Hinduism today still reflects Indian influences, with worship of Hindu deities like Shiva, Vishnu, Brahma, and Ganesha.
• The MasakapankeTukad festival in Bali, similar to Bali Jatra in Odisha, is a tribute to the maritime ancestors of Bali and commemorates the long-standing cultural ties.

Recognition and Milestones:

• Bali Jatra 2022 achieved a Guinness World Record for creating the largest collection of origami sculptures.
• The festival has evolved from a traditional trade fair to an international cultural event that highlights Odisha’s historical role in global trade and cultural exchanges.

In News:

Australia has come up with a new scheme that allows talented young people from India to work in the country for some time.

What is the MATES Scheme?

• Full Name: Mobility Arrangement for Talented Early-professionals Scheme (MATES).
• Objective: To provide Indian university graduates and early-career professionals with an opportunity to live and work in Australia for up to two years.
• Establishment: The scheme is part of the Migration and Mobility Partnership Arrangement (MMPA) between Australia and India, signed on May 23, 2023.
• Launch Date: MATES will open for applicants in December 2024.

Eligibility Criteria

• Age: Applicants must be 30 years or younger at the time of application.
• Educational Qualifications: Must have graduated within the last two years from an eligible institution with a Bachelor’s degree or higher in one of the following fields:
  • Renewable Energy
  • Mining
  • Engineering
  • Information Communications Technology (ICT)
  • Artificial Intelligence (AI)
  • Financial Technology (FinTech)
  • Agricultural Technology (AgriTech)
• English Proficiency: A minimum score of 6 overall in IELTS (or equivalent), with at least 5 in each module.
• Institutional Criteria: Graduates must be from the top 100 Indian universities as per the NIRF Ranking 2024 (e.g., Panjab University, Chandigarh University, Thapar Institute of Engineering, Lovely Professional University).
• Previous Participation: Applicants must not have previously participated in the MATES scheme.

Key Features of the MATES Scheme

• No Employer Sponsorship Required: Applicants are not required to have sponsorship from an Australian employer.
• Visa Duration: The visa allows a stay of up to 2 years in Australia, with multiple entries permitted.
• Dependents: Visa holders can bring dependents (spouse and children). Dependents will have work rights in Australia but will not count towards the annual cap.
• Visa Application Process:
  • The visa will be granted through a ballot system (random selection).
  • Application Fee: AUD 25.
  • Shortlisted candidates will proceed to further formalities.

Program Features

• Targeted Sectors: MATES focuses on key sectors such as renewable energy, mining, engineering, ICT, AI, FinTech, and AgriTech, aligning with Australia’s demand for skilled professionals in these areas.
• Pilot Program: Initially, the scheme will offer 3,000 places per year for primary applicants.
• Work Flexibility: While the visa does not require applicants to work in their nominated field, it is designed to help young professionals expand their skills and network in Australia’s key industries.

Additional Benefits

• Career Development: Participants will gain international work experience, expanding their professional network and skills.
• Cultural Exchange: The scheme also promotes cultural exchange between India and Australia, fostering stronger bilateral relations.
• Pathway for Future Opportunities: Participants may apply for further temporary or permanent residence in Australia, provided they meet the eligibility requirements.

Impact and Significance

• Bilateral Cooperation: The MMPA, under which MATES is established, enhances migration and mobility between India and Australia while addressing concerns related to illegal migration.
• Youth Empowerment: The scheme offers young professionals a platform to develop their careers internationally, particularly in sectors of global relevance like AI, FinTech, and renewable energy.
• Skill Development: MATES aims to bridge skill gaps in Australia by attracting Indian professionals to key sectors where expertise is in high demand.
• Global Talent Mobility: This scheme supports the global mobility of young talent and strengthens the India-Australia economic and educational partnership.

In News:

• The 3rd edition of Exercise AUSTRAHIND started on 8th November 2024 at the Foreign Training Node in Pune, Maharashtra. The exercise will run until 21st November 2024.

Participating Forces:

• Indian Contingent: 140 personnel, primarily from the DOGRA Regiment and Indian Air Force (14 personnel).
• Australian Contingent: 120 personnel from the 13th Light Horse Regiment of the 10th Brigade of the 2nd Division.

Purpose of the Exercise:

• Enhance Military Cooperation between India and Australia.
• Promote Interoperability in conducting joint sub-conventional operations in semi-urban and semi-desert terrain.
• Focus on operations under Chapter VII of the UN mandate.

Key Objectives:

• Joint Tactical Drills and Planning to improve coordination between the forces.
• Training in counter-terrorism operations, special heli-borne operations, and drone countermeasures.

Phases of the Exercise:

Combat Conditioning and Tactical Training Phase:

• Includes drills such as terrorist response, territory capture, and Raid and Search & Destroy Missions.
• Establishment of Joint Operations Centre and securing critical infrastructure like helipads.
• Training on drone operations and counter-drone measures.

Validation Phase: Practical application and testing of skills learned in the previous phase.

Significance:

Best Practices Sharing: Both sides will exchange tactics, techniques, and procedures for conducting effective tactical operations. 

Camaraderie Building: The exercise will foster a strong bond between soldiers from both countries.

Background: AUSTRAHIND is an annual exercise held alternately in India and Australia. The last edition took place in Australia in December 2023.

In News:

• The 21st India-US Military Cooperation Group (MCG) meeting was held from November 5 to 6, 2024, at the Manekshaw Centre, New Delhi.
• The meeting focused on strengthening defence ties between India and the US, covering a wide range of topics aimed at improving military cooperation.

Key Areas of Discussion

• Capacity Building: The meeting discussed initiatives for enhancing defence capacity through training exchanges, joint exercises, and sharing best practices.
• Defence Industrial Cooperation: Both countries explored opportunities for collaborative defence industrial ventures and technology sharing.
• Joint Exercises: The advancement of joint military exercises was highlighted to boost readiness against both conventional and hybrid threats.
• Strategic Objectives: The meeting aimed to enhance interoperability between the two countries' armed forces, enabling more effective joint operations.

Commitment to Strengthen Indo-US Defence Ties

• Strategic Partnership: Both nations reaffirmed their commitment to strengthening the Indo-US defence partnership, recognizing the shared challenges in the Indo-Pacific region.
• Focus on Regional Security: The discussions underscored the importance of ensuring regional security and global stability in the face of emerging threats.

The Role of the MCG

• Purpose: The MCG forum serves as a key platform for enhancing strategic and operational defence collaboration between India and the US.
• Long-term Goals: The MCG aims to build mutual defence capabilities, counter emerging threats, and ensure the security of both nations and the wider region.

In News:

• The Chief of Defence Staff (CDS) of India recently visited Algeria, culminating in the signing of a significant Memorandum of Understanding (MoU) on defence cooperation.
• Objective: The MoU aims to strengthen the strategic and military ties between India and Algeria.

Recent Developments in India-Algeria Relations

• Important Visit: The CDS’s visit coincided with Algeria’s 70th anniversary of its revolution, celebrated on November 1st, with military parades and ceremonies highlighting Algeria’s historical and political legacy.
• Defence Cooperation:
  • India re-established its defence wing in Algeria, and Algeria reciprocated by considering the establishment of its defence wing in India.
  • India emphasized its role as a “Vishwa Bandhu” (global partner) and offered to share defence expertise and experiences with Algeria.
• Strategic Discussion: The MoU aims to enhance mutual understanding, laying the foundation for long-term defence collaboration across multiple sectors, including manufacturing under India’s 'Make in India' and 'Make for the World' initiatives.
• Global Peace Support: CDS reiterated India’s commitment to peaceful conflict resolution and expressed support for Algeria’s defence interests.

Significant Areas of India-Algeria Relationship

• Diplomatic Relations:
  • India and Algeria established diplomatic ties in July 1962, the same year Algeria gained independence from French colonial rule.
  • India supported Algeria's liberation movement and both countries have maintained close ties as part of the Non-Aligned Movement.
• Bilateral Trade:
  • Trade peaked at USD 2.9 billion in 2018 but dropped to USD 1.5 billion by 2021 due to COVID-19 and Algeria’s import restrictions.
  • Trade rebounded in 2022, increasing by 24% to USD 2.1 billion.
  • Exports from India (2023-24): Rice, pharmaceuticals, granite.
  • Imports from Algeria: Petroleum oils, LNG, calcium phosphates.
• Bilateral Agreements:
  • 2015 MoU: Between All India Radio (AIR) and Algerian National Radio for cooperation in broadcasting.
  • 2018 Space Cooperation Agreement: Focuses on satellite technology for applications like crop forecasting and disaster management.
  • Visa Waiver Agreement (2021): Diplomatic and official passport holders are exempt from visa requirements.
• Cultural Engagement:
  • International Day of Yoga (2024): Celebrated in Algeria at the Jardin d’Essai du Hamma, attracting over 300 participants.
• Space Cooperation:
  • The 2018 India-Algeria Space Cooperation Agreement focuses on joint space science, technology, and applications.
  • India has launched four Algerian satellites (2016), and the 2022 Joint Committee Meeting expanded satellite capacity building efforts.
  • Algeria’s space agency has engaged with ISRO on satellite applications like crop forecasting and disaster management.
• Indian Community in Algeria:
  • Approximately 3,800 Indians live in Algeria, working in various sectors, including technical and semi-skilled roles.
  • The community includes 13 Overseas Citizens of India (OCI), 10 Persons of Indian Origin (PIOs), and 15 Indian students.

In News:

The U.S. Army is scheduled to test launch a Minuteman III ICBM (Intercontinental Ballistic Missile) after the closure of voting on Election Day.

Missile Features

• Speed: Hypersonic, capable of reaching speeds up to 15,000 mph (Mach 23).
• Range: 13,000 km.
• Payload: Currently carries one nuclear warhead (as per arms control agreements with Russia), but originally designed for multiple independently targetable re-entry vehicles (MIRVs).
• Launch Time: Extremely fast, enabling near-instant global retaliation capabilities.
• Testing Reliability: Nearly 100% success rate in tests, with backup airborne launch controllers to ensure continuity of the retaliatory strike capability.
• Length: 18.2 meters.
• Diameter: 1.85 meters.
• Launch Weight: 34,467 kg.
• Type: Three-stage, solid-fuel missile.

Strategic Significance

• Land-Based Nuclear Deterrent: The Minuteman III is a key component of the U.S. nuclear triad, which includes land-based missiles, submarine-launched missiles (SLBMs), and strategic bombers.
• Cost-Effectiveness: The Sentinel weapon system (modernized Minuteman III) is viewed as the most cost-effective option for maintaining the land-based leg of U.S. nuclear deterrence until the planned Ground-Based Strategic Deterrent (GBSD) system replaces it in 2029.
• Global Reach: The missile can strike any target worldwide within minutes, demonstrating U.S. nuclear reach and power projection.

In News:

• The Tumaini Festival is held annually in the Dzaleka Refugee Camp in Malawi, one of the world’s few music festivals hosted within a refugee camp. It brings together refugees and locals for cultural exchange, showcasing music, art, and crafts.
  • Dates: The festival runs from Thursday to Saturday each year, typically in November.
  • Founded: In 2014 by Congolese poet Menes La Plume.

Festival Highlights:

• The festival features performances from a diverse range of artists, including refugees and local Malawians, as well as artists from South Africa, Zimbabwe, and beyond.
• In 2024, performances included Jetu, a 72-year-old singer, and Vankson Boy V, a Congolese refugee, alongside other acts like Maveriq Mavo from South Africa.
• The festival aims to:
  • Celebrate cultural exchange and community solidarity between refugees and locals.
  • Humanize the refugee experience by allowing refugees and locals to share common experiences and celebrate cultural diversity.
  • Challenge stereotypes by showing refugees as people with the same aspirations, talents, and desires as locals.

Significance of Dzaleka Refugee Camp:

• Location: Situated near Lilongwe, Malawi, Dzaleka was originally a prison before becoming a refugee camp in 1994.
• Capacity: Initially designed for 10,000 refugees, the camp now hosts over 60,000 individuals from countries like Democratic Republic of Congo (DRC), Rwanda, Burundi, Ethiopia, and Somalia.
• Role: Dzaleka has evolved into a hub for humanitarian aid, cultural exchange, and empowerment of its residents.

In News:

• North Korea recently announced the successful test-firing of its latest intercontinental ballistic missile (ICBM), the ‘Hwasong-19’.
• Claims by North Korea: The missile was described as ‘the world’s strongest strategic missile’ and a ‘perfected weapon system’ by North Korean state media.

Key Features of the Hwasong-19:

• Solid-Fuel Propulsion: The Hwasong-19 reportedly uses solid-fuel propulsion, which enables quicker launches and greater secrecy. This contrasts with liquid-fuel missiles, which take longer to prepare and are more visible.
• Enhanced Performance: The missile is said to have improved altitude and flight duration compared to previous North Korean ICBMs, marking significant progress in missile technology.
• Size: The Hwasong-19 is estimated to be 28 meters long (92 feet), which is notably larger than many other ICBMs, including those from the U.S. and Russia, which are typically under 20 meters (66 feet).

Strategic Implications:

• Reach and Targeting: The Hwasong-19 is believed to have a range of over 13,000 kilometers, which is sufficient to target the U.S. mainland, signaling a significant advancement in North Korea’s missile capabilities.
• Nuclear Capability: While specific details on the missile’s payload remain undisclosed, the Hwasong-19 could potentially be equipped with a nuclear warhead, enhancing North Korea's strategic deterrence.

Impact on Regional and Global Security:

• US-North Korea Tensions: The launch occurred against the backdrop of ongoing U.S.-North Korea tensions, particularly over North Korea’s nuclear and missile programs. The missile could potentially alter the regional security dynamics, especially in East Asia.

What is an ICBM?

• ICBM Definition: An intercontinental ballistic missile (ICBM) is a long-range missile capable of carrying nuclear warheads (or other payloads) across continents.
• Range and Speed: ICBMs typically have a minimum range of 5,500 km (3,400 miles), with some capable of reaching up to 16,000 km or more, making them far faster and more capable than other ballistic missiles.
• Launch Mechanism: ICBMs are launched from land or submarine platforms, traveling through space before re-entering the Earth’s atmosphere and targeting distant objectives.
• Comparison with India's Agni-V: India’s Agni-V ICBM, which has a range of over 5,000 km, is often compared to North Korea’s missile systems.

In News:

• India, represented by the Directorate of Enforcement (ED), has joined the Steering Committee of the Asset Recovery Interagency Network-Asia Pacific (ARIN-AP).
• Leadership Role: India will assume the presidency of ARIN-AP and host the Annual General Meeting (AGM) in 2026, providing a platform for global cooperation in asset recovery and tackling economic crimes.

ARIN-AP Overview:

• Establishment: ARIN-AP is a multi-agency network formed to address the proceeds of crime across the Asia-Pacific region.
• Network Goals: Its mission is to facilitate cross-border collaboration in the areas of asset tracing, freezing, and confiscation.
• Membership: ARIN-AP includes 28 member jurisdictions and 9 observers, and operates as a key component of the Global CARIN Network (Camden Asset Recovery Inter-Agency Network).
• Functioning: ARIN-AP operates through a network of contact points that enable intelligence exchange among member agencies, promoting effective communication and coordination for asset recovery.

Significance of ARIN-AP's Work:

• Combating Economic Crimes: ARIN-AP enhances the efforts of law enforcement agencies in tracing and recovering assets linked to criminal activities, including both movable and immovable assets.
• Informal Exchange of Intelligence: The network allows for the informal exchange of intelligence between agencies, which often accelerates the identification and recovery of proceeds of crime. This can later lead to formal actions through bilateral or multilateral agreements.
• Global Impact: With over 100 jurisdictions in the broader CARIN Network, ARIN-AP plays a key role in global efforts to combat fugitive economic offenders and illicit financial flows.

India’s Contribution and Alignment with G-20 Priorities:

• India’s Leadership: India’s presidency in ARIN-AP will enhance its leadership in asset recovery, facilitating closer cooperation with regional and international law enforcement agencies.
• G-20 Alignment: This role aligns with India’s priorities under the G-20 framework, particularly focusing on the Nine-Point Agenda aimed at tackling fugitive economic offenders and improving asset recovery mechanisms.

In News:

• Brazilhas opted not to join China’s Belt and Road Initiative (BRI), becoming the second BRICS country after India to reject the multi-billion-dollar infrastructure project.
• Brazil prefers to explore alternative ways to collaborate with Chinese investors without signing a formal treaty, aiming to avoid the perceived risks of the BRI.

BRICS and India’s Role:

• Brazil’s decision follows India’s long-standing opposition to the BRI, particularly due to the China-Pakistan Economic Corridor (CPEC) passing through Pakistan-occupied Kashmir, which India views as a violation of its sovereignty.
• India has consistently argued that BRI projects should adhere to international norms, good governance, and transparency, emphasizing that such initiatives should be financially sustainable and not lead to debt traps.

Brazil’s Broader Economic Strategy:

• Brazil aims to balance its relationship with China, which is a major economic partner, but without being bound by the BRI. This decision reflects broader concerns within Brazil about the long-term financial sustainability of BRI projects, especially after witnessing debt crises in other countries like Sri Lanka.

Global Context and the BRI's Impact:

• The BRI, launched by China in 2013, spans several infrastructure sectors and has expanded globally, but it has faced criticism for its potential to trap smaller nations in unsustainable debt.
• India and Brazil’s resistance to the BRI highlights growing skepticism among emerging economies about the long-term implications of joining China's flagship project.

In News:

United Nations Day is celebrated each year on October 24 to mark the anniversary of the UN Charter's entry into force, aiming to raise awareness about the goals and achievements of the international body.

Key Highlights:

• Purpose: Celebrates the anniversary of the UN Charter coming into effect on October 24, 1945, after World War II.
• Goal: Raise awareness about the UN’s objectives and accomplishments.

UN Charter Overview

• Signing & Implementation:
  • Signed on June 26, 1945, in San Francisco.
  • Came into effect on October 24, 1945.
  • India ratified the UN Charter on October 30, 1945.
• Predecessor: The League of Nations, created in 1919 after WWI, aimed at promoting international cooperation and peace.
• Content:
  • Foundational document of the UN, binding all member states.
  • Establishes principles of international relations, including equality of nations and the prohibition of force between countries.
  • Amended three times: 1963, 1965, and 1973.

UN's Core Objectives

• Peace and Security: Maintaining global peace and preventing conflicts.
• Humanitarian Aid: Providing assistance to those in need.
• Human Rights: Protecting and promoting human rights globally.
• International Law: Upholding the rule of law on the global stage.