India’s 2021 economic output below 2019 level: UN report

GS-Paper-3: Economic issue and Economics Optional – UPSC PRELIMS – Mains Application

Context: India, according to the 'Economic and Social Survey of Asia and the Pacific 2021: Towards post-COVID-19 resilient economies', is estimated to record economic growth of 7 per cent in 2021-22, over a contraction of 7.7 per cent witnessed in the previous fiscal on account of the pandemic's impact on normal business activity.

News: India’s 2021 economic output, however, is expected to remain below the 2019 level despite a robust reduction in new Covid-19 cases and the start of vaccine roll-out. India entered the pandemic with already subdued GDP growth and investment. Moreover, one of the most stringent lockdowns in the world caused the severe economic disruptions that the country experienced in the year 2020.

A subsequent change in lockdown policies and success in reducing infection rates supported an impressive economic turnaround in the later months of 2020.

Challenges: The report mentions two major challenges for India on its path to faster recovery

1. Maintaining low borrowing costs, and
2. Keeping non-performing loans in check.

Observation Regarding Asia Pacific Countries:

1. The socio-economic impact of the Covid-19 pandemic was amplified due to a lack of resilience and investments in people and the planet.
2. China’s swift and effective response to Covid-19 enabled it to become the only major economy worldwide to achieve a positive annual economic growth rate in 2020.
3. On average, developing Asia-Pacific economies are expected to grow 5.9% in 2021 and 5% in 2022.
4. The prospect of a K-shaped recovery, characterized by uneven post-pandemic recovery across countries and widened inequality gaps within countries, is highlighted as a primary policy challenge.

Suggestions:

1. For a more robust and inclusive recovery, the report calls for a more synchronised Covid-19 vaccination programme across countries. There is a need to leverage regional cooperation.
2. It recommends that fiscal and monetary support should be sustained, as premature tightening could increase long-term scars.
3. Continuity in policy support is a must and recovery policy packages should focus on building resilience and investing in the 2030 Agenda for Sustainable Development.
4. To deal with various economic and non-economic shocks, a more integrated risk management approach to planning and policymaking is needed.

DSIR-PRISM Scheme

DSIR-PRISM Scheme will be aligned with three National Initiatives like Unnat Bharat Abhiyan (UBA), Smart India Hackathon (SIH) and Rural Technology Action Group (RuTAG), IIT Delhi. Dept. of Scientific and Industrial Research - Promoting Innovations in Individuals, Startups and MSMEs (DSIR-PRISM) scheme supports individual innovators enabling inclusive development of India.

• It aims at transforming an innovator into a technopreneur by promoting and funding implementable and commercially viable innovations created for society.
• PRISM extends its support to any citizen of the country through Direct Benefit Transfer for idea development, prototype development and pilot scaling, and patenting in the core technology areas.

Areas - Affordable Healthcare, Water, Sewage Management, Green Technology, Clean Energy, Industrially Utilizable Smart Materials, Waste to Wealth aligned with our National objectives. PRISM considers Intellectual Property (IP) as belonging to the innovators.

The grant is given in two phases: Phase I and Phase II, catering to both the initial innovation stage and the advanced enterprise setup phase through DSIR outreach-cum-cluster innovation centres across India.

National Award for Excellence in Forestry

The National Award of Excellence for Outstanding Research in Forestry for the year 2019 has been awarded to Kannan C S Warrier, a scientist at the Institute of Forest Genetics and Tree Breeding (IFGTB). This award is conferred by the Indian Council of Forestry Research and Education (ICFRE).

The award has been awarded to Kannan C S Warrier for releasing three salt-tolerant productive clones of Casuarina that are suitable for salt-affected soils, for the first time in the country. India has 6.73 million hectares of salt-affected land and is also the largest producer of Casuarina in the world which makes the production of these clones a significant achievement.

Casuarina

• Casuarina, also known as kattadi and savukku, is a plant genus with over 17 species with Casuarina equisetifolia was introduced in India in the 19^th century.
• They have a role in nitrogen fixation in symbiotic association with the bacteria Frankia.
• They provide fuel wood, and pulp for paper making and of late are a preferred choice for biomass-based power generation.
• They are also used at construction sites for scaffolding.
• They are used as shelterbelts in coastal areas and windbreaks for protecting agricultural crops and banana plantations.
• They also play a key role in reclaiming mined areas and afforesting nutrient-poor sites.

• Warrier has also done extensive work on the conservation of endangered sacred groves in Alappuzha district of Kerala.

Vajra Prahaar Exercise between India & US

The 11th edition of Indo-US Joint Special Forces Exercise Vajra Prahar was conducted at Special Forces Training School located at Bakloh, Himachal Pradesh.

About Exercise Vajra Prahar:

• Exercise Vajra Prahar is a Special Forces joint military training exercise.
• It takes place alternately in India and the US since 2010.
• The exercise enables sharing of best practices and experience in areas such as joint mission planning capabilities and operational tactics.

Other Exercises between India and US:

• Yudh Abhyas- It is a joint military exercise between India and the US.
• Tiger Triumph- It is a tri-service military exercise between India and the US.

 What are Special Forces?

• Special Forces of India refer to those Special forces units that are specifically organised, trained, and equipped to conduct and support special operations.
• The three branches of the Indian Armed Forces have separate special forces units namely:
  • Para SF: Parachute Regiment (Special Forces) is the special force of the Indian Army. This unit formed in 1966 in the aftermath of the 1965 Indo-Pakistan war.
  • MARCOS: Marine Commando Force also called MARCOS established in 1987. It is the special forces unit of the Indian Navy.
  • Garud Commando Force: It was established in 2004. They are the special forces of the Indian Air Force (IAF).
• There are other special forces that are out of military control. They operate under civilian organizations such as the Home ministry’s National Security Guard.

Other Exercises India participates in :