1. Green Strategic Partnership
- India and Denmark signed two agreements on research in climate change, while another MoU on setting up a “green hydrogen” electrolyzer plant was signed between Reliance Industries and the Danish company.
- An agreement between theCSIR and the Geological Survey of Denmark to conduct groundwater mapping was signed
- Another agreement between the Indian Institute of Science and Danfoss Industries to set up a research center on carbon-based cooling systems is part of the Green Strategic Partnership.
- MoU between Reliance Industries Limited and Stiesdal Fuel Technologies will work on the development of a Hydrogen electrolyzer for zero-carbon hydrogen to be manufactured in India.
About the Partnership
It is a mutually beneficial arrangement to advance political cooperation, expand economic relations and green growth, create jobs, and strengthen cooperation on addressing global challenges and opportunities with a focus on an ambitious implementation of the Paris Agreement and the UN Sustainable Development Goals.
- Ministry of Ayush recently noticed safety concerns on the use of Guduchi (Tinospora cordifolia) that were published in social media and in some scientific journals.
- It has issued an advisory to confirm that Guduchi (Tinospora cordifolia) is safe to use but some similar-looking plants like Tinospora crispa may be harmful.
- Guduchi is a popularly known herb, familiar as Giloy, and is being used in therapeutics for a
- long in AYUSH systems.
- Its hepatoprotective properties are also well established. Guduchi is known for its immense therapeutic applications.
- It is observed that different species of Tinospora are available and only Tinospora cordifolia should be used in therapeutics
- Similar-looking species like Tinospora crispa may manifest adverse effects.
|Plant part||Tinospora cordifolia||Tinospora crispa|
groovy notch at the base
groovy notch at the base
|Drupes (Bunch of fruit)|
3. World Bank Revised Estimates
- The World Bank has revised the country’s growth forecast to 8.3 percent for the current financial year 2021-22, compared to the earlier estimate of 10.1 percent.
- The World Bank stated in its latest report that the Indian economy – South Asia’s largest will register the growth aided by an increase in public investment and incentives to boost manufacturing.
- Due to the second wave of the COVID-19 pandemic in India, the economic recovery paused and the high-frequency data suggested that the recovery also declined for a brief period.
- Earlier this year, the World Bank said that India’s real gross domestic product (GDP) growth for the current fiscal could range from 7.5 to 12.5 percent
- The economic growth decelerated to four percent in the financial year 2019-20.
- The slowdown was caused by a decline in private consumption growth and subsequent shocks to the financial sector.
- Reserve Bank of India (RBI)-led Monetary Policy Committee in its fourth bi-monthly policy review for the current fiscal yesterday, retained the GDP growth at 9.5 percent for the financial year 2021-22.
4. Moody Rating
- Asserting that India’s downside risks from negative feedback between the real economy and financial system are receding, rating agency Moody’s changed India’s sovereign rating outlook from ‘negative’ to ‘stable’,
- Last year, Moody’s downgraded India’s sovereign rating from ‘Baa2’ to ‘Baa3’, the lowest investment grade.
- saying there will be challenges in the implementation of policies to mitigate risks of a sustained period of low growth and deteriorating fiscal position. The outlook on the rating was kept negative.
What led to an upgrade in the rating agency’s outlook?
- With higher capital cushions and greater liquidity, banks and non-bank financial institutions pose a much lesser risk to the sovereign than Moody’s previously anticipated.
- Risks stemming from a high debt burden and weak debt affordability remain
- Moody expects that the economic environment will allow for a gradual reduction of the general government fiscal deficit over the next few years, preventing further deterioration of the sovereign credit profile.
What is Moody’s assessment of growth?
- Following a deep contraction of 7.3 percent in the fiscal year ending March 2021, India’s real GDP is expected to surpass 2019 levels this fiscal year, rebounding to a growth rate of 9.3 percent, followed by 7.9 percent in fiscal 2022.
- Moody expects real GDP growth to average around 6 percent over the medium term.
What is the impact of the upgrade?
- Since overseas borrowing costs are tied to a country’s rating and the agencies’ outlook on the nation, an upgrade usually helps in lowering borrowing costs for the government as well as the corporate sector.
- With chances of default receding and improvement in overall debt serviceability, foreign investors take comfort in subscribing to government and corporate bonds at lower rates.
5. Military engagement among Quad Group
- The Quadrilateral group comprising India, Australia, Japan, and the U.S. is scheduled to hold Phase-II of the Malabar naval exercise next week, according to official sources.
- This is the first military engagement among the Quad partner countries since Australia, the U.S., and the U.K.
- The group unveiled the AUKUS initiative to deepen cooperation on a range of emerging security and defense capabilities which includes equipping Australia with at least eight nuclear-powered submarines (SSN).
Click here to know about Quad group
About Malabar Exercise
- The Malabar exercise commenced in 1992 as an India-U.S. exercise.
- In 2015, Japan joined as a permanent member, and Australia was included in the 2020 edition.
- Malabar has significantly grown in scope and complexity over the years and since adding more members has further evolved deepening interoperability among the partner nations.
- This got a boost with India signing the foundational agreements with the U.S. and acquiring more and more military platforms bringing in commonality.
- All the partner countries have bilateral logistics agreements and maritime cooperation agreements with India and have deployed an International Liaison Officer at the Navy’s Information Fusion Centre for Indian Ocean Region (IFC-IOR) which is the nodal center for maritime domain awareness in the region.
Click here to read the previous article about Malabar Exercise