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Important topics and their relevance in UPSC CSE exam for May 10, 2025. If you missed the May 9, 2025, UPSC CSE exam key from the Indian Express, read it here.
Syllabus:
Preliminary Examination: Current events of national and international importance
Mains Examination: General Studies-II: Important International institutions, agencies and fora- their structure, mandate
What’s the ongoing story: The International Monetary Fund (IMF) cleared a $1-billion tranche for Pakistan as part of its $7-billion Extended Fund Facility (EFF) lending program and $1.3 billion tranche under the Resilience and Sustainability Facility (RSF) in its board meeting held Friday.
Key Points to Ponder:
— What is the IMF?
— Understand the history and mandate for the formation of the IMF
— What are the functions of the IMF?
— What is the Extended Fund Facility (EFF) lending program?
— What are India’s concerns to frequent bailouts to Pakistan?
— How are the members’ voting powers decided in the IMF?
— What are the Special Drawing Rights?
— What are India’s concerns with the IMF?
Key Takeaways:
— India abstained from voting in the meeting as it raised concerns over the efficacy of IMF programmes for Pakistan given its “poor track record” and also on the possibility of “misuse of debt financing funds for state-sponsored cross-border terrorism”, an official release by the Ministry of Finance, Government of India said.
— India conveyed its “strong dissent” as the IMF reviewed the Extended Fund Facility (EFF) lending program ($1 billion) and also considered a fresh Resilience and Sustainability Facility (RSF) lending programme ($1.3 billion) for Pakistan.
— Each country of the 25-member IMF board has a vote but it is linked to the country’s economic size. In cases where a vote is required, the system does not allow a formal “no” vote. “Directors can either vote in favour or abstain. There is no provision to vote against a loan or proposal,” a source said.
— India opposed the frequent bailouts to Pakistan in the IMF board meeting, pointing out that such a track record calls into question either the effectiveness of the IMF programme designs for Pakistan or their monitoring or their implementation by Pakistan
— The Indian government also pointed out that Pakistan military’s deeply entrenched interference in economic affairs poses significant risks of policy slippages and reversal of reforms.
— Citing a UN report from 2021, the Indian government described military-linked businesses as the “largest conglomerate in Pakistan”.
— The IMF is financing a $7-billion aid package to Islamabad that was approved in September 2024. The ongoing 37-month long Extended Fund Facility programme of the IMF consists of six reviews over the span of the bailout.
Do You Know:
— According to the official website of the IMF, the IMF works to achieve sustainable growth and prosperity for all of its 191 member countries. It does so by supporting economic policies that promote financial stability and monetary cooperation, which are essential to increase productivity, job creation, and economic well-being. The IMF is governed by and accountable to its member countries.
— The IMF has three critical missions: furthering international monetary cooperation, encouraging the expansion of trade and economic growth, and discouraging policies that would harm prosperity. To fulfill these missions, IMF member countries work collaboratively with each other and with other international bodies.
— Unlike development banks, the IMF does not lend for specific projects. Instead, the IMF provides financial support to countries hit by crises to create breathing room as they implement policies that restore economic stability and growth.
— The Board of Governors, the highest decision-making body of the IMF, consists of one governor and one alternate governor for each member country. The governor is appointed by the member country and is usually the minister of finance or the governor of the central bank. All powers of the IMF are vested in the Board of Governors.
Other Important Articles Covering the same topic:
Previous year UPSC Prelims Question Covering similar theme:
(1) ‘Global Financial Stability Report’ is prepared by the (2016)
(a) European Central Bank
(b) International Monetary Fund
(c) International Bank for Reconstruction and Development
(d) Organization for Economic Cooperation and Development
(2) Which of the following organizations brings out the publication known as ‘World Economic Outlook’? (2014)
(a) The International Monetary Fund
(b) The United Nations Development Programme
(c) The World Economic Forum
(d) The World Bank
Previous year UPSC Mains Question Covering similar theme:
The World Bank and the IMF, collectively known as the Bretton Woods Institutions, are the two inter-governmental pillars supporting the structure of the world’s economic and financial order. Superficially, the World Bank and the IMF exhibit many common characteristics, yet their role, functions and mandate are distinctly different. Elucidate. (2013)
Syllabus:
Preliminary Examination: Economic and Social Development
Main Examination: General Studies II: Issues relating to the development and management of Social Sector/Services relating to Health, Education
What’s the ongoing story: The Supreme Court Friday said that while it can intervene if a state’s action or inaction related to the National Education Policy (NEP) violates any fundamental rights, it cannot issue directions under Article 32 of the Constitution compelling any state to adopt the policy.
Key Points to Ponder:
— What is the NEP? Why was it introduced?
— What are the important points of NEP?
— Is Education a state subject?
— Why are some states not implementing the NEP?
— What is the purpose of Article 32?
— Why Supreme Court can’t issue directives under Article 32 of the Constitution compelling any state to adopt the policy?
Key Takeaways:
— A bench of Justices J B Pardiwala and R Mahadevan said this while rejecting a PIL which sought court’s direction to Tamil Nadu and a few other states to implement the NEP. The bench said that it did not propose to examine the issue in the instant writ petition but may examine it in an appropriate proceeding.
— “Whether the States should adopt the National Education Policy 2020 or not is a vexed issue. The Supreme Court, through Article 32 of the Constitution, can issue directives to ensure that the rights of the citizens are protected. It cannot directly compel a State to adopt a policy like the National Education Policy 2020.” the Bench said.
Do You Know:
— An NEP is a comprehensive framework to guide the development of education in the country. The need for a policy was first felt in 1964 when Congress MP Siddheshwar Prasad criticised the then government for lacking a vision and philosophy for education.
— The same year, a 17-member Education Commission, headed by then UGC Chairperson D S Kothari, was constituted to draft a national and coordinated policy on education. Based on the suggestions of this Commission, Parliament passed the first education policy in 1968.
— The National Education Policy, 2020 is the third national education policy of the country. The first came in 1968 and the second in 1986, under Indira Gandhi and Rajiv Gandhi respectively; the NEP of 1986 was revised in 1992 when P V Narasimha Rao was Prime Minister. The third NEP is released under the Prime Ministership of Narendra Modi.
— The NEP proposes sweeping changes including opening up of Indian higher education to foreign universities, dismantling of the UGC and the All India Council for Technical Education (AICTE), introduction of a four-year multidisciplinary undergraduate programme with multiple exit options, and discontinuation of the M Phil programme.
— The NEP says students until Class 5 should be taught in their mother tongue or regional language.
Other Important Articles Covering the same topic:
📍Explained: India’s National Education Policy, 2020
📍Centre vs Tamil Nadu: We are having the wrong debate about language
UPSC Prelims Question Covering similar theme:
(3) Which of the following provisions of the Constitution does India have a bearing on Education? (2012)
1. Directive Principles of State Policy
2. Rural and Urban Local Bodies
3. Fifth Schedule
4. Sixth Schedule
5. Seventh Schedule
Select the correct answer using the codes given below:
(a) 1 and 2 only
(b) 3, 4 and 5 only
(c) 1, 2 and 5 only
(d) 1, 2, 3, 4 and 5
Syllabus:
Preliminary Examination: Current events of national and international importance
Mains Examination: General Studies-III: Security challenges and their management in border areas – linkages of organized crime with terrorism
What’s the ongoing story: Terrorism is a shared threat faced by the international community, said External Affairs Minister S Jaishankar while speaking on the occasion of the 80th victory day at the Russian Embassy in New Delhi.
Key Points to Ponder:
— What do you understand by terrorism?
— What is pluralism?
— What are the international and domestic laws against terrorism?
— What are the new forms of terrorism?
— What are the measures taken by India to curb terrorism?
— Why is international cooperation necessary to end terrorism?
— Why does terrorism continue to be a big problem for India?
Key Takeaways:
— “In the years that have passed much has changed as decolonisation has gathered pace. The membership of the UN has quadrupled. There has been a significant rebalancing of the global economy. The world has begun to return to pluralism,” said Jaishankar.
— “Excellencies, we meet at a time when India is confronting the challenge of terrorism – one that is a shared threat to the international community. I thank those who have expressed solidarity,” he said, adding that international cooperation is more important than ever today.
— Russian Ambassador to India, Denis Alipov, also spoke at the event. “Today is the occasion to salute the courage and endurance of all those who fought for victory. Soldiers, doctors, nurses and farmers…all those people who stood against evil. Our rejoicing is subdued by the price that was paid to rid the world of Hitler,” he said.
Do You Know:
— According to Loksabha questions, ‘Terrorist act’ is defined under section 15 of the Unlawful Activities (Prevention) Act, 1967 (UAPA). Further, section 2(1)(k) of the UAPA mentions that ‘terrorist act’ has the meaning assigned to it in section 15, and the expressions ‘terrorism’ and ‘terrorist’ shall be construed accordingly. An act of violence that is covered under section 15 of UAPA is an act of terror.
Other Important Articles Covering the same topic:
Previous year UPSC Mains Question Covering similar theme:
The scourge of terrorism is a grave challenge to national security. What solutions do you suggest to curb this growing menace? What are the major sources of terrorist funding? (2017)
Syllabus:
Preliminary Examination: Current events of national and international importance
Mains Examination: General Studies-III: Challenges to internal security through communication networks, role of media and social networking sites in internal security challenges, basics of cyber security; money-laundering and its prevention
What’s the ongoing story: In a meeting with top banking and insurance officials, and financial sector regulators Friday, Finance Minister Nirmala Sitharaman directed banks to conduct regular audits of their cybersecurity systems and data centres to ensure that all digital and core banking infrastructure is fully firewalled and monitored round the clock to prevent breaches or any hostile cyber activity.
Key Points to Ponder:
— What is cybersecurity?
— What is cyber terrorism?
— Learn about the different types of cyber terrorism
— Why is India at risk of cyber terrorism?
— What is India’s preparedness against cyber terrorism?
— Why is cybersecurity important for a nation?
Key Takeaways:
— The Finance Minister also asked banking executives to designate two dedicated senior officials, one for reporting all cyber-related matters and the other to ensure operational matters, including the functioning of bank branches and the availability of cash in ATMs.
— Both these officers should report any incident to the Indian Computer Emergency Response Team (CERT-In), the Reserve Bank of India, and the Department of Financial Services (DFS) on a real-time basis.
— Emphasising the critical role of the banking and financial sector in ensuring economic stability during heightened geopolitical tensions, Sitharaman directed all banks to remain fully alert and prepared to deal with any eventuality or crisis, ensuring uninterrupted access to banking and financial services for citizens and businesses across the country, especially in border areas.
— The banking executives informed the minister that their cybersecurity measures have been reinforced throughout the banking system. Anti-DDoS (Distributed Denial-of-Service) systems have been implemented by banks to protect against massive cyber-attacks.
— A DDoS is a cyberattack where an attacker overwhelms a website, server, or network with malicious traffic from multiple sources, making it slow or inaccessible to legitimate users.
Do You Know:
— The Kaspersky report released in February 2025, found that one in every three internet users in India were targeted by web-borne threats last year. Between January and December 2024, the company detected 4,43,72, 823 Internet-borne cyberthreats on computers of users in India.
— The changing geo-political and economic shifts have compelled the Indian government to take active steps to evolve in cyberspace. This includes key initiatives such as the National Cyber Coordination Centre, Cyber Surakshit Bharat, and National Critical Information Infrastructure Protection Centre. CERT-In, constituted in 20024, is the nodal agency for responding to computer security incidents when they occur.
— In 2018, the Ministry of Home Affairs established the Indian Cyber Crime Coordination Centre (I4C) as a national-level coordination centre to address cybercrime-related issues. In September 2024, four I4C platforms — Cyber Fraud Mitigation Centre (CFMC), the ‘Samanvaya’ platform, a Cyber Commandos programme and a Suspect Registry — were inaugurated by Home Minister. The centre was able to decline six lakh fraudulent transactions and saved Rs 1,800 crore through Suspect Registry.
— In recent years, the government has also increased the budget allocation to cybersecurity. However, challenges remain. There is a need for effective utilisation, transparency, and accountability in fund allocation. Collaboration between the government, industry, and academia is vital for a robust approach.
Other Important Articles Covering the same topic:
UPSC Prelims Question Covering similar theme:
(4) In India, it is legally mandatory for which of the following to report on cyber security incidents? (UPSC CSE 2017)
1. Service providers
2. Data centres
3. Body corporate
Select the correct answer using the code given below:
(a) 1 only
(b) 1 and 2 only
(c) 3 only
(d) 1, 2 and 3
Syllabus:
Preliminary Examination: Economic and Social Development-Sustainable Development, Poverty, Inclusion, Demographics, Social Sector Initiatives, etc.
Main Examination: General Studies II: Welfare schemes for vulnerable sections of the population by the Centre and States and the performance of these schemes; mechanisms, laws, institutions and Bodies constituted for the protection and betterment of these vulnerable sections.
What’s the ongoing story: Suhas Palshikar writes: With the Narendra Modi government conceding with poor grace the demand for caste census, the next stage in the shaping of a false consensus over “Mandal” seems imminent. The government’s decision is typical of the “dominant party syndrome” wherein such a party skilfully appropriates the more attractive plank of the Opposition, creates an environment of consensus on a politically and socially contested issue and in the process, robs that issue of its radical possibilities.
Key Points to Ponder:
— What is the caste census?
— Why was there a demand for conducting a caste census?
— What is the history of the caste census in India?
— Know the history of OBC reservation in India
— What is the Second Backward Classes Commission?
— What is the 103rd Constitutional Amendment Act?
— What is the role of caste in determining the electoral outcomes?
— What are the pros and cons of the Caste Census?
— How caste survey reignite the debate on affirmative action and social justice?
Key Takeaways:
— The life of “Mandal” has always been mired in controversy. The idea of a Second Backward Classes Commission came into being during a particularly non-consensual political atmosphere.
— The OBC leadership emerged subsequently, despite deep resistance from forward castes. The decision to implement OBC reservation was accompanied by large-scale societal and political upheavals. This churning was possible partly because the arena of competitive politics was not characterised by single-party dominance.
— For the past couple of years, Rahul Gandhi has been raising the pitch for a caste census and social justice. In doing so, he hoped to corner the BJP and win over the backward castes.
— What Congress achieved, however, was that it alerted the BJP to the dangers of obstinacy on the caste census question. The BJP had famously attacked the idea on the grounds of endangering Hindu unity and for being disruptive of the social order.
— A dominant party often does two things: It steals the issues from the Opposition and dilutes the contested issues by converting them into a false consensus. The BJP has sought to do both with its decision to go ahead with the caste census.
— The announcement that caste will be included in the next Census effectively postpones all serious discussion about caste being the key basis of social injustice and the need to take the caste factor into consideration in policy-making.
— Today, in the din of the caste census, that institutional mechanism is not even on the back burner. This is how the existence of a dominant pole in competitive politics shadows possibilities of innovative policy options.
Do You Know:
— The data collected in Censuses since 1951 include the numbers of individuals belonging to the Scheduled Castes (SCs) and Scheduled Tribes (STs), and of various religious denominations. But the members of caste groups other than SCs and STs have not been counted.
— The most recent caste data available is from the Census of 1931. The 1941 Census, carried out during the War, collected data on caste, but they were never released.
Ahead of the first Census of independent India, the government chose to avoid the question of caste. Thereafter, demands for a caste census were repeatedly raised, especially by parties who had a base among Other Backward Classes (OBCs), primarily farming communities and artisans.
— SECC is a study of socio economic status of rural and urban households and allows ranking of households based on predefined parameters. SECC 2011 has three census components which were conducted by three separate authorities but under the overall coordination of Department of Rural Development in the Government of India. Census in Rural Area has been conducted by the Department of Rural Development (DoRD).
— Census in Urban areas is under the administrative jurisdiction of the Ministry of Housing and Urban Poverty Alleviation (MoHUPA). Caste Census is under the administrative control of Ministry of Home Affairs: Registrar General of India (RGI) and Census Commissioner of India.
— The Census Act of 1948 mandates confidentiality for all Census data, while the SECC (Socio-Economic and Caste Census) website states that personal information from the SECC is open for government use in awarding or restricting benefits.
Other Important Articles Covering the same topic:
📍Explained: Demands for a caste census, and what happens now after its approval
📍Caste census to be held with national Census, Shah calls it historic
Previous year UPSC Prelims Question Covering similar theme:
(5) Consider the following statements: (2009)
1. Between Census 1951 and Census 2001, the density of the population of India has increased more than three times.
2. Between Census 1951 and Census 2001, the annual growth rate (exponential) of the population of India has doubled.
Which of the statements given above is/are correct?
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
Syllabus:
Preliminary Examination: Economic and Social Development – Sustainable Development, Poverty, Inclusion, Demographics, Social Sector Initiatives, etc
Mains Examination: General Studies-II: General Studies II: Effect of policies and politics of developed and developing countries on India’s interest
What’s the ongoing story: US President Donald Trump has proposed reducing tariffs on Chinese imports from 145% to 80% ahead of a meeting with top Chinese trade officials this weekend. The talks, set to take place in Switzerland, are the first major discussions between the US and China since the trade war began.
Key Points to Ponder:
— What are tariffs?
— Why are tariffs imposed?
— What is a reciprocal tariff?
— What will be the impact of the trade war on the global economy?
— What are the challenges and opportunities for India with the coming of Trump 2.0?
— What is Protectionism?
— Is the world moving towards protectionism?
Key Takeaways:
— Trump shared the idea on social media Friday morning, saying, “80% Tariff on China seems right! Up to Scott B,” referring to his Treasury chief, Scott Bessent, who has been handling trade matters.
— US Trade Representative Jamieson Greer and Bessent will meet with Chinese officials in Geneva, marking the most significant discussions between the two countries in recent months.
— The trade tension has hit China hard, with the country being the world’s largest exporter and second-largest economy. After Trump introduced tariffs on Chinese goods in April, China responded with tariffs of its own. Since then, tariffs between the two countries have continued to rise, with US tariffs on Chinese goods now at 145% and China’s tariffs on US goods at 125%.
— Trump had stated he wouldn’t reduce tariffs to continue talks, but he softened his stance on Thursday, saying he “could” lower the 145% tariff rate if the weekend discussions go well. “We’re going to see,” Trump said.
Do You Know:
— Protectionism can be understood as a policy framework aimed at supporting and protecting domestic industries by restricting the operations of international trade. It is usually carried out through tariffs, import quotas, and subsidies. Protectionism is antithetical to the principles of free trade policy – which allows for minimal interference in the flow of goods and services across borders and treats foreign and domestic products without distinction.
— Tariffs are taxes or duties imposed by a government on imported goods and services. Their objective is to make foreign products more expensive compared to domestically produced goods, thereby encouraging consumers to prefer local products. Tariffs also act as a protective measure for domestic industries against foreign competition. Additionally, they serve as a source of revenue for the government.
— Trade deficit or negative balance of trade (BOT) is the gap between exports and imports. When money spent on imports exceeds that spent on exports in a country, trade deficit occurs. It can be calculated for different goods and services and also for international transactions. The opposite of trade deficit is trade surplus.
— Dumping: The World Trade Organisation defines dumping as “an international price discrimination situation in which the price of a product offered in the importing country is less than the price of that product in the exporting country’s market”. Simply put, when the goods are exported by a country to a foreign country at a price lower than the price it charges in its own home market is called dumping. In order to protect domestic producers from dumping, countries use tariffs and quotas.
Other Important Articles Covering the same topic:
📍Promise and perils of protectionism
UPSC Prelims Question Covering similar theme:
(6) Consider the following statements: (UPSC CSE 2022)
1. Tight monetary policy of the US Federal Reserve could lead to capital flight.
2. Capital flight may increase cost of firms with existing External Commercial Borrowings (ECBs)
3. Devaluation of domestic currency decreases the currency risk associated with ECBs
Which of the statements given above are correct?
(a) 1, 2 and 3
(b) 1 and 2 only
(c) 2 and 3 only
(d) 1, 2 and 3
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ALSO IN NEWS |
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| Terms of de-escalation | Apart from other measures, a kinetic response to the Pahalgam massacre was inevitable. The sheer brazenness of the terrorists who targeted innocent tourists and attempted to disturb communal peace in India warranted such a response. |
| PRELIMS ANSWER KEY |
| 1. (b) 2. (a) 3. (d) 4. (d) 5. (d) 6. (b) |
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