Syllabus

• Prelims & Mains – Polity , Education

Context: With controversies erupting over the conduct of exams by National Testing agency (NTA), the question of whether education should be brought back to state list has arisen again.

Background:-

• The NEET-UG exam has been embroiled in controversies over the award of grace marks, allegation of paper leaks and other irregularities. The government also cancelled the UGC-NET exam after it was held, while the CSIR-NET and NEET-PG exams have been postponed.

Key takeaways

• The Government of India Act, 1935 during the British rule created a federal structure for the first time in our polity.
• The legislative subjects were distributed between the federal legislature (present day Union) and provinces (present day States).
• Education which is an important public good was kept under the provincial list. After independence, this continued and education was part of the ‘State list’ under the distribution of powers.
• However, during the Emergency, the Congress party constituted the Swaran Singh Committee to provide recommendations for amendments to the Constitution.
• One of the recommendations of this committee was to place ‘education’ in the concurrent list in order to evolve all-India policies on the subject. This was implemented through the 42nd constitutional amendment (1976) by shifting ‘education’ from the State list to the concurrent list.
• There was no detailed rationale that was provided for this switch and the amendment was ratified by various States without adequate debate.
• The Janata Party government led by Morarji Desai that came to power after Emergency passed the 44th constitutional amendment (1978) to reverse many of the controversial changes made through the 42nd amendment.
• One of these amendments that was passed in the Lok Sabha but not in the Rajya Sabha was to bring back ‘education’ to the State list.

What are international practices?

• In the U.S., State and local governments set the overall educational standards, mandate standardised tests and supervise colleges and universities. The federal education department’s functions primarily include policies for financial aid, focussing on key educational issues and ensuring equal access.
• In Canada, education is completely managed by the provinces.
• In Germany, the constitution vests legislative powers for education with landers (equivalent of States).
• In South Africa, on the other hand, education is governed by two national departments for school and higher education. The provinces of the country have their own education departments for implementing policies of the national departments and dealing with local issues.

Way forward :

• The arguments in favour of ‘education’ in the concurrent list include a uniform education policy, improvement in standards and synergy between Centre and States. However, considering the vast diversity of the country, a ‘one size fits all’ approach is neither feasible nor desirable.
• Further, as per the report on ‘Analysis of Budgeted expenditure on Education’ prepared by the Ministry of Education in 2022, out of the total revenue expenditure by education departments in our country estimated at ₹6.25 lakh crore (2020-21), 15% is spent by the Centre while 85% is spent by the States. Even if expenditure by all other departments on education and training are considered, the share works out to 24% and 76% respectively.
• The arguments against restoring ‘education’ to State list include corruption coupled with lack of professionalism. The recent issues surrounding the NEET and NTA have however displayed that centralisation does not necessarily mean that these issues would vanish.
• Considering the need for autonomy in view of the lion’s share of the expenditure being borne by the States, there needs to be a productive discussion towards moving ‘education’ back to the State list.
• This would enable them to frame tailor-made policies for syllabus, testing and admissions for higher education including professional courses like medicine and engineering.
• Regulatory mechanisms for higher education can continue to be governed by central institutions like the National Medical Commission, University Grants Commission and All India Council for Technical Education.

Source: Hindu

Syllabus

• Prelims & Mains – ECONOMY

Context: Spending money overseas through credit card does not come under the liberalised remittance scheme limit yet, but it may change in the near future. As per a media report published recently, bringing credit card spend under the LRS is now on the government’s radar.

Background:

• For the uninitiated, the finance ministry in May 2023 had brought credit card spending under the LRS limit. However, it was announced on June 28 that overseas spending using credit cards will beput on hold in order to give time to the banks to streamline their requisite IT systems.

About LIBERALISED REMITTANCES SCHEME (LRS)

• Under the RBI’s Liberalised Remittance Scheme (LRS), all resident individuals are allowed to freely remit up to $2,50,000 in each financial year abroad for any permissible current or capital account transaction or a combination of both.
• This scheme was introduced on February 4, 2004, with a limit of $25,000. The LRS limit was later revised in stages consistent with prevailing macro and micro economic conditions.
• In case of remitter being a minor, the LRS declaration form must be countersigned by the minor’s natural guardian. The Scheme is not available to corporates, partnership firms, HUF, Trusts etc.
• The remittances can be made in any freely convertible foreign currency.Permanent Account Number (PAN) is mandatory for all transactions under LRS.
• If government includes credit card spending under the LRS, credit card usersmay have to cough up 20 percent tax collection at source (TCS).
• Tax collected at source is the sum collected by the seller from the buyer at the time of sale so that it can be deposited with the tax authorities.
• TheTCS for foreign remittances under LRS was raised to 20 percent in Budget 2023 from the earlier rate of 5 per cent. This included international travel, sending money overseas, and other remittances.
• This new tax ratecame into force on Oct 1, 2023 which removed the threshold of ₹7 lakh for triggering TCS on LRS.
• These changes, however, are not applicable in case of education and medical expenses.

Additional Information

• The legal framework for administration of foreign exchange transactions in India is provided by the Foreign Exchange Management Act, 1999, (FEMA), which came into force with effect from June 1, 2000.
• Under FEMA, all transactions involving foreign exchange have been classified either as capital or current account transactions.

Source: Livemint

Syllabus

• Prelims – CURRENT EVENT

Context: The Reserve Bank of India (RBI) has joined Project Nexus, a significant initiative aimed at enhancing the efficiency and security of cross-border payments.

Background:

• By participating in this project, the RBI contributes to the development of a streamlined and resilient global payment system.

About PROJECT NEXUS :

• Project Nexus is an initiative by the Bank for International Settlements (BIS) to develop a global platform for cross-border payments.
• Project Nexus is a collaborative effort between the BIS, central banks, and financial institutions to create a standardized global payment platform.

Benefits:

• Standardization: Simplifies the way Instant Payment Systems (IPS) connect to one another.
• Single Connection: Allows payment system operators to reach all other countries on the network without building custom connections for each.
• Instant Payments: Enables cross-border payments from sender to recipient within 60 seconds in most cases.
• Cost Efficiency: Provides near-zero cost for sending and receiving payments.
• Growth Acceleration: Accelerates the growth of instant cross-border payments by leveraging existing instant payment systems.

Source: Livemint

Syllabus

• Prelims – ECONOMY

Context: Purchasing Managers’ Index (PMI) increased to 58.3 in June.

Background:

• Increased demand for manufactured goods led to higher production levels. This was driven by both domestic consumption and export orders.

About Purchasing Managers’ Index (PMI)

• The Purchasing Managers’ Index (PMI) is a survey-based measure of current and future business conditions that asks respondents about changes in their perception of key business variables compared to the previous month.
• The PMI is usually released at the start of every month. It is, therefore, considered a good leading indicator of economic activity.
• The PMI is calculated separately for the manufacturing and services sectors.
• The PMI ranges from 0 to 100:
  • Above 50 indicates expansion.
  • Below 50 indicates contraction.
  • A reading at 50 signifies no change.

Purpose:

• PMI provides early insights into economic trends.
• It helps decision-makers, analysts, and investors make informed choices ahead of official data releases.

Source: Hindustantimes

Syllabus

• Prelims – SCIENCE & TECHNOLOGY

Context: NASA has recently captured an epic view of the largest volcano in our solar system named Olympus Mons using the Mars Odyssey orbiter.

Background:

• By capturing such images at different times during the year, scientists can study how the Martian atmosphere changes over the planet’s four seasons. This data helps us understand the dynamics of Mars’ climate and weather patterns.

About MARS ODYSSEY :

• Mars Odyssey is a NASA spacecraft that embarked on a mission to explore Mars.
• Mars Odyssey was launched on April 7, 2001 from Cape Canaveral Air Force Station, Florida.
• Its primary goal was to map the chemical elements and minerals that constitute the Martian surface. By doing so, it created the first global map of Mars, providing valuable insights into its composition.
• Mars Odyssey holds the record for the longest continually active mission in orbit around a planet other than Earth. It successfully completed its primary science mission from February 2002 through August 2004.

The main mission of the Mars Odyssey was to:

• Detect water and ice
• Study the geology of Mars
• Study the radiation environment of Mars
• Search for evidence of past or present life on Mars
• Act as a communication relay for future Mars missions

Source: Money Control

Syllabus

• Mains – GS 2

Context: The World Drug Report 2024 was released by the United Nations Office on Drugs and Crime (UNODC).

Background:

• The emergence of new synthetic opioids and a record supply and demand of other drugs has compounded the impacts of the world drug problem, leading to a rise in drug use disorders and environmental harms, according to the World Drug Report 2024

Key Highlights of the World Drug Report 2024:

• The number of drug users worldwide reached 292 million which resulted in a 20% increase over the past decade.
• Cannabis is the most popular drug used by 228 million users. It is followed by Opioids, Amphetamines, Cocaine, and Ecstasy.
• It warns about a new class of synthetic opioids called nitazenes which is more potent than fentanyl.
• There is a treatment gap as only one in eleven gets treatment who are suffering from drug use disorders.
• There is a gender disparity in treatment access as only one in 18 women with drug use disorders receive treatment, compared to one in seven men.
• According to data from the Narcotics Control Bureau (NCB), there are currently around 100 million people in India addicted to various narcotic substances.

World Drug Day 2024:

• It is also known as International Day Against Drug Abuse and Illicit Trafficking and is observed every year on the 26th of June.
• It was established in December 1987 by the United Nations General Assembly to raise awareness about the global fight against drug abuse and illicit drug trafficking.
• The theme for 2024 was “The evidence is clear: invest in prevention”.

Source: UNODC

Q1.) The Mars Odyssey, recently seen in news is launched by

1. ISRO
2. NASA
3. ESA
4. JAXA

Q2.) Consider the following statements:

1. With reference to the Purchasing Managers’ Index (PMI), consider the following statements:
2. The PMI is a survey-based measure of current and future business conditions.
3. It is usually released at the start of every month.
4. It is calculated separately for the manufacturing and services sectors.

Which of the statements given above is/are correct?

1. 1 only
2. 1 and 2 only
3. 2 and 3 only
4. 1,2 and 3

Q3.) With reference to the Project Nexus, consider the following statements:

1. Project Nexus is an initiative by the Bank for International Settlements (BIS)
2. Project Nexus aimed at enhancing the efficiency and security of cross-border payments.

Which of the statements given above is/are not correct?

1. 1 only
2. 2 only
3. Both 1 and 2
4. Neither 1 nor 2

Comment the answers to the above questions in the comment section below!!

ANSWERS FOR ’  3rd July 2024 – Daily Practice MCQs’ will be updated along with tomorrow’s Daily Current Affairs.st

Q.1) –  c

Q.2) – c

Q.3) – c