Content:
1. A Slow Return
2. States and the challenge before the Finance Commission
3. A three-nation visit as a foray into summit diplomacy
A Slow Return
Context :
- Since 2020, the Line of Actual Control (LAC) has witnessed Chinese transgressions and the deadly Galwan clashes.
- India-China relations have been dominated by military and diplomatic negotiations to address friction points.
Relevance : GS 2 (International Relations)
Practice Question : Evaluate recent disengagement and de-escalation between India and China . Highlight potential opportunities and challenges.(250 Words )
Government Approach:
- Statements by External Affairs Minister S. Jaishankar and Foreign Secretary Vikram Misri reflect a shift towards transparency.
- Until now, details about the border situation and negotiations were limited.
Current Developments
Disengagement and De-escalation:
- Agreements on disengagement reached at six friction points (2021-2024).
- Prioritization of de-escalation, troop de-induction, and management of ties in border areas.
Negotiation Mechanisms:
- 17 meetings of the Working Mechanism for Consultation and Coordination on India-China Border Affairs.
- 21 meetings of Senior Military Commanders and several ministerial-level interactions.
Buffer Zones:
- Temporary arrangements created in North and South Pangong Tso, Gogra, and Hot Springs.
- Patrolling arrangements for Depsang and Demchok are still under negotiation.
Concerns Highlighted
Lack of Transparency:
- No clarity on the reasons behind the Chinese actions (casus belli).
- Unclear timelines for returning to the status quo ante (pre-2020 positions).
Terminological Shift:
- Statements emphasize “national security” but omit references to “territorial integrity.”
Effectiveness of Prior Engagements:
- Despite Modi-Xi meetings prior to 2020, PLA’s aggressive actions suggest prior diplomacy did not prevent conflict.
Recommendations
Demarcation of Boundaries:
- Expedite efforts to build a common understanding of the LAC and finalize boundary demarcation.
Strategic Communication:
- The government must provide the public with clarity on the progress and setbacks in negotiations.
Future Engagement:
- Intensive and sustained dialogue remains essential for conflict resolution, though it is no guarantee of peace.
National Security Strategy:
- Broaden focus to include territorial integrity in addition to national security.
States and the Challenge Before The Finance Commission
Background :
- Chaired by Arvind Panagariya, tasked with balancing Union-State fiscal relations.
- Finance Commission (Article 280):
- constitutional body
- Appointed by the President every five years .
- FC recommends distribution of taxes between the Union and States.
Relevance: GS 2 (Polity )
Practice Question: Discuss how 16th finance commission can address growing opportunities and challenges. Suggest key recommendation.(250 Words )
Opportunities and Challenges
Global Economic Trends
- Trends like friendshoring and reshoring offer investment opportunities.
- Tamil Nadu and other high-performing States can leverage these changes.
Vertical Devolution
- Current share to States: 41% of divisible pool, but effective devolution: 33.16% due to cess and surcharges.
- Recommendation: Increase State share to 50% of gross central taxes.
Horizontal Devolution
- Prior focus on less-developed States has limited outcomes.
- Balanced growth approach:
- Expand the national economic pie.
- Support less-developed States while incentivizing high-performing ones.
Challenges for Progressive States
- Aging population: Reduced tax revenue, rising support costs.
- Urbanization: Tamil Nadu’s urban population to reach 57.30% by 2031, requiring infrastructure funding.
Recommendations
- Increase fiscal autonomy: Higher share of taxes for States to fund local schemes.
- Progressive resource allocation: Incentivize performing States while supporting less-developed ones.
- Address State-specific issues: Aging population, urbanization, and sustainability.
- Focus on growth drivers: Manufacturing, infrastructure, and climate resilience.
A Three-Nation Visit As A Foray Into Summit Diplomacy
Overview : Prime Minister Narendra Modi’s visit to Nigeria, Brazil, and Guyana (November 16–21, 2024) marked significant
Relevance: GS 2 (International Relations)
Practice Question: Analyse India’s approach of summit diplomacy in strengthening its role of global south leader. Highlight significance of Africa -India relationship for prosperity of Global South.(250 Words)
Regions Covered: Africa, Latin America, and the Caribbean.
Purpose: Strengthening bilateral, regional, and global partnerships.
Nigeria Visit
Significance of Nigeria
- Africa’s most populous nation, 4th largest economy, and member of BRICS and ECOWAS.
- Shares commonalities with India: diverse society and commitment to democracy and unity in diversity.
Key Outcomes
- Honors for PM : Ceremonial welcome, national award, and gifting of Abuja city keys.
- Identified areas for collaboration:
- Agriculture, urban transportation, renewable energy, and digital transformation.
- Reaffirmed cooperation against terrorism, extremism, and radicalization.
- Signed 3 MoUs, despite delays on Nigeria’s side.
Visit solidified the India-Nigeria strategic partnership.
Brazil Visit:
- 19th G-20 Summit in Rio de Janeiro followed India’s 2023 presidency.
- Focused on social inclusion, sustainable development, and global governance reforms.
Key Outcomes
- Global South Prioritization:
- Launched the Global Alliance Against Hunger and Poverty for resource mobilization.
- Adopted a roadmap for reforming Multilateral Development Banks (MDBs).
Challenges:
- Limited progress on climate finance, WTO reform, and UN reforms.
Bilateral Engagements
- PM Modi met leaders from the U.S., Europe, and Global South nations.
- India-China rapprochement advanced during External Affairs Minister’s meeting with Wang Yi.
Reinforced India’s global leadership and commitment to implementing people-centric initiatives.
Guyana Visit
Significance of Guyana
- 40% population of Indian origin, with strong cultural and historical ties to India.
- Energy-rich nation with growing regional significance.
Key Developments
- Signed 10 MoUs in sectors like energy, defence, education, and food security.
- Proposed 7 pillars for India-CARICOM cooperation:
- Capacity building, agriculture, renewable energy, trade, cricket, and ocean economy.
- Strengthened India’s ties with the Caribbean, ensuring deeper regional partnerships.
Broader Implications for India’s Foreign Policy
Global Leadership:
- Positioned as a bridge between the Global South and developed nations.
- Strengthened reputation as a champion of inclusive development.
Strategic Partnerships:
- Fostered economic, cultural, and technological ties with emerging economies.
Diplomatic Strategy:
- Balanced outreach to regions with distinct needs, ensuring inclusive global cooperation.
Sustainability Focus:
- Renewed emphasis on renewable energy, climate action, and food security.
Conclusion
The six-day diplomatic mission across three continents showcased India’s evolving foreign policy priorities