Issue 02 October 2018 - Dhyeya IAS

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Issue 02 October 2018 - Dhyeya IAS
October 2018   Issue 02
Issue 02 October 2018 - Dhyeya IAS
Contents
                                                            October- 2018
                                                                   Issue-2

Seven Important Issues                                            1-23

 Lawmakers as Lawyers: No Need to Ban
  An Action Tank: Is Really Doing Action
  Ayushman Bharat: To Change India's Healthcare Landscape
  India and Maldives: Rebuilding the Relationship
  Economic Freedom of the World-2018 and India
  Deep Sea Mining: A Race to the Bottom of the Ocean
  Behavioural Insights in Policy Making

Seven Subjective Questions with Model Answers                     24-28

Seven Important National & International News                     29-34

Seven Brain Boosters & Seven MCQ's Based on Them                  35-43

Seven Important Facts For Prelims                                 44

Seven Important Sport Events                                      45-46

Seven Practice Questions for Main Exam                            47
Issue 02 October 2018 - Dhyeya IAS
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              SEVEN IMPORTANT ISSUES

                        1. LAWMAKERS AS LAWYERS: NO NEED TO BAN

Why in News?                                whose name is interred in the common        ¡¡   The second reason cited is that
                                            roll to practise in all courts or before         MPs can initiate impeachment
The Supreme Court recently dismissed
                                            any tribunal or authority. But there             proceedings against judges and
a plea seeking to ban lawmakers from
practising as advocates. The apex court     are restrictions contained in the Bar            therefore, appearing before them
said there was no provision either          Council Rules. Rule 47 places a bar on           as lawyers would be a conflict of
under the Rules and the law regulating      an advocate personally engaging in any           interest.
the profession of the lawyers to restrict   business. Under Rule 48, an advocate        ¡¡   The third reason is that both
them from practising on becoming            cannot be a Managing Director or                 law practice and the role of
members of Parliament, state                Secretary of a Company but he can                representatives of the people
assemblies or state councils.               be a Director or Chairman without                are full time professions and
                                            the performance of any executive                 one cannot do justice to both
Introduction                                functions.                                       simultaneously. The country needs
The Centre did not accept the                   The real catch is in Rule 49 which           dedicated and full-time legislators.
proposition that lawyers should be          stipulates that a practising advocate       ¡¡   Lawmakers receive their salaries
banned from being legislators. The          shall not be a “full-time salaried               and perks solely to discharge their
Attorney General said such a ban is not     employee of any person, government,              public duty.
correct or justifiable as being an MP/      firm, corporation or concern.” On
MLA is not a full time job. The Attorney                                                ¡¡   There is a argument that under
                                            taking up such employment, advocates
General added that there cannot be                                                           Prevention of Corruption Act,
                                            are bound to intimate the State Bar
any “prohibition” as membership                                                              MLAs and MPs are public servants.
                                            Council under which they are enrolled
of Parliament is not a job under the                                                         Allowing them to practice as
                                            and suspend their practice. There is
government of India.                                                                         advocate and restricting other
                                            a narrow window provided in Rule
    The Bar Council of India (BCI)                                                           public servants is arbitrary and
                                            52, which allows, with the consent
decided to allow members of                                                                  violation of right to equality under
                                            of the State Bar Council, part-time
Parliament and legislative assemblies                                                        Article 14.
                                            employment, with two riders – that it
to practise as advocates, but said that                                                      It amounts to "professional
                                            does not come into conflict with law        ¡¡
those who move an impeachment                                                                misconduct" when MLAs and MPs,
                                            practice and is not inconsistent with
motion against any judge of the                                                              who get salary and other benefits
                                            the dignity of the legal profession.
higher judiciary will not be allowed                                                         from the public fund appear against
to appear before that court. The BCI        Arguments against the                            the government. The lawmakers
said that the lawyer-MPs have their
                                            Verdict                                          appear as advocates even when
privilege as parliamentarians to move
                                                 The principal objection to                  parliament or assemblies in session
impeachment motion, but “as lawyers,        ¡¡

the BCI can put the condition under              legislators donning the black robes         and participates in matter that
which they can be allowed to practise            is that as they draw salaries from          affects financial interests of the
or not”.                                         the Consolidated Fund of India,             country despite receiving salaries
                                                 they are ‘employees’ of the State, a        and other perquisites drawn on the
Rules                                            position that warrants suspension           public exchequer.
Section 30 of the Advocates Act, 1961,           of practice under the Advocates        ¡¡   Many lawmakers are regularly
confers the right on every advocate              Act and Bar Council Rules.                  seen on television and at news

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     conferences and tend to have a           advocate under the statute and that          State Assembly). The mere fact that
     heavy social media presence. Such        he was ready to give an undertaking          they draw salary under the Salaries and
     visibility is against the BCI rules.     that during court hours he would not         Allowances of Member of Parliament
                                              carry on his medical practice. The           Act, 1954 or different allowances under
Arguments in Favour of                        Court visualised a possible dilemma of       the relevant Rules framed under the
Verdict                                       a practising surgeon having to perform       said Act does not result in creation of a
¡¡   A public servant is not allowed          emergency operations or deal with            relationship of employer and employee
     to practise as an advocate and           patients beyond court hours and the          between the government and the
     lawmakers are public servants            dictates of the legal profession involving   legislators, despite the description of
     under Section 21 of the Indian           meeting clients, getting instructions,       payment received by them in the name
     Penal Code and Section 2(c) of the       reading briefs and preparing for             of salary.
     Prevention of Corruption Act.            arguments for the next day in court.             The apex court said that although
¡¡   Legislators, many of whom are            The apex court was unambiguous in            the legislators are deemed to be public
     designated Senior Counsel, argue         the Dr. Haniraj Chulani case noting          servants, their status is unique and
     that their law practice does not         that “law is a jealous mistress that calls   certainly not one of a full-time salaried
     involve signing vakalats and drafting    for undivided loyalty and unflinching        employee of any person, government,
     work that other advocates need to        attention”.                                  firm, corporation or concern as such.
     do and that their court appearances           The Supreme Court in R.S. Nayak             The legislators being elected
     will not be during the Parliament        Vs A.R. Antulay had held that the            people's representatives occupy a seat
     or Assembly sessions. Further, with      legislators do not fall under the rubric     in Parliament/ Legislative Assembly
     a battery of juniors and briefing        of public servants within the meaning        or Council as its members but are
     counsel, clients will not suffer due     of Section 21 of the Indian Penal Code.      not in the employment of or for that
     to their dual roles. And with staff      But, in the P.V. Narasimha Rao case, the     matter full-time salaried employees as
     to man their MP or MLA offices,          majority view was that legislators are       such. They occupy a special position
     they need not necessarily be torn        public servants for the purpose of the       so long as the House is not dissolved.
     between conflicting loyalties.           Prevention of Corruption Act.                The fact that disciplinary or privilege
¡¡   The legal qualification of legislators                                                action can be initiated against them
                                              Supreme Court Verdict                        by the Speaker of the House does not
     should be seen as an asset as it
     helps in improving the quality of        The Supreme Court held that the              mean that they can be treated as full-
     lawmaking.                               provisions of the Advocates Act, 1961        time salaried employees. Similarly, the
¡¡   Lateral entry from legal profession      and the Rules framed there under,            participation of the legislators in the
     or some field of expertise is            do not place any restrictions on the         House for the conduct of its business,
     not necessarily a bad thing. It is       legislators to practise as advocates         by no standards can be considered as
     supposed to enrich and improve           during the relevant period. The closest      service rendered to an employer.
     parliamentary discourse.                 rule framed by the Bar Council of                 The court, further, observed that
                                              India is Rule 49 which, however, has         legislators are not appointed but are
Past Judgements                               no application to the elected people's       elected by the electors from respective
In an interesting and landmark case in        representatives as they do not fall in the   territorial constituencies. The fact that
which a medical doctor who studied law        category of full-time salaried employee      they have to take oath administered by
challenged the Bar Council’s rejection        of any person, firm, government,             the President/Governor before they
of his application for enrolment as an        corporation or concern.                      take their seat in the House, does not
advocate, the Supreme Court in Dr.                 The top court said that legislators     mean that they are appointed by the
Haniraj L.Chulani Vs Bar Council of           cannot be characterised as full-             President/Governor as such, unlike in
Maharashtra and Goa held that “the            time salaried employees as there             the case of the Prime Minister/Chief
legal profession requires full time           is no relationship of employer and           Minister and Ministers in the Council
attention and would not countenance           employee. The employment postulates          of Ministers.
an Advocate riding two horses or more         a master-servant relationship and the            The legislators receive payment in
at a time”. The doctor had contended          government of India is not the master        the form of salary and allowances or
that the medical profession was in no         of a Member of Parliament. The status        pension from the Consolidated Fund,
way a less dignified profession, that         of legislators (MPs, MLAs and MLCs) is       is not enough to debar them from
he was qualified to be enrolled as an         of a member of the House (Parliament/        practising as advocates, sans being a full-

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time salaried employee of the specified    will sincerely attend Parliament on all       of the legal profession. Traditionally
entities. They continue to remain only     working days when called upon to do           and historically, the lawyers have
as members of the House representing       so. It had also said that the MPs had the     played a major role in parliamentary
the territorial constituencies from        power of voting on the impeachment            affairs and public life and it would be
where they have been elected until the     of judges of the Supreme Court and the        a very regressive step to debar them
House is dissolved or if he/she resigns    high courts.                                  from parliament.
or vacates the seat for having incurred                                                       Thus, the scope of Article 19(1)
disqualification as may be prescribed      Way Forward
                                                                                         (g) of the Constitution on the freedom
by law.                                    Fundamentally lawmakers, either               to practise any profession and the
    The three-judge bench said             as MPs or MLAs, are expected to be            reasonable restrictions, in the context
that merely because the advocate           sufficiently qualified in law so as to help   of law-makers also functioning as
concerned is an elected people's           lawmaking bodies in enactment of law.         lawyers, has tso be seen in broader
representative, it does not follow that    In fact, it should be desirable if India      perspective.
he or she has indulged in professional     was to advance and bring in the best
misconduct. Similarly, the conferment      piece of legislation it could even be
of power on the legislators (MPs) to       considered for members of legislative                General Studies Paper- II
move an impeachment motion against         bodies to have minimum qualification           Topic:    Structure,    organization
the judges of the Constitutional Courts    of graduation in law.                          and functioning of the Executive
                                                                                          and the Judiciary; Ministries and
does not per se result in conflict              There cannot be interference with
                                                                                          Departments of the Government:
of interest or a case of impacting         the profession. The only condition             pressure groups and formal/informal
constitutional morality or for that        is that no one should be engaged in            associations and their role in the
matter institutional integrity.            anything that causes indignity to the          Polity.
    The top court also refused to go       legal profession.
into the question that India needed           Being an MP or MLA does not in any                         mmm
dedicated and full-time legislators, who   way put a question mark on the dignity

                        2. AN ACTION TANK: IS REALLY DOING ACTION

Why in News?                               National Institution for Transforming         contributed to severe distortions in
                                           India (NITI). The remit and functioning       public spending. Often, the Planning
NITI Aayog is introducing new ideas
                                           of NITI Aayog will become clearer as it       Commission came up with discretionary
and bringing about a greater level
                                           evolves over time.                            transfers to states to meet nonplan
of accountability in the system.
India cannot transform with new                 Not many will shed tears on the          revenue deficits negating the norms
ideas without having a paradigm of         abolition of the Planning Commission.         set by the Finance Commissions. The
planning for development. So it will       In fact, the previous prime minister          presence of a member of the Planning
need to evolve into a much stronger        himself had called for redefining its         Commission as a parttime member of
organisation than it is now.               role to suit changing realities. The          the Finance Commission did very little
                                           planning exercise that was followed           to correct this anomaly.
Introduction                               had hardly any relevance for the
                                           market economy. It did very little            Need of the New Institution
There have been wide ranging
discussions on the role of the new         to plan and implement even public             There were two contradictions between
institution to replace the Planning        sector investments for infra structure        the Indian development strategy
Commission ever since the Prime            and its role in promoting public              and the institutional framework
Minister in his 2014 Independence          private partnership was mostly seen           constraining structure deficits and
Day address declared that the Planning     as obstructive. The whole exercise            the lack of competitiveness of the
Commission would be replaced by            of giving approvals to state plans            economy. However, the framework
a new institution. In the cabinet          smacked of dispensing patronage.              failed to adapt to the transition after
resolution passed in 7th January 2015,     The proliferation of various centrally        the liberalising reforms were initiated.
the government has come out with the       sponsored schemes (CSS) with “one             With fiscal constraints becoming more
broad contours of the new institution,     size fits all” design and conditionality      and more binding and political economy

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factors crowding out infrastructure          institution to promote       “Coasean        ¡¡   Sustainable development,              by
spending with subsidies and transfers,       bargains” in the spirit of cooperative            protecting environment.
the planning exercise lost much of its       federalism and ensure resolution of          ¡¡   Transparency that uses technology
relevance.                                   issues when such bargains fail.                   to make government visible and
     The architecture, engineering and                                                         responsive.
                                             National Institution for
management aspects of the new
                                             Transforming India (NITI)                    Role and Remit
institution, NITI Aayog, will have to be
                                             Aayog
crafted carefully, if it has to serve as                                                        The cabinet resolution lists 13
an institution to impart dynamism            The      National     Institution    for     different tasks to it which may be
to the developmental process in a            Transforming India, also called NITI         grouped under four major heads,
harmonious manner.                           Aayog, was formed via a resolution           namely: (i) fostering cooperative
                                             of the Union Cabinet on January 1,           federalism by providing structured
¡¡   Economic        liberalisation has
                                             2015. NITI Aayog is the premier policy       support to states on a continuous basis;
     created a vibrant private sector
                                             ‘think tank’ of the government of            (ii) formulation of a strategic vision and
     and the new institution should
                                             India, providing both directional and        long term policies and programme
     assist in policy making to enable
                                             policy inputs. The government of India,      framework both for the macro
     private entrepreneurs to unleash
                                             in keeping with its reform agenda,
     their animal spirits and not to                                                                Planning Commission
                                             constituted the NITI Aayog to replace
     constrain them.                                                                       The Planning Commission was set up by
                                             the Planning Commission instituted
     Horizontal and vertical competition                                                   a Resolution of the hovernment of India
¡¡                                           in 1950. This was done in order to            in March 1950 in pursuance of declared
     in a multilevel fiscal system can be    better serve the needs and aspirations        objectives of the government to promote
     an important source of economic         of the people of India. An important          a rapid rise in the standard of living of
     dynamism so long as a certain           evolutionary change from the past,            the people by efficient exploitation of
     measure of “competitive equality”                                                     the resources of the country, increasing
                                             NITI Aayog acts as the quintessential
                                                                                           production and offering opportunities to
     and “cost benefit appropriability”      platform of the government of India           all for employment in the service of the
     are ensured         and predatory       to bring states to act together in            community. The Planning Commission
     competition is prevented.               national interest and thereby fosters         was charged with the responsibility of
                                             Cooperative Federalism. The governing         making assessment of all resources of the
¡¡    “Laboratory federalism” can be a                                                     country, augmenting deficient resources,
     source of innovations, imitations       council consists of all state Chief           formulating plans for the most effective
     and learning and facilitating this is   Ministers, Chief Ministers of Delhi           and balanced utilisation of resources and
     important.                              and Puducherry, Lieutenant Governor           determining priorities. Jawaharlal Nehru
                                             of Andaman and Nicobar and vice               was the first Chairman of the Planning
¡¡   At the core of NITI Aayog’s creation                                                  Commission.
                                             chairman nominated by the Prime
     are two hubs – Team India Hub                                                         Finance Commission after emergence of
                                             Minister. In addition to full members,
     and the Knowledge and Innovation                                                      NITI Aayog
                                             there are two parttime members and
     Hub. The Team India Hub leads                                                         The abolition of the Planning Commission
                                             four exofficial members and a chief
     the engagement of states with                                                         paves the way for restoring the role of the
                                             executive officer. The temporary              Finance Commission to assess the total
     the Central government, while the
                                             members are selected from the leading         requirements of the states in the revenue
     Knowledge and Innovation Hub            universities and research institutions.       account without making a distinction
     builds NITI’s thinktank capabilities.                                                 between plan and nonplan spending.
                                                 In essence, effective governance in
     These hubs reflect the two key                                                        However, the Finance Commission does
                                             India will rest on following ‘pillars’:       not have a comparative advantage in
     tasks of the Aayog.
                                             ¡¡   Pro-people agenda that fulfils the       recommending specific purpose transfers
¡¡   Coordination costs are higher when                                                    unless it is made a permanent body.
                                                  aspirations of the society as well as
     there are coalition governments                                                       Of course, the constitutional provision
                                                  individual.                              does not require it to be a temporary
     and the parties in power in the
                                             ¡¡   Pro-active in anticipating      and      body – Article 280 simply states that the
     states are different from that of                                                     commission should be appointed every five
     the centre.                                  responding to their needs.
                                                                                           years or earlier; the appointed commission
    There is an urgent need for              ¡¡   Participative, by involvement of         can continue until the new commission
an institution to promote healthy                 citizenry.                               is appointed. However, so long as the
                                                                                           Finance Commission continues to be a
intergovernmental competition while          ¡¡   Inclusion of all groups.
                                                                                           temporary body, the NITI Aayog will have
preventing the “race to the bottom”.         ¡¡   Equality of opportunity to our           a role in designing and implementing these
All these underline the need for an               country’s youth.                         programmes.

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economy and for different sectors; (iii)   in the system. The NITI Aayog was               the innovation ecosystem in India.
acting as a knowledge and innovation       formed to bring fresh ideas to the              With its current mandate that
hub and providing research inputs by       government. Its first mandate is to         is spread across a range of sectors
undertaking and accessing globally         act as a think tank. It can be visualised   and activities, and with its unique
available research; and (iv) providing     as a funnel through which new and           and vibrant work culture, NITI Aayog
a platform for interdepartmental           innovative ideas come from all possible     remains an integral and relevant
coordination.                              sources — industry, academia, civil         component of the government’s plans
    The second contradiction was           society or foreign specialists — and        to put in place an efficient, transparent,
between the centralised command            flow into the government system for         innovative and accountable governance
over resource allocation and the           implementation.                             system in the country.
developmental role of the states in a      ¡¡ Initiatives like Ayushmaan Bharat
federal polity. The end of single party        and the draft bill to establish the     Argument against the NITI
rule and the emergence of coalition            National Medical Commission to          Aayog
governments and regional parties               replace the Medical Council of India    In the original Nehruvian vision, the
as members of the central coalition            have all been conceptualised in NITI    public sector was entrusted with the
brought to the fore the contradiction          Aayog and are being taken forward       economy, given the weak market
between centralised planning in a              by the respective Ministries. In that   mechanism which was dominated by
federal framework. The response                sense, NITI Aayog as an action tank     mercantile capital and a feudalistic
of the central government was to               rather than just a think tank.          system, especially in rural areas.
further centralise even by intruding                                                   Even then, the Planning Commission
                                           ¡¡ By collecting fresh ideas and
into the legislative domains of the                                                    controlled only half of the total
                                               sharing them with the Central
states by various means including                                                      investment in India, since what was
                                               and state governments, it pushes
the proliferation of CSS. The                                                          consciously adopted was a mixed
                                               frontiers and ensures that there is
consequence of the above was that the                                                  economy system. It also fitted well
                                               no inertia, which is quite natural
two important sources of economic                                                      with our republican democratic
                                               in any organisation or institution.
dynamism, the private sector and the                                                   Constitution. India cannot transform
states, had to function in a constrained       If it succeeds, NITI Aayog could
                                               emerge as an agent of change over       with new ideas without having a
environment.
                                               time and contribute to the Prime        paradigm of planning for development.
How different it is from                       Minister’s agenda of improving          ¡¡ The rise of neoliberalism, the

Planning Commission?                           governance and implementing                 decline of erstwhile socialist
                                               innovative measures for better              regimes worldwide, and the rise of
The major differences between NITI
                                               delivery of public services.                right-wing market fundamentalists
Aayog and Planning Commission are:
                                           ¡¡ It also work to cut across the               within the country paved the way
¡¡ Role of States increased, which was
                                               silos within the government. NITI           for the demise of the Planning
   limited in Planning commission.                                                         Commission. Its replacement by
                                               Aayog is best placed to achieve
¡¡ Planning    Commission followed                                                         NITI Aayog looks more apologetic
                                               this convergence across a number
   topdown approach while Niti Aayog           of Ministries and between Central           than substantial for the task of
   is based on Bottom –up approach             and state governments and push              transforming a deeply unequal
   of policy formation.                        the agenda forward.                         society into a modern economy
¡¡ While the Planning Commission                                                           that ensures the welfare of all its
                                           ¡¡ NITI Aayog has established a
   used to formulate Government                Development Monitoring and                  citizens, irrespective of their social
   Plans, NITI Aayog is mainly                 Evaluation Office which collects            identity.
   responsible for evaluating the                                                      ¡¡ It has no role in influencing, let
                                               data on the performance of various
   implementation of programmes.                                                           alone directing, public or private
                                               Ministries on a real-time basis. The
¡¡ The      Planning      Commissions          data are then used at the highest           investment. It does not seem to
   function of allocating funds to             policymaking levels to establish            have any influence in policymaking
   States has been scraped in this new         accountability       and     improve        with long-term consequences (for
   arrangement.                                performance and improving the               instance, demonetisation and the
                                               efficiency of governance.                   Goods and Services Tax).
Argument in favour of the
                                           ¡¡ The     Atal Innovation Mission,         ¡¡ NITI Aayog is supposed to be a
NITI Aayog
                                               which is also established under             think tank. This implies that while
It is introducing new ideas and bringing       NITI Aayog, has already done                generating new ideas, it maintains
about a greater level of accountability        commendable work in improving               a respectable intellectual distance

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     from the government of the day.      became the “factory of the world” —        important to transform them to meet
     Instead, what we see is uncritical   backed by an industrial policy driven      the new require ments.        Similarly,
     praise of government-sponsored,      by the National Development and            the       Constitution requires     the
     acronym-infested schemes.            Reforms Commission. Similarly, in          establishment of district planning
¡¡   It sings paeans to the virtues of    all East Asian and Southeast Asian         committees and metropolitan planning
     the private corporate sector as      countries, industrial policy was           committees. Their role in the new
                                          planned and executed as part of five-      environment needs to be specified.
     the saviour of the Indian economy
                                          year or longer-term plans. It was          Although the cabinet resolution states
     without realising, let alone
                                          precisely because these countries had      that NITI Aayog will facilitate grass
     appreciating, the foundational and
                                          planning institutions which went hand      roots planning, how exactly this will be
     socially oriented contribution of
                                          in hand with industrial policy that they   carried forward needs to be seen.
     India’s vast public sector.
                                          managed to steer policies through
                                          turbulent times in the global economy,          If NITI Aayog is to implement
Achievement of NITI Aayog                                                            such a strategy within a planning
                                          thus sustaining growth.
The NITI Aayog established with                                                      framework in India, two major changes
                                               In most of Latin America/
the aim to achieve Sustainable                                                       in governance structures are needed.
                                          Caribbean (LAC) countries and in
Development Goals and to enhance                                                     First, planning will have to become
                                          Subsaharan Africa (SSA), two full
cooperative federalism by fostering                                                  more decentralised, but within a
                                          decades of potential economic growth
the involvement of state governments      and human development were lost            five-year plan framework. Second,
of India in the economic policy-making    when per capita income barely rose         bureaucracy will need to change
process using a bottom-up approach.       even as populations continued to           from generalist to specialist, and its
Its initiatives include "15 year road     grow. These countries abandoned            accountability will have to be based on
map", "7-year vision, strategy and        planning and became captives of the        outcomes achieved, not inputs or funds
"3 year action plan", AMRUT, Digital      Washington Consensus. On the other         spent. NITI Aayog should spell out how
India, Atal Innovation Mission, Medical   hand, the important identifier of East     these reforms will be implemented.
Education Reform, agriculture reforms     Asian and Southeast Asian countries,            The success of the institution
(Model Land Leasing Law, Reforms of       which did not experience such “lost        in achieving interministerial, inter-
the Agricultural Produce Marketing        decades” in the 1980s and 1990s, were      departmental coordination will depend
Committee Act, Agricultural Marketing     their planning structures, backed by       on the trust and cooperation it receives
and Farmer Friendly Reforms Index         an industrial policy and implemented       from them and the harmony with
for ranking states), Indices Measuring    by learning bureaucracies. That is how     which the Aayog and various ministries
States’ Performance in Health,            they were able to ride the wave of their   work. There could be tensions
Education and Water Management,           demographic dividend, which comes          between the technocrats in the Aayog
Sub-Group of Chief Ministers on           but once in the life of a nation. India    and various ministers on the one hand
Rationalization of Centrally Sponsored    cannot risk going the LAC/ SSA way,
                                                                                     and between the technocrats and
Schemes,       Sub-Group     of   Chief   since it is already past the midpoint of
                                                                                     bureaucrats on the other. There is also
                                          its dividend.
Ministers on Swachh Bharat Abhiyan,                                                  the danger of bureaucratisation of the
Sub-Group of Chief Ministers on                While East Asian and Southeast        Aayog. Similarly, success in fostering
Skill Development, Task Forces on         Asian countries still had and have,        cooperative federalism will depend
Agriculture and Elimination of Poverty    five-year plans, what was also integral    on the trust of and cooperation from
                                          to their planning was productive use
and Transforming India Lecture Series,                                               the states. In particular, the first Aayog
                                          of labour, through an export-oriented
were some of work done by NITI Aayog                                                 will have a tremendous task of shaping
                                          manufacturing strategy. It was this
ofter its formation.                                                                 the character and charting a course
                                          strategy that was lacking in India’s
    Learning from the experience of                                                  to make it an important institution
                                          planning. Giving ‘planning’ per se a bad
the now-industrialised countries, the                                                in Indian fed eral polity to transform
                                          name for poor policy is indicative of an
Chinese state ensured that after its                                                 India.
                                          ahistorical understanding of planning.
market-oriented economic reforms
began, its State Planning Commission      Conclusion                                        General Studies Paper- II
became more powerful in the state         The legacy issues do not end merely         Topic: Statutory, regulatory and
apparatus. The result was growth          with the abolition of the Planning           various quasi-judicial bodies.
and poverty reduction on a scale          Commission. There are parallel
unprecedented in history. China           institutions in the states and it is                        mmm

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  3. AYUSHMAN BHARAT: TO CHANGE INDIA'S HEALTHCARE LANDSCAPE

Why in News?                                 supply cannot therefore, be left to be       its population has universal access
                                             regulated solely by the invisible hand       to good quality health care services
India takes a giant leap towards
                                             of the market. Nor can it be established     without anyone having to face financial
providing accessible and affordable          on considerations of utility maximizing      hardship as a consequence.
healthcare to the common man with            conduct alone.
the launch of Ayushman Bharat –                                                           Background
                                                  Healthcare has become one of
Pradhan Mantri Jan AarogyaYojana (AB-
                                             India's largest sectors both in terms        In the matter of inclusion, over 15
PMJAY) by the Prime Minister, on 23rd
                                             of revenue and employment. During            years ago, the Vajpayee government
September, 2018 at Ranchi, Jharkhand.
                                             2008-22, the market is expected to           commissioned the Institute of Health
This is the “world’s largest government
                                             record a Compound Annual Growth              Systems (IHS), Hyderabad to develop a
funded healthcare program” targeting
                                             Rate (CAGR) of 16.28 per cent. The           ‘family welfare linked health insurance
more than 50 crore beneficiaries.
                                             total industry size is expected to touch     policy’. In 2003, the Director of the
Introduction                                 US$ 160 billion by 2017 and US$ 372          IHS Hyderabad delivered a broad-
                                             billion by 2022. Indian companies are        based Family Health Protection Plan
Health and health care need to be
                                             entering into merger and acquisitions        (FHPP), open to all individuals. The
distinguished from each other for no
                                             with domestic and foreign companies          fact is that any discourse on universal
better reason than that the former
                                             to drive growth and gain new markets.        health care in India gets stymied by
is often incorrectly seen as a direct
                                             The hospital industry in India stood at      the sheer size and ambivalence of the
function of the latter. Heath is clearly
not the mere absence of disease.             Rs 4 trillion (US$ 61.79 billion) in 2017    numbers involved. This 2003 solution
Good health confers on a person or           and is expected to increase at a CAGR        of the Vajpayee-era recommended,
groups freedom from illness - and            of 16-17 per cent to reach Rs 8.6 trillion   inter alia , that good governance lies
the ability to realize one's potential.      (US$ 132.84 billion) by 2023.
                                                                                          in aligning the income lines for health
Health is therefore best understood               India has achieved significant          and housing. In other words, de-link
as the indispensable basis for defining      public health gains and improvements         entitlement to health care from the
a person's sense of well being. The          in health care access and quality over       poverty line. In that event, the income
health of population is a distinct key       the last three decades. The health           lines for housing (updated from time
issue in public policy discourse in          sector is amongst the largest and            to time), could be simultaneously
every mature society. They include its       fasting growing sectors, expected to         applicable for health entitlement.
cultural understanding of ill health and     reach US$ 280 billion by 2020. At the        The government could then proceed,
well-being, extent of socio-economic         same time, India’s health sector faces       as per capacity, to scale the health
disparities, reach of health services        immense challenges. It continues to          premium subsidy in line with housing
and quality and costs of care and            be characterized by high out-of-pocket
                                                                                          categories — economically weaker
current bio-medical understanding            expenditure, low financial protection,
                                                                                          sections (entitled to 75-90%), lower
about health and illness.                    low health insurance coverage amongst
                                                                                          income (entitled to 50%), and middle
     Health care covers not merely           both rural and urban population. It is a
                                                                                          income groups (entitled to 20%).
medical care but also all aspects of         matter of grave concern that we incur
pro preventive care too. Nor can it be       a high out-of-pocket expenditure on              For the government, Ayushman
limited to care rendered by or financed      account of health and medical costs.         Bharat is an attempt at creating
out of public expenditure- within the        62.58% of our population has to pay for      purchasing capacity among the poor.
government sector alone but must             their own health and hospitalization         There are two ways of tackling the
include incentives and disincentives         expenses and are not covered through         problem of affordable healthcare. It’s
for self care and care paid for by private   any form of health protection. Besides       either by financing services to keep
citizens to get over ill health. Where                                                    price affordable or by financing the
                                             using their income and savings, people
as in India, private out-of-pocket                                                        paying capacity of people. The first
                                             borrow money or sell their assets to
expenditure dominates the cost of
                                             meet their healthcare needs, thereby         idea hasn’t worked as more than 70%
financing health care, the effects are
bound to be regressive. Health care at       pushing 4.6% of the population below         of the healthcare is concentrated in
its essential core is widely recognized      the poverty line. The government of          the private sector. It’s a known fact
to be a public good. Its demand and          India is committed to ensuring that          that government facilities suffers from

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acute shortage of human resources so              ¾¾   In May 2018, the government of India       Health Care (CPHC), covering both
the old school model of government-                    approved financial outlay of Rs 14,832     maternal and child health services and
run clinics hasn’t worked. It was against              crores (US$ 2.30 billion) for FY2017-18    non-communicable diseases, including
                                                       to FY2019-20.                              free essential drugs and diagnostic
this backdrop that Rashtriya Swasthya
                                                  ¾¾   In May 2018, the government of             services.
Bima Yojana (RSBY) was designed.                       India approved Rs 1,103 crore (US$
    However, RSBY (which preceded                      170.14 million) for setting up All India       Financial     protection     from
PMJAY) got plagued by a host of issues.                Institute of Medical Sciences (AIIMS)      catastrophic     expenditure:      71st
                                                       in Deoghar, Jharkhand.                     Round of National Sample Survey
“The cover of Rs. 30,000 was found
                                                  ¾¾   In March 2018, the Union Cabinet           Organization (NSSO) has found
to be low and many states started                      of India approved the continuation
introducing their own scheme with                      of National Health Mission with a
                                                                                                  85.9% of rural households and 82%
a higher cover and it covered tertiary                 budget of Rs 85,217 crore (US$ 13.16       of urban households have no access
care as well,” said Malti Jaswal, former               billion) from 1st April 2017 to 31st       to healthcare insurance/assurance.
                                                       March 2020.                                PMJAY primarily targets approximately
chief operating officer of Health
                                                  ¾¾   In April 2018, the government of           10.74 crore identified the poor,
Insurance TPA of India Ltd, who now is                 India approved to sign Memorandum          deprived rural families and identified
consulting on Ayushman Bharat.                         of Understanding (MoU) with the
                                                       medical agencies of BRICS countries        occupational category of urban
    Apart from focusing only on                                                                   workers’ families as per the latest
                                                       for cooperation in the field of medical
insurance cover, the government,                       products.                                  Socio-Economic Caste Census (SECC)
under PMJAY, is establishing wellness             ¾¾   In April 2018, the government of India     data for both rural and urban areas as
centres that will focus on primary,                    apprised the signing of Memorandum         well as the active families under the
preventive and promotive healthcare                    of Agreement (MoA) between India
                                                       and World Health Organisation to
                                                                                                  Rashtriya Swasthya BimaYojana (RSBY).
through public facilities.     Further,
                                                       facilitate in improving public health in        Hospitalization cover and post
Ayushman Bharat not only provides a                    India                                      hospitalisation care: The objectives of
comprehensive cover, but its sheer size                                                           the Yojana are to reduce out of pocket
can pull the pricing down.                       Pradhan Mantri Jan Arogya                        hospitalisation expenses, fulfil unmet
                                                 Yojana                                           needs and improve access of identified
         Health Initiatives in india
                                                 Universal health coverage is getting             families to quality inpatient care and
 Some of the major initiatives taken by the
 government of India to promote Indian           prioritised as a part of political reform        day care surgeries. The Yojana will
 healthcare industry are as follows:             with the launch of two pillars of the            provide a coverage up to Rs. 5,00,000
 ¾¾   In August 2018, the government of          Pradhan Mantri Jan Arogya Yojana                 per family per year, for secondary and
      India has approved Ayushman Bharat-        (PMJAY): Ayushman Bharat (AB), where             tertiary care hospitalization through
      National Health Protection Mission                                                          a network of Empanelled Health Care
                                                 1.5 lakh health sub-centres are being
      as a centrally sponsored scheme
                                                 converted into health and wellness               Providers (EHCP).
      contributed by both center and state
      government at a ratio of 60:40 for all     centres; and the National Health                     Pradhan Mantri Jan Arogya
      states, 90:10 for hilly North Eastern      Protection Mission (NHPM), which                 Yojana in alliance with the States: The
      states and 60:40 for Union Territories     aims to provide health cover of Rs. 5            scheme architecture and formulation
      with legislature. The center will
      contribute 100 per cent for Union          lakh per family, per annum, reaching             has undergone a truly federal process,
      Territories without legislature.           out to 500 million people.                       with stakeholder inputs taken from all
 ¾¾   The government of India has launched                                                        States and UTs through the national
      Mission Indradhanush with the aim of       Features of the Scheme                           conclaves, sectoral working groups,
      improving coverage of immunisation             Ayushman Bharat- Pradhan Mantri              intensive field exercises and piloting of
      in the country. It aims to achieve
                                                 Jan Arogya Yojana (PMJAY) will provide           key modules. States have the option to
      atleast 90 per cent immunisation
      coverage by December 2018 which            a cover of up to Rs. 5 lakhs per family          use an existing trust/society or set up
      will cover unvaccinated and partially      per year, for secondary and tertiary care        a new trust/society to implement the
      vaccinated children in rural and urban     hospitalization. It adopts a continuum           scheme as state health agency and will
      areas of India.                                                                             be free to choose the modalities for
                                                 of care approach, comprising of two
 ¾¾   In April 2018, the government of India                                                      implementation.
                                                 inter-related components: Creation of
      apprised the signing of Memorandum
      of Agreement (MoA) between India           1,50,000 health and wellness centres                 Fraud detection and Data privacy:
      and World Health Organisation to           which will bring health care closer to           Detailed guidelines have been
      facilitate in improving public health in   the homes of the people. These centres           prepared to address the issues around
      India.                                     will provide Comprehensive Primary               potential fraudulent activities that

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could be committed by any individual        district hospitals to government            largely to poor regulation that failed
or organization.                            medical colleges and teaching hospitals     to check insurers cutting corners or
    Anti-fraud cells will be established    will enhance capacities at the district     medical procedure inflation on the part
at the national and state level, and        level. Service providers will become        of health providers looking for a heftier
strong IT tools will be deployed to         accountable for cost and quality if they    insurance payout.
prevent and detect fraud.                   are bound to the nuts and bolts of good          In the absence of healthcare
                                            governance outlined above.                  regulations, some believe that PMJAY
     IT systems update: Beneficiary
Identification System (BIS) has been             The lack of proper hospitals in        will meet with little success. But for
developed to identify and verify the        smaller towns and few empanelled            others, the sheer magnitude of the
beneficiaries at CSCs and point of          hospitals, can lead to unhappy              scheme will herald much needed
care. Transaction Management System         experiences. While PMJAY creates            health insurance regulations. Indeed,
(TMS) has been developed to facilitate      demand, it will need to provide             the architecture of PMJAY inspires
transactions from hospitals (such as        supply—for that to happen, the private      hope. “For the first time we have
filing pre-authorization requests and       sector will have to rise to the occasion.   seen the focus on national pricing for
claims submission).                         The immediate challenge is to get the       health services, standardized protocols
                                            private sector to participate. Ayushman     and coding. It has led to the creation
Challenges                                  Bharat, at present, has about 8,500         of an independent body (National
The NHPM is pushing for hospitalisation     hospitals empanelled, and this includes     Health Agency) that will coordinate
at secondary- and tertiary-level private    public hospitals as well. According to      and improve the scheme over time,
hospitals, while disregarding the need      experts, there are about 30,000-40,000      through investments in a robust IT
for eligible households to first access     eligible hospitals in the country.          infrastructure. “If successful, this can
primary care, prior to becoming ‘a               The population is underserved          well be replicated for the remaining
case for acute care’. We are in danger      when it comes to healthcare. This           60% of the population on a contribution
of placing the cart (higher level care)     means that many of its healthcare           basis. The scheme also gives incentives
before the horse (primary care). The        needs are either unrealized or taken        to hospitals that get accredited for
National Health Policy 2017 proposed        care of outside the formal healthcare       quality.
“strategic purchasing” of services from     system. If Ayushman Bharat is able              The next issue relates to the
secondary and tertiary hospitals for a      to deliver on the outreach and              desirable level of public expenditure
fee.                                        infrastructure front, a rise in walk-ins    towards health services. China devotes
     The “best health care at the           and the subsequent realization of risk      4.5% to its GDP as against India devoting
lowest possible cost” should be:            are inevitable.                             5.1%. But this hides the fact that in
inclusive; make health-care providers           Another challenge with regard           China, public expenditure constitutes
accountable for cost and quality;           to Ayushman Bharat relates to               38% whereas in India, it is only 15% of
achieve a reduction in disease burden,      unavailability of data with insurers.       total health expenditure. An optimistic
and eliminate catastrophic health           Insurers live and die by data—actuaral      forecast would be that the level of
expenditures for the consumer. All of       databases that allow them to calculate      public expenditure will be raised
this is not happening overnight simply      probability distributions for different     progressively such that about 30% of
because an audacious, nation-wide           health risks and treatments. No such        total health expenditure would be met
health-care programme is on the anvil.      data exists in India for the vast segment   out of public funds by progressively
    The credo for participating private     of the population that Ayushman             increasing the health budget in states
providers should be “mission, not           Bharat will cover.                          and the central and charging user
margin”. Health-care providers (public/         The travails of Ayushman Bharat’s       fees in appropriate cases. The figure
private) should be accredited without       predecessor, the Rashtriya Swasthya         mentioned would perhaps correspond
any upper limit on the number of service    Bima Yojana (RSBY), point to another        to the proportion of the population
providers in a given district. The annual   challenge. RSBY’s outcomes were             which may still need assistance is social
premium for each beneficiary would          unflattering. In targeting and effects      development.
be paid to those service providers, for     of Rashtriya Swasthya Bima Yojana on
up to one year only (renewable), as         access to care and financial protection,    Conclusion
selected by beneficiaries. The resultant    it had failed both in targeting and in      Elimination of catastrophic health
competition would enhance quality           reducing health-related poverty in the      expenditures for the consumer can
and keep costs in check. Upgrading          households it did reach. This was down      come about only if there is sustained

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effort to modernise and transform the       address a majority of community/             The scaleable and inter-operable
primary care space. Bring together all      individual health needs. The health          IT platform being readied for the
relevant inter-sectoral action linking      and wellness clinics must connect            Ayushman Bharat is encouraging. As
health and development so as to             with early detection and treatment.          we integrate prevention, detection
universalise the availability of clean      Robust delivery of preventive, clinical      and treatment of ill-health, the PMJAY
drinking water, sanitation, garbage         and diagnostic health-care services          will win hearts if people receive a well-
disposal, waste management, food            will result in early detection of cancers,   governed ‘Health for All’ scheme.
security, nutrition and vector control.     diabetes and chronic conditions,
The Swachh Bharat programme must            mostly needing long-term treatment
be incorporated in the PMJAY. These         and home care                                       General Studies Paper- II
steps put together will reduce the              Technology and innovation are             Topic: Issues relating to development
disease burden.                             further reducing costs. AI-powered            and management of Social Sector/
                                                                                          Services     relating     to    Health,
    Kerala and Tamil Nadu have              mobile applications will soon provide
                                                                                          Education,      Human        Resources.
demonstrated that high-performing,          high-quality,    low-cost,    patient-
primary health-care systems do              centric and smart wellness solutions.                        mmm

          4. INDIA AND MALDIVES: REBUILDING THE RELATIONSHIP
Why in News?                                in the Indian Ocean commenced its            consists of 1192 islands out of which
                                            journey toward a controlled regime.          about 200 hundred are inhabited.
On September 23, 2018, the Maldives’
                                            Jailing rivals and judges, cracking down     The other remaining islands are used
joint opposition coalition candidate
                                            on dissent, suppression of freedom of        either for tourism or agriculture.
Ibrahim Mohamed Solih emerged
                                            speech and expression and stringent          Maldives is spread over roughly 90,000
victorious in the presidential elections.
                                            media control, were increasingly visible     square kilometres and is one of the
Voters in Maldives have decisively
                                            facets of Yameen’s presidential tenure.      world’s most geographically dispersed
ensured that their country remains                                                       countries. It is the smallest south
firmly within the comity of democratic      Moreover, the country seemed to be
                                            drifting out of the political orbit of the   Asian country in both land area and in
nations, by voting out incumbent                                                         population. The Maldivian islands have
and controversial President Abdulla         United States, the United Kingdom and
                                            India, and toward China.                     an average groundlevel elevation of
Yameen. The result also validates                                                        1.5 meters above sea level that makes
India’s strategic patience to await              Solih campaigned in the election        it the lowest country of the planet.
the election result, without being          on the promises of reviving the              Historically, this country has been
stampeded into any intervention in the      economy, putting a check on rising           linked to the Indian subcontinent.
domestic affairs of a friendly neighbour.   extremism,       reviving    democratic
                                                                                             The islands gained independence
The election result will reopen avenues     institutions and rebuilding ties with
                                                                                         from the United Kingdom in 1965,
for mending fences and bringing India-      the Maldives’ neighbours, especially
                                                                                         becoming a republic in 1968. Maldives
Maldives ties to an even keel.              India. International media simplified        became a member of the United
                                            the election battle into a choice            Nation in 1965 and is one of the
Introduction                                between “pro-China” Yameen and               founding members of the South Asian
In the third multi-party presidential       “pro-India” Solih. Some analysts are of      Association for Regional Cooperation
election, democratic values, institutions   the opinion that with the victory of the     (SAARC). It is also a member of the
and the survival of both were at stake.     “pro-India” candidate, India is assured      Commonwealth of Nations, the
New President-elect Solih is viewed         greater engagement with its Indian           Organization of Islamic Cooperation
as a clean and efficient lawmaker in        Ocean neighbour and convergence of           (OIC) and the Non-Aligned Movement.
the Maldives, where corruption and          interests in the region, which indirectly
nepotism remain prominent issues.           means a lessening of China’s influence.      Importance of Maldives
The dwindling state of the economy                                                           The importance of the Maldives
and popular protests had brought
                                            Background                                   is because of its crucial geo-strategic
Yameen to power as the Maldives’            The Maldivian islands are situated           location. It sits astride important Sea
President in 2013 after Nasheed             close to the South-Western tip of the        Lanes of Communication (SLOCs). The
resigned. Then the fragile democracy        mainland India. The archipelago nation       world’s three major economies China,

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Japan and India depend for their                 The strategic significance of
energy supply on the Gulf oil. This         Maldives for India has been growing
further enhances the importance of          over the last many years. In addition
the Maldives.                               to the growing influence of China in
     The Indian Ocean has always been       the country, Maldives has been getting
crucial to global connectivity and          increasingly radicalized and coming
all world powers have sought their          under the influence of fundamentalist
presence here. Now China too claims         Wahhabi ideology. Islamic State (IS)
status of a global power. It also wants     and Lashkar-e-Taiba are also reported
to be a maritime power. To prevent          to have established bases in the             on its part, still claims that it sees its
Chinese from enhancing their influence                                                   security interests through the lens of
                                            country. Several hundred young men
in the Maldives, Americans are playing                                                   India and Sri Lanka, but other powers
                                            and women have deserted their homes
their own games.                                                                         too want to be its security partners,
                                            to fight for the IS in Syria and Iraq. The
India and Maldives Relations                rapid growth of radical Islam in India’s     namely China and the US.
                                            vicinity is a matter of serious concern          Certainly, American presence in
India’s relations with Maldives have
                                            for India and for regional security.         the Maldives would have dramatically
been frayed for some time and
                                                                                         changed the strategic landscape of
particularly since 2012 when Nasheed,           In addition, India has about 25,000
                                                                                         the IOR. However, from the Indian
the first democratically elected            Indian expatriates in Maldives who are
                                                                                         perspective, to counter increasing
President, was deposed by force and         engaged in a number of professional          Chinese naval presence in the Indian
Abdullah Yameen became President in         pursuits. Their safety and security is a     Ocean, welcoming increased US military
2013 after a highly controversial and       matter of acute concern. India could be      presence in the region may not be a very
dubious election. Since then, Maldives      forced to take some military action if its   judicious idea. It is not necessary that
has progressively cosied up to China
                                            nationals come under imminent threat.        increased American military presence
at the expense of India. This started
                                            No indication of this has been evident       in the Indian Ocean region would be
with the cancellation of the Indian
                                            so far.                                      benign and to India’s advantage. It
company GMR’s contract for building
                                                As in Malaysia, where a pro-Beijing      may only create further complications
Male airport and awarding it to China
                                            regime was ousted in recent elections,       for the Indian foreign policy towards
during President Xi Jinping’s 2015 visit.
                                                                                         the Maldives and worsen rivalry
Yameen has enthusiastically boarded         Mr Solih’s victory is expected to lead
                                                                                         among external powers in the IOR.
the bandwagon of the Maritime Silk          to intensified scrutiny of China’s
Road initiative launched by China in        investments in the Maldives. For                  India is trying to develop
2013. During Yameen’s presidency,           India, which has described Mr Solih’s        cooperative structures in the IOR
Maldives has leased out several islands                                                  through Indian Ocean Rim Association
                                            win as the triumph of democratic
to China which could be used for                                                         (IORA), Bay of Bengal Initiative for
                                            forces, the latest developments
building bases as part of the “string                                                    Multi-Sectoral Technical and Economic
                                            provide an opportunity to forge a
of pearls” strategy to encircle India                                                    Cooperation (BIMSTEC) and more
                                            closer relationship with the new
and reduce its influence. The latest                                                     recently through the trilateral maritime
                                            administration                               agreement with Sri Lanka and the
development in this narrative was the
signing of an Free Trade Agreement          Impact on the Security                       Maldives. However, the desire of China
(FTA) with China after a suspiciously                                                    to become a maritime power has also
                                            Environment in the Indian Ocean
hurried approval by the Maldivian                                                        brought in competition in this region.
                                            Region (IOR)
Parliament.                                                                              The Chinese are already trying to
                                            India needs to tread cautiously in           project power by sending submarines
    India has two main interests in the
Maldives. It wants political stability in   promoting democracy in the Maldives          in the Indian Ocean. These submarines
the country. It also wants to prevent the   as the democratic transition in the          have docked at Colombo and Gwadar
Maldives from falling under influences      country has coincided with greater           and a submarine is also suspected to
(both state and non-state) that are         rivalry for the control of the IOR. The      have travelled in the Maldivian waters.
inimical to Indian security interests.      Chinese, of course, want to increase             For this, India needs an effective
The Indian foreign policy seems to be       their hold over the Maldives, especially     national maritime security strategy
facing difficulty in meeting both these     after losing their political influence in    that creates a synergy between its
objectives.                                 Sri Lanka and Myanmar. The Maldives,         foreign policy, the strength of Indian

 11                                                                                                        October 2018   A Issue-2
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Navy, and the domestic defence and           the China-built Hambantota Port to a          India can and should earn goodwill by
maritime industry which in turn can          Chinese company on a 99-year lease.           extending whatever assistance is asked
create lasting friendly relations with all   This has given China a long-term              of it as Mr Solih takes on the task of
littorals in the region.                     foothold very close to Indian shores.         rebuilding the fragile democracy in the
                                             This lesson has not gone unnoticed            Maldives.
Issues and Challenges
                                             in Maldives. The election result is a              India has been a timely friend
Maldives, which is famous for its high-      direct reflection of this concern and         for the Maldives, which is evident
end Indian Ocean resorts, has become         other mostly domestic issues. Solih           from numerous efforts by India in
a scene of strategic contestation            has also promised to review Chinese-          helping maintain stability in Male.
between India and China. This situation      funded projects to avoid being sucked         From “Operation Cactus” in 1988 to
has been leavened by Maldivian               into a Chinese debt trap leading to           fending off a severe water crisis in
President Yameen Abdul Gayoom, who           unintended consequences.                      the island nation, India has played the
is trying to extricate his country from           But the establishment in India           role of a responsible neighbor. It is in
India’s arc of influence by building         should not forget that it is not so easy      India’s interest to continue with such
close a relationship with China.             to push aside China’s hard economic           critical engagements and work toward
    The root cause of the mistrust           power and its “debt-trap” diplomacy.          building confidence and assurances to
between India and the Maldives has           The case of Sri Lanka is a classic example.   the extent that Maldives emerges out
been the growing Chinese footprint           Even though the current establishment         of its “Big Brother Syndrome.”
on the archipelago. The geostrategic         tried to reassess the nature of Chinese            Moreover,             strengthening
significance of the Maldives lies            investments and reframe what it called        democratic institutions, infrastructure
in its proximity to the Sea Lines of         “unjust” conditions when it came to           support and capacity building should
Communication in the Indian Ocean.           power, Sri Lanka has to live with the         remain India’s priorities in engagement
More than 60% of trades and energy           reality of Chinese debt and its presence      with the Maldives. India has proved
supplies traverse via this. China’s          in the strategically located Hambantota       its commitments in the past with the
foothold in the Maldives became a sore       port. The case of Pakistan is somewhat        establishment of a medical complex,
point for India, as well as the USA. For     similar, where Islamabad has decided          the Indira Gandhi Memorial Hospital,
India, China’s spreading tentacles into      to go ahead with the China-Pakistan           in Male, as well as the Maldives’
the neighbourhood pose a strategic           Economic Corridor (CPEC) without
                                                                                           first institute of technical education
threat to the nation’s security given        any reassessment by the new
China’s hegemonic ambitions have                                                           which was set up as a grant-in-aid
                                             administration. China’s ubiquitous
been evident in the South China Sea.                                                       project of India in 1996. Policymakers
                                             presence in the Maldives cannot
The Maldives, under Yameen, emerged                                                        in India have a renewed chance
                                             be erased easily due to economic
second only to Pakistan for its growing                                                    for fruitful engagement with Male.
                                             entanglements. Moreover, the United
embrace of China. India’s neighbours                                                       This opportunity should not be lost
                                             States and the United Kingdom enjoyed
have all played the China card, to                                                         in weighing third parties’ interests
                                             more diplomatic dividend than India
varying degrees for balancing India.                                                       and involvement. India should act
                                             even when Nasheed was in power.
                                                                                           responsibly by allowing the internal
    The Chinese sponsored Belt and
Road Initiative (BRI) and dollops of         Way Forward                                   equations in the Maldives to settle
                                                                                           first and then engage constructively
hard cash doled out as bribes were           This election result is an opportunity
                                                                                           in the process of restoring democratic
the tools of geo-economic seduction          for India to gain some lost ground.
                                                                                           institutions. A stable Maldives is
to which Yameen and his collaborators        There should, however, be no doubt
                                                                                           essential for a stable neighborhood
succumbed easily. During Yameen’s            that even a friendly Solih government
                                                                                           across South Asia.
tenure, Pakistan and Saudi Arabia also       will continue to balance China and
became major players in the Maldives.        India, albeit in a more nuanced manner.
    China’s sustained effort to spread       China is likely to mount a major effort              General Studies Paper- II
its influence and create strategic           to protect its strategic investments and       Topic: India and its neighborhood-
beachheads in the Indian Ocean, has          ongoing projects in Maldives. Clearly,         relations.
led Sri Lanka into a debt trap which         some deft diplomacy will be required
was “resolved” by handing over of            to address a host of pressing issues but                      mmm

October 2018   A Issue-2                                                                                                          12
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