Content Transforming India into a Global Biopharma Hub Survey on Migration 2026–27 Transforming India into a Global Biopharma Hub Why in News? — Budget 2026–27 Biopharma Push Union Budget 2026–27 launched Biopharma SHAKTI with ₹10,000 crore over five years to boost biologics–biosimilars ecosystem, marking shift from generics toward innovation-led, high-value pharmaceutical manufacturing and exports. Policy targets 5% global biopharma market share by integrating manufacturing scale, skilled workforce, clinical infrastructure, and regulatory reforms, projecting biopharma as engine for health security, technology leadership, and export competitiveness. Relevance GS III — Economy Industrial Policy: ₹10,000 cr Biopharma SHAKTI, PLI, Bulk Drug Parks. High-value Manufacturing & Exports: Target 5% global share. Import Substitution: Reduced biologics/API dependence. GS III — Science & Technology Biotech Innovation: Genome India, NBM, BIRAC ecosystem. R&D & Startups: Bio-incubators, tech transfers. IPR Issues: TRIPS vs affordability. Basics — Understanding Biopharma What is Biopharma? Biopharmaceuticals are medicines produced using living cells, microbes, or biological systems, including vaccines, monoclonal antibodies, gene therapies, recombinant proteins, modern insulin for targeted treatment of complex diseases. Unlike small-molecule drugs, biologics are structurally complex, R&D-intensive, temperature-sensitive, needing advanced bioprocessing, cold-chain logistics, and strict regulatory validation, creating high entry barriers but ensuring superior value addition. Global Context Global pharma industry valued around $1.1 trillion, with biologics as fastest-growing segment due to ageing populations, NCD rise, precision medicine demand, and vaccine innovations after COVID-19. Expiry of patents on blockbuster biologics fuels biosimilars market expansion; countries with regulatory credibility, scale manufacturing, and clinical ecosystems capture larger shares of global pharmaceutical value chains. Constitutional / Legal Dimensions Article 47 mandates State to improve public health; affordable biologics support access to advanced therapies for cancer, diabetes, autoimmune and rare diseases, aligning with Directive Principles. TRIPS-compliant IPR regime balances innovation incentives with public health; compulsory licensing remains legal safeguard ensuring affordability of life-saving biologics and vaccines during emergencies. Governance / Administrative Dimensions Proposal for 1,000+ accredited clinical trial sites expands ethical, quality-compliant research capacity, shortens trial timelines, and strengthens India’s position as global clinical research destination. Strengthening CDSCO with specialised scientific staff improves biologics evaluation, aligns approval timelines with global norms, and enhances regulatory credibility in export markets. Establishing 3 new NIPERs and upgrading 7 existing NIPERs addresses skilled manpower gaps in bioprocess engineering, regulatory science, and translational research. Economic Dimensions India ranks 3rd in pharma production by volume but 14th by value; biopharma push aims shifting toward high-margin, innovation-driven segments, boosting export earnings and technological depth. Domestic biologics manufacturing reduces import dependence on high-value therapies and APIs, improving supply-chain resilience, trade balance, and healthcare sovereignty. PLI, Bulk Drug Parks, and SPI schemes create ecosystem for scale manufacturing, common infrastructure, and WHO-GMP compliance, enabling MSME participation in complex biologics. Social / Ethical Dimensions Rising non-communicable diseases—diabetes, cancer, autoimmune disorders—raise biologics demand; domestic biosimilars improve affordability, equity, and financial risk protection in healthcare. Strong ethics oversight in trials ensures informed consent, patient safety, and data integrity, addressing past concerns and building international trust. Science–Tech / Innovation Dimensions National Biopharma Mission (₹1,500 crore) supports 101 projects, 150+ organisations, 30 MSMEs, generating 1,000+ jobs across vaccines, biosimilars, diagnostics, and devices. Genome India Programme sequencing 10,000 genomes enables precision medicine, predictive healthcare, and population-specific therapies, strengthening genomics-driven innovation. BioE3 Policy promotes biomanufacturing, Bio-AI hubs, and biofoundries across smart proteins, precision biotherapeutics, and climate-linked biotech. Data & Evidence BIRAC established 95 bio-incubation centres and supported nearly 1,000 innovators under BIG, strengthening startup pipeline from discovery to commercialisation. 7,000+ professionals trained in regulatory/IPR, 850+ IP filings, ~120 tech transfers reflect maturing innovation-commercialisation ecosystem. Clinical trials backed by 8 lakh volunteer database enable large-scale studies in oncology, diabetes, and rheumatology. Challenges / Criticisms High capital intensity and long gestation periods deter private investment; startups face funding gaps between research and commercialisation stages. Regulatory capacity constraints and coordination gaps risk approval delays and reputational issues in global markets. Continued reliance on imported high-end equipment and reagents limits true self-reliance. Persistent shortage of experts in bioprocessing and regulatory science shows academia–industry skill mismatch. Way Forward Create mission-mode biomanufacturing clusters integrating R&D, pilot plants, testing, and logistics to reduce entry barriers and accelerate scale-up. Implement single-window digital regulatory systems and harmonise with USFDA/EMA standards for predictability. Expand blended finance and sovereign biotech funds to bridge late-stage funding gaps. Promote global collaborations and vaccine diplomacy aligned with SDGs and health equity. Survey on Migration 2026–27 Why in News?  NSO under MoSPI will conduct Survey on Migration (July 2026–June 2027) to generate updated, nationwide evidence on rural–urban, inter-state, seasonal, and return migration for policy design. Latest comprehensive migration data currently rely on PLFS 2020–21; new survey fills post-pandemic data gaps amid rapid urbanisation, labour mobility, and informal sector shifts. Relevance GS I — Indian Society Urbanisation: Migration-led city expansion. Women & Society: 86.8% female marriage migration. Demographic shifts: Population redistribution. GS II — Polity & Governance / Social Justice Fundamental Rights: Article 19 mobility. Welfare Delivery: ONORC, portability gaps. Data Governance: NSO evidence-based policy. Basics — Migration in India What is Migration? Migration refers to movement of persons across regions for employment, marriage, education, displacement, or livelihood security, shaping labour markets, demographic patterns, and urbanisation trajectories. Includes intra-district, inter-district, and inter-state migration; may be temporary, seasonal, circular, or permanent, each having distinct socio-economic and policy implications. Current Statistical Picture PLFS 2020–21 estimated India’s overall migration rate at 28.9%, indicating that nearly one in three Indians is a migrant by last-residence criteria. Migration rate among males: 10.7% and females: 47.9%, showing strong gender asymmetry rooted in social norms, marriage systems, and labour participation differences. Constitutional / Legal Dimensions Article 19(1)(d) & (e) guarantee freedom to move and reside anywhere in India, forming constitutional basis for internal migration and labour mobility. Inter-State Migrant Workmen Act, 1979 and Code on Occupational Safety, Health and Working Conditions, 2020 aim to protect migrant workers’ wages, safety, and welfare. Migration-linked welfare portability aligns with One Nation One Ration Card (ONORC) ensuring food security for mobile populations. Governance / Administrative Dimensions New survey will capture data on reasons for migration, employment profiles, remittances, and return migration, enabling evidence-based urban planning and labour market policies. Reliable migration data improve targeting in housing, transportation, social security, and skill development, reducing exclusion errors in welfare delivery. Strengthens data-driven governance under Digital India and DBT ecosystem by mapping migrant vulnerabilities and service access gaps. Economic Dimensions Male migration largely employment-driven; 22.8% of male migrants move for jobs, supporting construction, manufacturing, and urban informal sectors critical to GDP growth. Migrant remittances sustain rural consumption, reduce poverty, and smooth income shocks, acting as informal social security for origin households. Labour mobility enhances factor reallocation efficiency, shifting surplus labour from low-productivity agriculture to higher-productivity urban sectors. Social / Ethical Dimensions 86.8% of female migration due to marriage reflects patriarchy-driven mobility rather than economic agency, masking true female labour migration in statistics. Migrants face vulnerabilities—informal housing, job insecurity, lack of identity portability, and social discrimination—raising concerns of dignity and urban inclusion. Seasonal and circular migrants often excluded from PDS, healthcare, and education benefits due to documentation and domicile barriers. Demographic / Urbanisation Link Migration accelerates urbanisation, with cities acting as growth poles; unmanaged influx leads to slums, congestion, and pressure on civic amenities. Young migrant workforce contributes to demographic dividend utilisation but requires skilling, housing, and social protection frameworks. Data & Evidence 28.9% migration rate (PLFS 2020–21) indicates scale of internal mobility in India’s development process. Gender gap—47.9% female vs 10.7% male—highlights social drivers dominating female mobility statistics. Employment-driven migration share among males at 22.8% underscores labour-market pull factors. Challenges / Criticisms Migration data historically underreported due to definitional issues, short reference periods, and invisibility of circular migrants. Policy fragmentation between Centre–States leads to weak portability of welfare and social security benefits. Urban governance often treats migrants as temporary, leading to exclusion from housing, healthcare, and political representation. Gender-blind data classification underestimates women’s economic migration and workforce participation. Way Forward Institutionalise periodic migration surveys synchronized with Census and PLFS for real-time labour mobility insights. Ensure universal portability of welfare—PDS, health insurance, social security—through national migrant databases and digital IDs. Promote migrant-inclusive urban planning with rental housing, hostels, and transit-oriented development. Recognise women’s economic migration explicitly to design gender-responsive skilling and employment policies.

Content Wetlands as a national public good Budget 2026–27 & Capex-led Growth Wetlands as a national public good Why in News — World Wetlands Day 2026 ? Global & Indian Context World Wetlands Day 2026 themed “Wetlands and traditional knowledge” highlights community-led conservation; relevant for India where cultural practices historically sustained tanks, floodplains, mangroves, and village ponds. Theme gains relevance amid rapid wetland loss, climate risks, and water stress, positioning wetlands as nature-based solutions for water security, disaster resilience, biodiversity conservation, and livelihood sustainability. Relevance GS I — Geography & Society Wetlands regulate floods, groundwater, and microclimate, making them critical for questions on Indian physical geography, resource distribution, and human–environment interaction. Community-managed tanks, fisheries, and cultural linkages help enrich answers on society–environment relations and traditional knowledge systems. GS III — Environment & Disaster Management Wetlands as nature-based solutions for floods, droughts, and climate adaptation directly relevant for environment, conservation, and disaster-risk-reduction themes. Links to biodiversity conservation, pollution control, and sustainable development. Practice Question “Wetlands are ecological assets but governance liabilities.” Examine with reference to India’s conservation framework and discuss the role of traditional knowledge in wetland conservation in India.(250 Words) Basics — Understanding Wetlands Definition & Types Wetlands are ecosystems where land remains saturated with water seasonally or permanently, including marshes, lakes, mangroves, floodplains, lagoons, and human-made tanks supporting rich biodiversity and hydrological functions. India hosts diverse wetlands—freshwater, coastal, riparian, urban, and high-altitude systems—providing ecological services across climatic zones, from Himalayas to coastal deltas. Ecological Functions Wetlands regulate hydrological cycles by storing floodwater, recharging groundwater, filtering pollutants, stabilising shorelines, and moderating microclimates, making them critical natural infrastructure for climate adaptation. They serve as biodiversity hotspots supporting fish, migratory birds, amphibians, and aquatic flora, contributing to food security, nutrient cycling, and genetic diversity conservation. Traditional Knowledge & Community Linkages Indigenous Systems Tamil Nadu’s kulam tank cascades historically ensured irrigation, groundwater recharge, and drought resilience through community maintenance, illustrating decentralised water governance embedded within local ecological knowledge. Kerala’s kenis in Wayanad, over two centuries old, demonstrate sustainable groundwater access systems supporting drinking needs, rituals, and cultural continuity without ecological over-extraction. Andhra Pradesh’s wetland-linked fishing traditions show how livelihoods evolved in harmony with seasonal hydrology, sustaining both income and aquatic biodiversity through customary norms and community regulation. Cultural–Economic Value Wetlands function simultaneously as ecology, economy, and heritage, supporting agriculture, fisheries, fodder, and crafts while reinforcing cultural identity and social cohesion in rural landscapes. Policy & Legal Framework Regulatory Architecture Wetlands (Conservation and Management) Rules, 2017 provide identification, notification, and regulation mechanisms restricting reclamation, pollution, and encroachment through State Wetland Authorities. NPCA guidelines promote science-based planning, monitoring, and outcome-oriented management, integrating ecological restoration with livelihood considerations. Coastal Regulation Zone (CRZ) norms safeguard coastal wetlands like mangroves and lagoons by regulating development and maintaining ecological buffers. India’s 98 Ramsar Sites entail global recognition and obligations for “wise use,” ecological character maintenance, and periodic reporting. Data & Evidence Status Trends Nearly 40% of India’s wetlands lost in three decades due to urbanisation, infrastructure, and land conversion, indicating large-scale ecological transformation. Around 50% of remaining wetlands show degradation from pollution, altered hydrology, and encroachments, reducing ecosystem service delivery. Key Challenges Land & Hydrology Pressures Encroachment, real estate expansion, and road networks convert wetlands into built-up areas, while outdated cadastral maps obscure original wetland boundaries and legal status. Dams, embankments, channelisation, sand mining, and groundwater overuse disrupt natural flow regimes, undermining wetland hydrology and ecological character. Pollution & Climate Risks Untreated sewage, industrial effluents, agricultural runoff, and solid waste cause eutrophication, biodiversity collapse, and loss of flood-buffering capacity. Coastal wetlands face combined stress from sea-level rise, cyclones, tourism, ports, and aquaculture, limiting natural inland migration space. Institutional Constraints State Wetland Authorities often face staffing, funding, and skill shortages in hydrology, GIS, ecology, and legal enforcement, weakening implementation quality. Governance Gaps Implementation Deficit India’s challenge lies less in legal absence and more in weak enforcement, fragmented coordination, and project-driven approaches rather than long-term ecosystem management programmes. Departmental silos prevent watershed-scale governance, ignoring ecological connectivity between wetlands, rivers, and catchments. Way Forward Regulatory & Planning Measures Ensure clear notification and demarcation with public maps, participatory ground-truthing, and grievance mechanisms to reduce disputes and encroachments. Integrate wetlands into basin-scale planning by restoring feeder channels, regulating extraction, and protecting catchments. Pollution & Urban Management Treat wastewater before discharge; wetlands should not replace sewage plants. Constructed wetlands may complement but not substitute primary treatment. Recognise urban wetlands as flood buffers and blue-green infrastructure in city master plans. Capacity & Technology Launch a national capacity mission for wetland managers in hydrology, restoration ecology, GIS, and community governance. Use remote sensing, drones, and time-series analytics for real-time monitoring of encroachment and vegetation changes. Community & Knowledge Integration Combine traditional ecological knowledge with modern science to enhance compliance, restoration success, and local stewardship. RAMSAR SITES IN INDIA Total: 98 Sites | 13.6 lakh+ hectares Andhra Pradesh (1) • Kolleru Lake Assam (1) • Deepor Beel Bihar (6) • Gogabeel Lake • Gokul Reservoir • Kanwar Lake (Asia’s largest oxbow lake) • Nagi Bird Sanctuary • Nakti Lake • Udaypur Lake Chhattisgarh (1) • Kopra Reservoir Goa (1) • Nanda Lake Gujarat (5) • Chhari-Dhand • Khijadiya • Nalsarovar (largest wetland bird sanctuary in Gujarat) • Thol Lake • Wadhvana Wetland Haryana (2) • Sultanpur National Park • Bhindawas Wildlife Sanctuary Himachal Pradesh (3) • Chandra Taal (high-altitude lake) • Pong Dam Lake • Renuka Lake Jammu & Kashmir (5) • Hokersar Wetland • Hygam Wetland • Shallabugh Wetland • Mansar–Surinsar • Wular Lake (one of India’s largest freshwater lakes) Jharkhand (1) • Udhwa Lake Karnataka (4) • Ranganathittu Bird Sanctuary • Ankasamudra Bird Conservation Reserve • Aghanashini Estuary (free-flowing river estuary – rare case) • Magadi Kere Conservation Reserve Kerala (3) • Ashtamudi Wetland • Sasthamkotta Lake (largest freshwater lake in Kerala) • Vembanad-Kol Wetland Ladakh (2) • Tso Kar • Tsomoriri (high-altitude Ramsar sites – climate sensitive) Madhya Pradesh (5) • Bhoj Wetland • Sakhya Sagar • Sirpur Lake • Yashwant Sagar • Tawa Reservoir Maharashtra (3) • Lonar Lake (meteorite crater lake – geology favourite) • Nandur Madhameshwar • Thane Creek (urban wetland example) Manipur (1) • Loktak Lake (phumdis – floating vegetation concept) Mizoram (1) • Pala Wetland Odisha (6) • Ansupa Lake • Bhitarkanika Mangroves • Chilika Lake (India’s largest brackish lagoon) • Hirakud Reservoir • Satkosia Gorge • Tampara Lake Punjab (6) • Beas Conservation Reserve • Harike Wetland • Kanjli Wetland • Keshopur-Miani Community Reserve • Nangal Wildlife Sanctuary • Ropar Wetland Rajasthan (5) • Keoladeo National Park (UNESCO site) • Sambhar Lake (largest inland salt lake) • Khichan Wetland • Menar Wetland Complex • Siliserh Lake Sikkim (1) • Khecheopalri Wetland (sacred lake) Tamil Nadu (20) • Chitrangudi Bird Sanctuary • Gulf of Mannar Marine Biosphere Reserve (marine Ramsar – rare) • Kanjirankulam • Karaivetti • Karikili • Koonthankulam • Longwood Shola • Pallikarnai Marsh (urban wetland example) • Pichavaram Mangrove • Point Calimere • Suchindram-Theroor Complex • Udhayamarthandapuram • Vadavur • Vedanthangal (oldest bird sanctuary in India) • Vellode • Vembannur Complex • Nanjarayan • Kazhuveli • Sakkarakottai • Therthangal Tripura (1) • Rudrasagar Lake Uttar Pradesh (11) • Patna Bird Sanctuary • Bakhira Sanctuary • Haiderpur Wetland • Nawabganj • Parvati Arga • Saman • Samaspur • Sandi • Sarsai Nawar • Sur Sarovar • Upper Ganga River (riverine Ramsar site – rare category) Uttarakhand (1) • Asan Barrage West Bengal (2) • East Kolkata Wetlands (sewage-fed aquaculture model – case study) • Sundarban Wetland (mangrove ecosystem) Budget 2026–27 & Capex-led Growth Why in News ? Fiscal Signal Budget 2026–27 guides fiscal deficit to 4.3% of GDP and raises public capex to ₹12.2 lakh crore, signalling shift from pandemic relief to infrastructure-led, borrowing-supported growth strategy. Capex and MSME support now framed as structural growth pillars rather than temporary stimulus, aligning with long-term vision of Viksit Bharat and productivity-led expansion. Relevance GS III — Indian Economy Capex-led growth model directly fits topics of fiscal policy, public expenditure, growth strategy, and infrastructure financing. Employment elasticity and jobless growth are core to questions on inclusive growth and labour markets. GS II — Governance Fiscal prioritisation shows policy trade-offs between growth, welfare, and employment—useful for governance and policy-design answers. Practice Question What is employment elasticity? Discuss its relevance in evaluating growth quality.(250 Words) Basics — Capex-led Growth Model What is Capital Expenditure (Capex)? Capex refers to government spending on asset creation—roads, railways, logistics, energy, digital infrastructure—that enhances long-term productive capacity instead of short-term consumption support. Theoretical rationale: capex crowds in private investment, raises productivity, and generates jobs through multiplier effects across construction, manufacturing, and services. Post-Pandemic Fiscal Shift Since 2020–21, capex moved from counter-cyclical tool to core fiscal doctrine, becoming primary driver of growth, even during periods of fiscal consolidation. Capex share in total expenditure rose from ~12% (2020–21) to over 22% recently, indicating structural reorientation toward asset-led growth. Economic Analysis — Growth vs Employment Labour Market Disconnect Despite capex surge, youth NEET rate (15–29 years) remains 23–25%, meaning nearly one-fourth of youth are outside education, employment, or training. Indicates weak labour absorption even as GDP and capital formation accelerate, pointing to a jobless or job-light growth pattern. Employment Elasticity Trends Construction elasticity fell from 0.59 (2011–20) to 0.42 (2021–24), implying each rupee of infrastructure now generates fewer jobs than before. Agriculture elasticity rose from 0.04 to 1.51, showing labour returning to low-productivity farming instead of exiting it—sign of distress-driven fallback. Structural Issues Capital Intensity Bias Current capex configuration favours capital-intensive sectors, where productivity rises but labour demand grows slowly, weakening employment multipliers. Gap between net value added per worker and wages shows productivity gains captured more as profits than labour income. Industrial Structure Constraints Annual Survey of Industries shows most factories employ under 100 workers; small firms dominate numerically but contribute limited output and struggle to scale. Large firms capture value from new infrastructure networks but remain labour-light and automation-driven. Dual Economy Concern Emerging Pattern Economy exhibits dualism: a capital-intensive formal sector driving GDP growth alongside a large informal sector absorbing surplus labour with low productivity. Informality, self-employment, and disguised agricultural labour act as buffers for inadequate formal job creation. Governance & Policy Perspective Fiscal Doctrine Shift Employment increasingly treated as by-product of growth rather than explicit policy target, reflecting prioritisation of macro-stability and capital formation. Inclusion depends on skills, urban location, and automation compatibility, marginalising low-skilled labour. Data & Evidence Key Numbers Fiscal deficit target: 4.3% of GDP. Public capex: ₹12.2 lakh crore. Capex share: ~12% → 22% of expenditure. Youth NEET: 23–25%. Construction elasticity: 0.59 → 0.42. Agriculture elasticity: 0.04 → 1.51. Challenges Development Risks Persistent jobless growth risks demographic dividend turning into demographic burden. Wage stagnation may suppress consumption demand, weakening long-term growth sustainability. Labour displacement into informality reduces tax base and social security coverage. Way Forward Policy Corrections Complement capex with labour-intensive manufacturing push—textiles, food processing, electronics assembly. Align industrial policy with employment-linked incentives, not just production-linked incentives. Expand skilling aligned to infra, green jobs, and local manufacturing clusters. Strengthen MSME formalisation, credit access, and technology adoption.

Content 16th Finance Commission & Urban Grants Why are Tribals Protesting in Maharashtra? IIT Council & Adaptive JEE DAY-NRLM at Crossroads (2026–31 Cycle) Mountain Gorilla Conservation & One Health Model 16th Finance Commission on Exit Clauses 16th Finance Commission & Urban Grants Fiscal Federal Context 16th Finance Commission (FC) report tabled in Lok Sabha sets tax devolution and local body grants framework, signalling stronger fiscal recognition of urbanisation, municipal finance needs, and decentralised service delivery. Commission recommended ₹3.5 lakh crore for Urban Local Governments (ULGs) over five years, reflecting unprecedented scale-up in urban fiscal support amid rapid urbanisation and infrastructure stress. Relevance GS II — Polity & Governance Finance Commission (Article 280), fiscal federalism, Centre–State–ULB relations. Urban governance, decentralisation, and municipal finance reforms. GS III — Economy Urban infrastructure financing, municipal bonds, property tax reforms. Public expenditure quality and local fiscal capacity. Background — Finance Commission & Urbanisation Role of Finance Commission Finance Commission, under Article 280, recommends vertical and horizontal devolution, including grants to local bodies to strengthen fiscal capacity and cooperative federalism. Urban grants aim to improve first-mile infrastructure, service delivery, and municipal governance in water, sanitation, mobility, and local public goods. Urbanisation Context India’s urban population projected near 40% by 2036, increasing pressure on urban infrastructure, housing, and services, necessitating stronger municipal finances. Key Recommendations — 16th FC Quantum of Allocation Recommended ₹3.5 lakh crore to ULGs for five years, roughly matching Centre’s share in centrally sponsored urban schemes over previous 13 years combined (Janaagraha analysis). Marks 230% increase over 15th FC allocation of ₹1.5 lakh crore (2021–26), signalling major fiscal shift toward urban governance. Share in Local Body Grants ULGs’ share in total local government grants raised to 45% from 36% earlier, indicating prioritisation of urban governance alongside Panchayati Raj Institutions. Urbanisation Premium Grant Introduced ₹10,000 crore urbanisation premium grant to incentivise planned rural–urban transition, supporting emerging towns facing demographic and economic transformation pressures. Grant Design & Structure Basic vs Tied Grants Over 60% grants categorised as basic grants; tied components target core services like water supply and sanitation, ensuring minimum service standards. Untied grants allow location-specific spending flexibility, excluding salary and establishment costs, promoting local prioritisation and accountability. State-wise Trends Distribution Patterns Kerala recorded >400% increase in allocation, reflecting demographic and urban governance indicators; suggests performance-sensitive distribution. Himachal Pradesh saw ~50% decline, possibly linked to lower urbanisation levels or revised formula weights. Economic & Governance Significance Strengthening Municipal Capacity Enhanced grants can reduce ULG dependence on State transfers, enabling better own-source revenue leverage, creditworthiness, and municipal bond potential. Supports decentralised delivery of public goods, improving urban productivity, livability, and economic competitiveness. Urban Transition Support Urbanisation premium recognises migration-driven town growth, helping finance infrastructure in peri-urban and census towns lacking formal governance capacity. Data & Evidence Key Figures ₹3.5 lakh crore recommended for ULGs. 230% rise from previous cycle. 45% share of local body grants to ULGs. ₹10,000 crore urbanisation premium. >60% basic grants structure. Challenges & Concerns Implementation Risks Weak municipal capacity, staffing gaps, and planning deficits may limit effective utilisation of larger grants. Persistent low property tax collection efficiency constrains fiscal sustainability despite higher transfers. Risk of grant dependency without parallel reforms in revenue mobilisation and governance. Way Forward Reform Priorities Link grants with municipal finance reforms, digital property tax systems, and user-charge rationalisation. Strengthen urban planning, GIS-based asset mapping, and participatory budgeting. Encourage municipal bonds and credit ratings for large cities. Why are tribals protesting in Maharashtra? Why in News ? Immediate Context Thousands of tribals from Palghar and Nashik undertook long marches in January 2026 demanding land titles, irrigation support, and livelihood security, over pending forest rights. Protests gained traction as both districts have high tribal populations and long-standing grievances over land ownership recognition and welfare access. Relevance GS II — Polity & Social Justice FRA 2006, PESA 1996, Fifth Schedule — tribal rights and governance. Welfare delivery, land rights, and inclusion of STs. GS III — Environment Forest governance, conservation vs livelihood debate. Community-based natural resource management. Background — Tribal Land & Forest Rights  Constitutional Foundation Fifth Schedule mandates protection of tribal land and self-governance in Scheduled Areas, recognising historical injustice and need for cultural–economic safeguards. Article 244 provides administrative framework for Scheduled Areas, while PESA Act 1996 empowers Gram Sabhas over natural resource management. Forest Rights Act (FRA), 2006 FRA recognises Individual Forest Rights (IFR), Community Forest Rights (CFR), and habitat rights of Scheduled Tribes and Other Traditional Forest Dwellers. Objective is to correct historical injustice caused by colonial forest laws that alienated tribals from customary lands. Core Issues Behind Protests Land Title Concerns Tribals allege that titles issued contain incorrect formats, joint listings, or partial land recognition, restricting access to credit, schemes, and legal security. Many cultivators received titles for only fraction of land actually tilled, creating livelihood uncertainty. High Rejection Rates Over 45% FRA claims rejected in Maharashtra, raising concerns about verification processes and interpretation standards. Out of 3,80,966 disposed claims, only 2,08,335 titles granted while 1,72,631 rejected, indicating significant exclusion. Digitisation & Record Gaps Digitisation of land records reportedly caused mismatches between ground reality and official data, leading to claim denials and procedural delays. Livelihood & Development Demands Irrigation & Agriculture Protestors demand small dams and river-linking to divert west-flowing rivers for irrigating drought-prone eastern belts, enabling multi-cropping and income stability. Irrigation seen as critical for reducing dependence on rain-fed farming and seasonal migration. Employment & Education Secure land rights linked to eligibility for institutional loans, schemes, and education benefits, making FRA implementation central to socio-economic mobility. Governance & Policy Dimension Implementation Deficit FRA implementation varies across States due to bureaucratic caution, forest department resistance, and differing interpretations of eligibility criteria. Gap exists between legal recognition and ground-level enforcement. Ideological Tension Ecologist Madhav Gadgil noted tension between fortress conservation model and FRA’s community-based conservation vision. Debate framed as “conservation versus forest rights” reflects policy mindset conflict. IIT Council & Adaptive JEE Immediate Context IIT Council recommended exploring adaptive testing for JEE-Advanced to create a “better and less stressful assessment,” marking potential shift from uniform linear exams to technology-driven evaluation. Proposal includes a two-year transition (2026–2028) with optional adaptive mock tests from 2026 for calibration and familiarity. Relevance GS II — Governance & Education Education reforms, exam governance, transparency. Article 14 and equality in public examinations. GS III — Science & Tech AI/data-driven testing, digital governance. EdTech and assessment reforms. Background — Competitive Exams in India Linear Examination Model Traditional exams use identical question papers for all candidates, ranking based on correct responses, often encouraging rote learning and coaching-oriented test-cracking strategies. High-stakes nature means even marginal score differences shape career trajectories, intensifying exam pressure. Need for Reform Concerns over exam stress, memorisation culture, and inequitable assessment of conceptual ability have pushed policymakers toward assessment reforms focusing on aptitude and reasoning. What is Adaptive Testing? Concept & Mechanism Adaptive testing uses Item Response Theory (IRT) where computer algorithms select questions based on candidate performance, dynamically adjusting difficulty after each response. Test usually begins with medium-difficulty items; correct answers lead to harder questions, incorrect ones to easier items, refining ability estimates iteratively. Assessment Logic Goal is precise ability measurement using fewer but better-targeted questions, reducing fatigue while improving psychometric accuracy. Candidates may face different questions yet remain comparable on a common ability scale. Advantages of Adaptive Testing Pedagogical Gains Rewards conceptual clarity since only strong candidates progress to high-difficulty, high-weightage questions, discouraging superficial preparation strategies. Reduces random guessing and score inflation, improving validity of merit ranking. Efficiency & Fairness Shorter tests with equal reliability lower candidate stress and logistical burdens. Fairness embedded in design as difficulty adapts to individual performance rather than post-test normalisation. Widely used globally for over 25 years in exams like GRE and GMAT. Legal & Constitutional Concerns Equality Debate Under Article 14, equality often equated with identical question papers; adaptive testing’s varied questions may face judicial scrutiny. Fairness must be demonstrated through transparent scaling and scientific validation. Algorithmic Transparency Algorithm opacity could trigger bias or discrimination claims unless supported by equity audits and disclosures. Robust grievance redressal needed to reduce litigation risk. Operational Challenges Infrastructure Risks Requires reliable digital infrastructure, especially in tier-2/3 cities, as glitches could be challenged as maladministration. Data centre reliability, secure proctoring, and incident handling must exceed current standards. Question Bank Development Needs large, calibrated item banks with difficulty indexing, syllabus coverage, and leakage-proof pretesting—technically and administratively demanding. Transition Strategy Phased Rollout Proposed two-year transition includes optional adaptive mock tests to familiarise students and refine item calibration. Gradual implementation helps build stakeholder trust and reduce resistance. Learning from Global Practice GRE and GMAT experiences show acceptance improves with transparency, technical documentation, and consistent communication. Broader Significance Education Reform Lens Reflects shift toward competency-based assessment aligned with NEP 2020 emphasis on critical thinking over rote learning. Signals growing role of data science and AI in public examinations. Safeguards Establish independent psychometric audits and publish methodology summaries. Ensure multilingual interface parity and accessibility. Strengthen legal frameworks and grievance mechanisms before full adoption. DAY-NRLM at Crossroads (2026–31 Cycle) Current Context DAY-NRLM is due for appraisal for the 2026–27 to 2030–31 cycle, prompting review of strategy to deepen women’s livelihoods, enterprise growth, and institutional sustainability. Programme recognised for mobilising women-led collectives and financial inclusion, but next phase demands institutional strengthening and market integration. Relevance GS II — Social Justice SHGs, women empowerment, poverty alleviation. DBT delivery and grassroots institutions. GS III — Economy Financial inclusion, rural entrepreneurship, microfinance. Livelihood diversification and credit systems. Background — DAY-NRLM   What is DAY-NRLM? Deendayal Antyodaya Yojana–NRLM, under Ministry of Rural Development, aims to reduce rural poverty through SHG-based mobilisation, financial inclusion, and livelihood promotion of poor households, especially women. Focuses on social mobilisation, capacity building, credit access, and enterprise promotion using community institutions. Institutional Architecture Built on three-tier structure: Self-Help Groups (SHGs) → Village Organisations (VOs) → Cluster-Level Federations (CLFs) ensuring decentralised, community-driven governance. Scale & Achievements Mobilisation & Financial Inclusion Around 10 crore households mobilised into 91 lakh SHGs, federated into 5.35 lakh VOs and 33,558 CLFs, making it one of world’s largest women-led networks. SHGs mobilised ₹11 lakh crore bank credit with only ~1.7% NPA, indicating strong credit discipline. Women’s Economic Gains Lakhpati Didis exceed 2 crore, reflecting income enhancement and enterprise success among rural women. SHG participation linked to higher financial literacy and asset ownership. Political & Social Empowerment Women’s collectives increasingly influence local governance and DBT delivery, with States using SHG networks for schemes like Ladli Laxmi, Maiya Samman, Ladki Bahin. Core Concerns Weakening Autonomy of CLFs CLFs reportedly becoming subservient to government functionaries, limiting independent decision-making and diluting community ownership model. Contradicts original vision of self-managed community institutions. Idle Funds & Accountability Community institutions hold large capitalisation funds (reported ₹56.69 lakh crore), creating risks of idle funds and misuse without robust audits. Need for social and statutory audits to ensure transparency. Credit Constraints SHG members seek higher credit for scaling enterprises but lack individual credit histories and CIBIL scores, limiting access to formal loans. Financial & Institutional Gaps Uniform Loan Products Standardised loan tenures and rates ignore diversity in livelihoods, reducing financial efficiency and suitability for varied enterprises. Community-led credit decisions could improve outcomes. Limited Financing Models Heavy reliance on debt financing; limited use of equity, venture capital, and blended finance restricts enterprise scaling. Need for Convergence Siloed Implementation Livelihood schemes across departments operate in silos, reducing cumulative impact and causing duplication. Convergence often officer-driven and unsustainable. Institutional Solution Proposed Convergence Cell at NITI Aayog could streamline multi-ministry coordination and resource optimisation. Market Linkage Deficit Marketing Barriers Weak branding, packaging, pricing, and logistics limit SHG product competitiveness in markets. Absence of dedicated marketing vertical reduces visibility and scale. Proposed Solutions Dedicated national marketing vertical and State-level professional agencies could improve market access. Select CLFs as logistics hubs for aggregation and distribution. Way Forward Institutional Reforms Revitalise CLFs as community-owned institutions with autonomy and professional support. Strengthen audit systems and financial governance. Financial Deepening Develop customised financial products, generate CIBIL scores, and partner with SIDBI, NBFCs, and neobanks. Livelihood Planning Use Village Prosperity and Resilience Plans (VPRP) for annual livelihood planning and enterprise targeting. Broader Significance Inclusive Growth Lens DAY-NRLM supports SDGs on poverty reduction, gender equality, and decent work, making it central to inclusive rural transformation. Strengthened SHG ecosystems can drive rural entrepreneurship and local economic multipliers. Mountain Gorilla Current Event Global attention on Uganda’s mountain gorilla conservation due to recognition of Dr. Gladys Kalema-Zikusoka’s One Health model linking wildlife health, community health, and conservation success. Her decades-long work through Conservation Through Public Health (CTPH) is highlighted as a model for integrating conservation with livelihoods and disease prevention in biodiversity-rich developing countries. Relevance GS III — Environment Biodiversity conservation, flagship species, eco-tourism. One Health approach (human–animal–ecosystem link). GS II — Governance Community participation in conservation. Public health–environment interface. Why is it in News? Policy & Conservation Relevance Uganda’s mountain gorilla recovery showcases how community-based conservation, eco-tourism, and public health integration can revive critically endangered species even after political instability and poaching-driven collapse. Growing global focus on One Health, zoonotic disease risks, and human-wildlife coexistence makes Uganda’s gorilla model relevant for biodiversity policy and conservation governance debates. Mountain Gorillas   Species Basics Mountain gorilla (Gorilla beringei beringei) is a critically endangered great ape found only in Central Africa’s Bwindi and Virunga forests at elevations of 2,200–4,300 metres. Global population approximately ~1,000 individuals, making them among the rarest primates, with slow recovery due to low reproduction and high sensitivity to disturbance. Ecology & Behaviour Occupy dense montane and bamboo forests; primarily herbivorous, feeding on leaves, shoots, and stems, playing ecological roles in seed dispersal and forest regeneration. Long birth interval of 4–5 years limits rapid population growth, increasing vulnerability to poaching, habitat loss, and disease. Threats Major threats include habitat encroachment, poaching, civil conflict spillovers, and human-borne respiratory diseases due to close genetic similarity with humans. Historical poaching reduced Virunga population from 400–500 (1960s) to ~260–290 during political turmoil in the 1970s–80s. Conservation Significance Gorilla tourism generates revenue and incentives for protection, similar to tiger tourism in India, linking conservation with local livelihoods. Considered a flagship species for biodiversity conservation, eco-tourism, and One Health approaches. 16th Finance Commission on Exit Clauses Core Update The 16th Finance Commission (FC) has recommended “exit clauses” for cash transfer and subsidy schemes, urging States to avoid open-ended, unconditional freebies that strain fiscal sustainability and crowd out development spending. Comes amid a sharp rise in State-level Direct Benefit Transfers (DBTs) and subsidy schemes, especially ahead of elections, raising concerns about long-term fiscal health. Relevance GS II — Polity & Governance Fiscal federalism, welfare governance, subsidy design. Role of Finance Commission in fiscal discipline. GS III — Economy Freebies vs welfare debate, fiscal sustainability. FRBM, quality of public expenditure. Why is it in News? Fiscal Concern Several States have significantly increased cash transfer and subsidy outlays (2023–26 BE period), prompting the FC to caution against fiscally unsustainable welfare expansion without sunset or review mechanisms. The recommendation revives the debate on “freebies vs welfare”, fiscal discipline, and responsible public expenditure under competitive populism. Background — Finance Commission Constitutional Role Article 280 mandates the Finance Commission to recommend tax devolution and grants-in-aid, and increasingly to advise on fiscal sustainability and macro-stability. Though advisory, FC recommendations strongly influence Centre–State fiscal relations and budget priorities. Key Observations of the 16th FC Rise in Subsidy Burden States like Jharkhand, Odisha, and Madhya Pradesh have expanded DBTs and subsidies sharply, with some recording double-digit growth in cash support schemes. Such schemes risk creating structural revenue burdens rather than temporary social protection. Exit Clause Logic FC suggests schemes should include sunset clauses, periodic reviews, and outcome evaluation, ensuring they do not become permanent entitlements without fiscal space. Aims to shift focus from consumption subsidies to capital and human development spending. Economic Significance Fiscal Sustainability Rising revenue expenditure on transfers reduces fiscal room for capex, infrastructure, and growth-enhancing investments, potentially weakening long-term State finances. Persistent freebies can increase debt–GSDP ratios and interest burdens. Welfare Efficiency Well-designed welfare improves equity, but unconditional transfers without targeting or exit strategy may reduce efficiency and distort incentives. Governance Dimension Populism vs Responsibility Competitive populism among States risks a race-to-the-bottom fiscal strategy, undermining cooperative federalism and macroeconomic stability. FC stresses evidence-based welfare design, not politically driven expansion. Way Forward Reform Directions Introduce sunset clauses and beneficiary targeting. Link DBTs to human capital outcomes (health, education, skills). Strengthen fiscal responsibility frameworks at State level.