UPSC IAS The Hindu Current Affairs 11th May 2018 highlights are:
- They allow for flexibility to continue political engagement and economic cooperation with their common adversary.
- They avoid entrapment of being dragged in to a partners dispute and potentially in to a conflict.
- At the same time, strategic partnership provides for regular political and military interactions for a collaborative approach to strategic policies.
India and Japan relations perfectly figure in to the above relationship.
- India will not get deep in to Japan disputes and the same is the case with Japan. A mutual cooperation exists on the wider issues where win win situation exists.
Important developments of India – Japan special strategic and global partnership are
- Japan is the only country India allowed to invest in infrastructure in North east.
- There is a joint infrastructure project development – Asia – Africa Growth corridor.
- Japan and India agreed to have annual summits and 2+ 2 format for defence and foreign ministers meeting.
- India is buying ShinMaywa Amphibious ships from Japan.
- Japan is investing in infrastructure development in Andaman and Nicobar Islands.
Nuclear deal in danger
Trump’s continuous tirade against Iran nuclear deal appears to be an end to Obama era pragmatism. Nuclear deal was successfully able to stop Iran form developing a nuclear weapon. Added to this, Iran never violated the deal. In these circumstances USA imposing sanctions against Iran, will set a dangerous precedent in international agreements. Iran nuclear deal being multilateral agreement, President shall end his rhetoric.
A big broom
Government effort to release names of shell companies, Name and shame its directors may not yield sufficient results to fight unaccounted money. In the process, there is a possibility of harassing genuine companies or directors.
The best way forward is to arrest systemic shortcomings.
Tax payer rights and obligations
Indian tax administration system shall move from an enforcement to a service based model. Intentions of reforms are good but they are reactive. DTAA, GAAR, transfer price mechanism, implementation of GST all have challenges.
improvement in taxpayers’ service, enhanced use of information and communication technology, exchange of information with other agencies, expansion of tax base, compliance management, etc. Need to be improved to make tax administration Service oriented.
Beyond social Media
In India Geographical indications (Registration and protection) act 1999 has provided for registration of Geographical indications. There is no effective monitoring mechanism for quality compliance of the same. Unlike this in the European regulation clearly provides for monitoring at multiple levels. India also shall have the same.
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11 May 2018
Mahathir stages a surprise comeback
Mahathir mohammed – sworn in as the world’s oldest Prime Minister in Malaysia. This victory of mahathir Mohammad broke grip of national front on Government. It is for the first time opposition – alliance of hope is able to win election.
Multi million dollar scandal of Prime Minister Najib Razak can be stated as a major reason for this.
Added to this, this can be seen as a first democratic revolution in south East Asia which dominated by single party systems.
India is more than a 2 player e com market
CEO of Wal Mart Doug Mc Millan Said that – India is a market place for more than 2 e commerce players.
As on today. Less than 1/10 of retail market space is held by online retailers. It is expected to increase soon. Two American majors competing on home ground are soon elected to compete in India. But Indian market space is driven by offers or cash subsidies. It need to be seen how growing market space will impact retail employment in india.
It’s not about the nuclear deal
The USA wont ease the terms of sanctions on Iran as the goal is regime change in Tehran. Already people are agitated against hardships. JCPOA(Joint comprehensive plan of action) did not bring in expected economic benefits to Iran. Any worsening of hardships can raise revolution and regime change.
In west Asia, cold war between Iran and Saudi Arabia is expected to worsen further. It can complicate wars in Syria and Yemen.
Peace process in Iraq and Afghanistan can be delayed. Iran is expected to directly intervene in Iraq and Afghanistan.
For India, rise in oil prices, confusion of chabahr port can be troublesome.
Pokhran II, 20 years
India’s nuclear test at Pokhran in 1998 are the most secretive and yielded best diplomatic benefits to India. These include
- De facto recognition of india as a nuclear power.
- Ciivl nuclear cooperation agreements and supply of nuclear fuel.
- Access to Enrichment and reprocessing technologies.
India in return gave its nuclear doctrine that insisted on no first use and commitment to disarmament.
However gains of nuclear deal /diplomacy did not take a full shape due to Fukushima accident and liability issues.
Getting down to business
India is bringing commercial courts through ordinance to increase its place on ease of doing business index.
Question of the day
How do you think growth of ecommerce business will effect Indian economy?