1. What do you understand by digital banking? How it can help in checking the flow of black money in the economy? Explain.
Give a simple introduction
Inventions are able to justify their utility for the mankind by unfolding the ease and with ICT revolution displaying a wide foray of opportunities, their integration in different aspects be it governance or banking sectors is the path to welcome the future.
Definition of Digital Banking
Digital Banking refers to a form of banking service which with use of IT especially electronic payment system by customers of banks through which various banking related transactions are conducted through their assigned web portals without making any physical appearance in the branch. With the evolution of digital banking, most of the core banking operations can be performed online; thus augmenting convenience and also moving towards a cashless economy.
How Digital Banking will help in checking the flow of black money
An era of digitalization can help in curbing generation of black money and emergence of a parallel economy:
As the(digitalization) interface between the service provider and consumer becomes electronic in nature that defines ease, transparency and accountability
Discretion of individuals is diminished and activities of middlemen removed from the chain
Actions under an electronic scanner, transparency will stifle out corruption
Certain online transactions are taxed, this helps in tax collection and reducing the flow of black money
Each transaction leaves an “electronic footprint” which can be easily traced by regulatory bodies (police, ED etc) thereby acting as deterrent for illegal transaction through hawala or money laundering.
Moving towards digitalization will be step towards efficiency and effectiveness of the systems with increasing productivity contributing to a healthy economy. However a lot of impediments need to be covered to realize it
Strengthening financial inclusion with providing e-literacy and covering areas devoid of digitalization
Hacking and data piracy need to be guarded against by taking suitable preventive measures.
Entrepreneurship must be promoted vigorously to come up with vernacular solutions
Indian economy is largely unorganized, people involved in this sector prefer transaction in cash hence failing the motive for digitalization
The Transformation from a paper currency transaction to cashless is a journey that our nation needs to undertake. It is a tool which has the potential to simplify procedures, practices and will alter service delivery in a radical manner. However the pace of its adoption might be slow but its complete adoption will be a determining factor in anointment of our nation as global superpower.
Best answer: Nikhil
Traditionally, the costumers had to visit the physical banks to perform their business with banks (transactions, withdrawal, etc.). However, after the ICT revolution, the banking services are available via IT and ITES. This new form of banking, that is use of ICT, is called digital banking. In this banks are digitally available. This has made the business with banks very convenient. This is a step towards cashless economy too, because the money transaction happens not via physical currency but digitally. This has also reduced the burden on physical banking infrastructure.
Black money is that income which is either generated by illegal activities in the economy, (for example, income from organized crime) or the income on which income tax is not paid.
Digital banking can help in checking the flow of black money because,
1) There is receipt and account of every transaction that takes place, this discourages the black money flow.
2) Certain online transactions are taxed, this helps in tax collection and reducing the flow of black money.
3) In future, most of the transactions are going to be via digital banking, this increases the accountability of transactions.
4) this reduces the reliance on cash.
However, digital banking may not help in checking the flow of black money, because –
1) We have huge unorganized sector, people involved in this sector prefer transaction in cash.
2) Financial inclusion, literacy about banks, etc. are less, this hampers the digital banking penetration.
3) There exist a (small) limit (like 50,000 rs), below which bank authorities dont ask about the source of income, this amount can enter into the economy via digital banking.
Digital banking is here and it is going to be here. This has potential of reducing the flow of black money and providing convenient banking services. But it is based on high financial inclusion, robust IT infrastructure, safety measures, etc. It goes parallel with other economic reforms and we are moving in that direction.
2. It took more than 30 years to clean the Rhine river. The state of pollution in the Ganges is even more alarming. In a scenario like this, how far can the Ganga rejuvenation plan go in bringing back the river to it’s normal flow and purity? Discuss.
The Ganges river basin upholds 26% of landmass supporting approximately 40% of our population.
Ganga Action Plan was first implemented by Rajiv Gandhi government and subsequently many strategies have been brought in by successive governments. However these plans have suffered from similar lacunae:
Lack of representation of all stakeholders
Improper integration and co-ordination among governmental machineries
Insufficient funding and break in release of funds
Technology constrains especially regarding water treatment
Federal set up where water is state subject which created lot of miscommunications and turf war
And most importantly many parties were not on same stage to bring in whole hearted conservation
Current steps taken by the government:
Government has planned to treat the basin as a unit of planning and implementation as against the previous segmentary approach
Having all stake holders on same table via Ganga Vichar manch.
Under Namami Gange mission Rs 20,000 crores were released for 5 years period between 2015-19 to establish robust infrastructure and agencies.
Gram panchayats on the bank of Ganges are aimed to be made defecation less.
STPs, Industrial effluent plants and network of sewerage have been planned to be upgraded in all the urban habitats on the banks of ganga.
4 battalions of territorial Ganga Eco- task forces will be recruited.
To prevent over use of river water for irrigation, time tested and innovative methods like drip irrigation will be motivated in farms in river basin, so that sufficient water is available to thrive ecosystem.
The coordination of other ministries like MoEF, tourism ministry with the nodal ministry of water resources will be enhanced along with use of PPP model to efficiently carry on the task.
NGT has ordered closure of 48 polluting industries Which dump sewage into ganga
Government has made it mandatory for the factories along ganga to have Sewage Treatment Plants at the outlets.
How far is are the targets of cleaning achievable:
There are 23towns which have 100000+ population, and many other towns along the river banks, providing effective sewage treatment will be a herculean task.
Corruption and redtapism have to be checked to make the plan work
The government has set 2018as the deadline to clean ganga ,but in all likeliness this deadline will be missed, government has to increase the speed of project implemented to achieve the target by at least 2022
Though 20,000 crores has been sanctioned, this is very less in comparison to the scale of operations planned, government needs to increase this by 5 folds at least.
Reverting ganga to its natural pristine form will require single minded political leadership and determined implemented from all the stake holders involved.
(The steps and outcome analysis have been given separately in this synopsis for the sake of easier understanding, students should try to combine both aspects while answering)
Write your opinion briefly and conclude.
Best answer: SVSR
“Prevention is better than cure”. It is always good to prevent pollution of rivers instead of cleaning and rejuvenating it on a later part. Unfortunately, Indian rivers, especially in North India, are polluted to certain extent that some tributaries and stretches are dead. It takes decades to rejuvenate the river and bring back into better form. Many of the earlier plans like Clean Ganga, National Mission on River Pollution/Conservation etc., were drastically failed due to improper approach and lack of coordination of different stakeholders required for conservation.
How far Ganga rejuvenation plan purifies Ganga?
> Dedication of exclusive Ministry for Ganga Rejuvenation – coordinates and cooperates with various departments like Industries, Pollution Boards, Municipalities etc., for doing work holistically.
> Save Ganga Clean Ganga campaings – involvement of civil society, environmentalists, social activists and individuals to bring awareness on river conservation.
> Namamai Gange or National Mission for Clean Ganga – Prepared an Action Plan with specific targets needed to be fulfilled in a periodical manner.
> Allotted huge funds in the budget for seamless work.
> Banned untreated effluent discharge by industries in the basin area and imposing heavy fines for breach.
> Regular monitoring by CPCB and State PCBs on industrial activity.
> Adoption of modern methods and technology – brought dredging and other rejuvenating equipment.
> Regulations on religious activities like throwing dead bodies – setting up of electric cremators in the areas.
> Establishment of Waste Treatment and Waste Recycling Plants in all the Municipalities for diverting discharge.
> Clean Ganga Fund – for garnering more funds required for the project through crowd sourcing.
> Aviral Dhara – sustainable agricultural practices, efficient irrigation methods and wetland conservation.
> GIS and spatial assessment of Ganga basin – afforestation, conservation of aquatic life etc.
> 100% sewerage infrastructure build up along the banks of Ganga.
> Ganga Knowledge Centre – for studying Ganga ecosystem and dispersing knowledge.
Beyond all these efforts, there are reports on improper implementation of sewage and discharge diversion, lack of funds for reaching infrastructure targets, lack of proper awareness etc., are obstructing the project efficiency. Moreover, it is criticised that this project is primarily focussing on river ghats and famous places and being negligent in other areas, mainly by the Pollution Control Boards. There is an urgent need to empower all the institutions related to this project for effective results.
3.Dynastic politics not only discourage talent but is also inimical to the political economy of the country. Do you agree? Critically examine.
Dynastic politics is antithetical to a democratic setup as it discourages talent, increasing abject loyalty and subservience. It has potential to do irreparable damage to evolving institutions(be it political, economic) and ultimately undermine democracy. Countries that are in transition to democratic polity will usually experience the dynastic politics directly or indirectly. Eg: Predominantly 3rd world countries which got independence in the 20th century (Eg : India, Bangladesh etc. Dynastic politics strike at heart of democratic principles which makes it more dangerous.
Politics becomes a family business where the reigns are passed from one generation to the next. The Gandhis, Thackreys, and the Yadav clans of UP and Bihar are examples.
These ready-made kinship networks substitute for party organization, and mar genuine political work.
Lack of democracy within the party leads to discourages evolution and stifles talent within the party ranks.
It often leads to personality cult.
The people in power use illegitimate means to maintain their political clout and resort to corrupt practices.
Such a murky political culture discourages talented youth from entering politics as they see no scope of showcasing their abilities and growing on the personal or professional front.
Does not provide a level playing field to people from all sections and classes to join politics.
It largely restricts the political choices of the citizens, thereby wholly defeating the purpose of a democratic society.
When leadership is firm and just, it can handle disruptive forces like sub-nationalism, parochialism with ease in a country.
People who are illiterate and uninformed found easy to choose trusted national leadership than go for regional or caste-based leadership which have undefined interests.
There will be predominantly smooth power transition.
The people are born and brought up in the political atmosphere so are more verse to the nity gity of the politics.
People often finds shadow of the leaders in there offspring and thus help in smooth functioning of the government due to mass appeal of the leader.
It ensures continuity of policies thereby smooth functioning of the government.
Give your stand. Whether you agree or disagree.
Hence, while nepotism is seen in many fields, it is more harmful in the field of politics due to the major impact it can have, on the people of the country. Although there is an inherent advantage to a person belonging to the political background, he/she should not be elevated to a status highly above his/ her competence, only on the basis of his/ her name. This is a disrespect to the country in its highest form.
Best answer: CSE2016 Aspirant
Our constitution makers envisaged democratic form of government to ensure fair way of choosing representatives of the citizens. But, the paradigm of dynastic politics has been observed since the very beginning of this system. It has discouraged the talent from the less affluent or marginalised section having no link with politics. At the same time, it has hindered the diversity in political and economic ideologies, which is needed to sustain a vibrant democracy.
Dynastic politics is inimical because :
(1) It signifies concentration of power in few hands, which is nothing but pseudo – dictatorship.
(2) Malpractices like Nepotism is promoted, which is against the principles of meritocracy.
(3) Society needs to change with time, so has political and economic system. Dynastic politics is averse to the much needed dynamism.
(4) It promotes distrust among the citizens for lack of opportunities to reach higher echelon of administration.
On the other hand, there are some positives too.
(1) Members of the political class have better understanding of politics as they have first hand experience of observing their close ones doing the job.
(2) Disputes among party members are less likely to happen. Better coordination is key to good governance.
(3) Knowledgeable persons, who understand the need to change their political economical thoughts with time, will themselves initiate the much needed change without worrying about their past lines.
(4) Some strong families have fostered high respect from people from centuries. Strong relation between the government and citizens is important for political and economic prosperity of nation.
However, there is a need of an equilibrium between dynastic politics and new talents coming up in the politics for the constitutional framework to function properly and nation to progress.