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My Notes 16-sep-2017 16-09-2017
Dear Students,
Please follow My Notes and My Video 16-September-2017.

1. BJP states tell police to push back Rohingya

Centre has clearly instructed border states to push back any illegal immigrants coming in to India. It is feared that, terrorist elements can enter India under the cover of distressed Refugees.


2. Sushma calls Hasina - Indian foreign minister Sushma Swaraj has assured Bangladesh PM that India is is putting pressure on Myanmar Bilaterally and Multilaterally to take back Rohingyas.


3. 22 injured in London Tube blast.

4. Pay relief in cases of unnatural jail death : Supreme Court of India has directed the chief justices of of all High Courts to register petitions suo motu to identify the kin of prisoners who died unnatural deaths from 2012 and order the States to award them compensation.


5. Astra, an indigenously developed beyond visual range Air to Air missile successfully tested.


6. North Korea fires missiles over Japan


7. Forex reserves hit $400bn.


8. External debt dips 2.7% as NRI deposits fall.


9. Strong rupee. Gold imports have widened current account deficit.



The federal Manoeuvre

Respect for pluralism and diversity maintains the unity of Nation. This is the philosophy behind India’s unity in diversity. Unlike this, imposition of Urdu in Pakistan has brought in Bengali nationalist movement and creation of Bangladesh. Srilanka imposing Sinhala language on Tamil Minorities gave scope for civil war.

In India, Hindi was about to be made as an official language. But, opposition form Dravida parties made it impossible. It is the single largest contribution of Dravida parties to unity of India. It has kept linguistic diversity of India and identities associated with intact.


On the other side, Dravida politics got degenerated over a period of time with

  1. Rise in personality centered cult politics.
  2. Growth of clientalism - providing freebies as electoral promises in the name of welfare.
  3. Anti Brahmin movement has lead to the growth of land owning middle castes. But Dalits position did not improve.


Understanding the slowdown

Four growth engines of India have slowdown - Exports , Public investment, Private investment , Private consumption. Exports have come down due to decrease in international demand. Though demand is revived, Indian exports did not get revived because of strong rupee.

Private investments have decreased for the reason that risk to profitability ratio is very high. Bank NPA’s aLao have led to decreased credit growth.

Public investment though robust it is unable to balance the loss in private investment.

Demonetization and sub optimal design of GST have made the things worse. To an extent they killed demand and private consumption.

So, the way forward to India is to encourage investments. But it needs a robust policy response related land, labour, availability of finance. But, policy response is very sluggish.


The arc to Tokyo

India Japan relations have reached a strategic dimension. As USA is receding from geo politics, India - Japan are coming closer to create a balance of power in Asian continent. It is clearly visible in the present visit of Prime Minister Shinzo Abe.

  1. Prime Minister Abe clearly stated that North Korea is a joint challenge to India and Japan. Both countries also have demanded for holding countries that have supported North Korea’s nuclear and missile programmes accountable. It is clearly directed against China.
  2. There is a clause for Zero tolerance for Terrorism referring china blocking designating Jaish e Mohammed chief as as international terrorist.
  3. there are reference to SOUTH CHINA SEA dispute.
  4. Japan is the only country India has invited to assist infrastructure development in North East.


Added to this,

  1. japan is a largest donor to India and third largest provider of FDI.
  2. India - Japan nuclear deal and Maritime exercises like Malabar are expected to strengthen strategic relations further.

On the other side, the major concern is declining trade between the countries.



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