UPSC Essentials | Mains answer practice — GS 3 : Questions on significance of sea-based nuclear deterrence and role of the Indian rupee (Week 150)

QUESTION 1

Discuss the strategic significance of sea-based nuclear deterrence in India’s maritime security.

QUESTION 2

Discuss the role of the Indian rupee as an indicator of macroeconomic stability and investor confidence.

QUESTION 1: Discuss the strategic significance of sea-based nuclear deterrence in India’s maritime security.

Relevance: This topic is crucial for GS Paper 3 under Internal Security and Defence Technology. It reflects India’s evolving maritime doctrine amid rising geopolitical competition in the Indo-Pacific and the Indian Ocean Region.

Note: This is not a model UPSC answer. It only provides you with a thought process which you may incorporate into the answers.

Introduction:

— Recently, India commissioned its third nuclear-powered ballistic missile submarine (SSBN), INS Aridaman, which will significantly enhance its sea-based nuclear deterrent capabilities.

— INS Aridaman will join its predecessors, INS Arihant and INS Arighaat, which were inducted by the Indian Navy in 2016 and 2024 respectively. The latest induction also marks the first time India will have three operational SSBNs at sea and will also strengthen India’s nuclear triad.

Body:

You may incorporate some of the following points in your answer:

— A nuclear triad refers to a country’s ability to launch nuclear missiles from platforms in the air, land, and at sea. India can launch the nuclear-capable Agni 2, Agni 4, and Agni 5 missiles from land, fighter aircraft of the Indian Air Force — such as the Rafales, Su-30MKIs, and Mirage 2000s — can deliver nuclear warheads.

— The induction of the three SSBNs — INS Arihant, INS Arighaat, and INS Aridaman, with a fourth expected to be inducted soon — significantly strengthens India’s nuclear deterrence. Since a nuclear submarine can survive a nuclear attack and then launch a retaliatory strike, it acts as a very strong deterrent.

— Under its “No First Use” (NFU) policy, India is committed to using nuclear weapons only for deterrence and retaliation. In 2003, the Prime Minister’s Office issued a statement summarising India’s nuclear doctrine, and one of the points in it was to build and maintain a “credible minimum deterrent”.

— SSBNs are an essential component of the nuclear triad. As the third sea-based leg of the triad, they provide assured second-strike capability owing to their stealth and nature of deployments. For effective 24×7 deterrence, these submarines have to be omnipresent and ever-present to fulfil their role, when needed.

Conclusion:

— Among those with nuclear triad capabilities, India is now part of a select group of countries that includes the US, Russia, China, France, and the UK.

— Nuclear-propelled submarines can operate submerged under the sea for an indefinite period of time. Hence obviously, when deployed for nuclear deterrence, they have to be fully equipped, armed and they only silently await orders to launch their primary weapons.

(Source: With INS Aridaman, India strengthens nuclear triad: What is it, its security significance)

Points to Ponder

What is the significance of continuous at-sea deterrence for India’s strategic autonomy?

How does sea-based deterrence influence strategic stability and power balance in South Asia?

Related Previous Year Questions

With growing energy needs should India keep on expanding its nuclear energy programme? Discuss the facts and fears associated with nuclear energy? (2018)

Why is maritime security vital to protect India’s sea trade? Discuss maritime and coastal security challenges and the way forward. (2025)

QUESTION 2: Discuss the role of the Indian rupee as an indicator of macroeconomic stability and investor confidence.

Relevance: This issue is relevant to GS Paper 3 under Indian Economy. It connects current affairs with core concepts such as inflation, fiscal discipline, capital flows, and global economic trends.

Note: This is not a model UPSC answer. It only provides you with a thought process which you may incorporate into the answers.

Introduction:

— The value of the Indian rupee is more than just a price; it is a vital indicator of a country’s economic legitimacy, macroeconomic stability, and worldwide position.

— Its movement reflects both domestic fundamentals and global opinions of India’s economic power.

Body:

You may incorporate some of the following points in your answer:

— When a central bank shifts to an expansionary posture, the currency does not just settle at its new long-run value; it “overshoots” it, crashing violently before gradually appreciating again. For a country already dealing with a confidence crisis, this overshoot might set off a self-fulfilling prophecy of capital flight.

— To understand why currencies frequently fall further and quicker than fundamentals predict, Econ 101 recommends Rudi Dornbusch’s overshooting model. Dornbusch recognised that because goods prices are “sticky”, they fluctuate slowly, and because financial markets are “fluid”, exchange rates must do the heavy lifting in the short run to achieve equilibrium.

Role of the Indian rupee as an indicator of macroeconomic stability and investor confidence

— The rupee reflects macroeconomic stability. A stable currency indicates good economic management, which includes smart fiscal policies, controlled inflation, and a sustainable balance of payments. Persistent depreciation, on the other hand, may signal structural weaknesses such as external imbalances, rising import dependence, or declining competitiveness.

— The rupee has an important role in determining investor confidence. Currency stability is viewed by global investors as an indicator of policy legitimacy, institutional strength, and economic resilience. A falling rupee can reduce investor confidence, raise uncertainty, and discourage capital inflows.

Conclusion:

— India’s economy and the rupee have faced brutal currency storms before, like the Global Financial Crisis (GFC) in 2008-09 and the 2013 Taper Tantrum, and bounced back smarter.

(Source: Rupee is more than a measure of price. It’s also a barometer of credibility)

Points to Ponder

Why is the rupee considered a barometer of credibility and economic stability?

How do foreign exchange reserves contribute to rupee stability?

Related Previous Year Question

Craze for gold in Indians has led to a surge in import of gold in recent years and put pressure on balance of payments and external value of rupee. In view of this, examine the merits of Gold Monetization Scheme. (2015)

Previous Mains Answer Practice

UPSC Essentials: Mains answer practice — GS 3 (Week 148)

UPSC Essentials: Mains answer practice — GS 3 (Week 149)

UPSC Essentials: Mains answer practice — GS 2 (Week 148)

UPSC Essentials: Mains answer practice — GS 2 (Week 149)

UPSC Essentials: Mains answer practice — GS 1 (Week 148)

UPSC Essentials: Mains answer practice — GS 1 (Week 149)

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