UPSC Key: US sinks Iran warship, Rupee fall, and Israel-Hezbollah tensions

— How are international waterways governed?

— What is MILAN-2026?

— What is the objective of organising such exercises like MILAN?

— What are the reasons for escalating tensions in West Asia?

— What is the strategic significance of the strait of Hormuz?

— How does this impact India’s energy security?

— How has the closure of the Strait of Hormuz impacted India?

— What are the efforts taken by the government for energy security amidst conflict in west Asia?

Key Takeaways:

— Hospital authorities in the Sri Lankan port city of Galle said 87 bodies were brought in by military rescuers who responded to an early morning distress call. Another 32 were rescued and were ⁠being treated at the hospital, and about 60 people were likely unaccounted for from an estimated 180 people on board, Sri Lankan authorities said.

— The sinking occurred amid a rapidly escalating conflict involving the United States, Israel and Iran. Military strikes launched by the United States and Israel on February 28 killed Iran’s Supreme Leader, Ayatollah Ali Khamenei, along with several senior officials of the country’s regime.

— The IRIS Dena, a Moudge-class frigate belonging to the Iranian Navy’s Southern Fleet, issued a distress call around 5.30 am local time while operating roughly 40 nautical miles off the coastal city of Galle, Sri Lankan defence officials told The Indian Express. Rescue operations by Sri Lanka’s navy and air force were underway throughout the morning.

— The warship had participated in the International Fleet Review (IFR) and multilateral exercise, MILAN-2026, organised by the Indian Navy last month.

— The US Navy destroyer USS Pinckney, which was also scheduled to take part in the IFR and MILAN, did not participate due to emergent requirements. A US P-8 aircraft had participated in the exercises.

— Sri Lanka has maintained a policy of neutrality in international conflicts, but occupies a strategically significant location along major shipping routes in the Indian Ocean.

— The waters south of Sri Lanka lie near some of the world’s busiest maritime corridors linking Asia, the Middle East and Europe. Naval vessels from multiple countries, including the United States, China and India, regularly transit or patrol the region.

— Iranian naval deployments in the region have been relatively rare. The IRIS Dena had been participating in diplomatic naval activities in the weeks leading up to the incident. In February, the frigate attended the IFR in the Indian port city of Visakhapatnam, where it docked alongside ships from multiple countries. The Indian Navy had extended a warm welcome to the frigate as it arrived in Visakhapatnam in the third week of February.

— The frigate, named after Mount Dena in southwestern Iran, was a domestically built warship designed for patrol and combat missions in regional waters. It carried a range of anti-ship missiles, naval guns and torpedo launchers, and also included a helicopter landing pad and radar systems capable of tracking multiple targets.

— A military analyst based in Chennai said the vessel would have been heavily armed, carrying Qader anti-ship missiles, a 76-millimetre naval gun and torpedo systems, among other weapons.

— A Pentagon video purporting to have ‌captured the attack showed the warship being hit by a huge explosion, which blew apart the rear of the vessel, lifting it from the water, and caused it to begin sinking from the stern.

— General Dan Caine, the Chairman of the Joint Chiefs of Staff of the US, said that for the first time since 1945, a US Navy fast-attack submarine has sunk an enemy combatant ship using a single Mk 48 torpedo to achieve immediate effect, sending the warship to the bottom of the sea.

From the front page: LNG supplies set to be hit, QatarEnergy, Petronet issue force majeure notice

— Amid the ongoing West Asia conflict and the heavy disruption in vessel transit through the critical chokepoint of the Strait of Hormuz, India’s largest importer of liquefied natural gas (LNG) Petronet LNG has issued force majeure notices to its key supplier QatarEnergy, and its off-takers GAIL (India), Indian Oil Corporation, and Bharat Petroleum Corporation.

— Force majeure is a clause in contracts that frees parties from liability or obligation when an extraordinary and unforeseeable event beyond their control occurs. Such events commonly include wars, strikes, riots, epidemics, and natural disasters.

— In this specific case, the force majeure notices indicate that Petronet LNG is unable to lift LNG cargoes from Qatar and supply the contracted quantities to its off-takers, and Qatar—India’s largest LNG supplier—is unable to fulfil its supply obligation.

From the Economy page: Crude tanker rates soar as uncertainty over flows via Strait of Hormuz persists

— Freight rates for crude tankers have spiked dramatically and doubled over the week as the conflict in West Asia continues to unsettle traffic through the Strait of Hormuz, the world’s most critical oil shipping corridor, pushing up crude oil prices.

— Adding to the woes, insurance cover has become both costlier and harder to secure with insurers cancelling war risk cover.

— Daily earnings for a very large crude carrier (VLCC) on the benchmark Middle East-China route hit a record high and nearly doubled $423,000 on Monday in a week, marking an unprecedented surge, according to Lloyd’s List data. It was $218,000 per day last week.

— The rally was not confined to one route. The Middle East Gulf–Singapore run also saw rates shoot up sharply, while the global average VLCC earnings climbed to levels not seen in well over a decade.

Do You Know:

— The Strait of Hormuz—the narrow waterway between Iran and Oman that connects the Persian Gulf with the Gulf of Oman and the Arabian Sea—is seen as the most important oil transit chokepoint globally, handling approximately one-fifth of global liquid petroleum consumption and global liquefied natural gas (LNG) trade.

Other Important Articles Covering the same topic:

📍Why a US submarine strike on Iranian warship near Sri Lanka is a crisis for Delhi

📍As oil flow through Strait of Hormuz comes to a halt, India may look at increasing Russian oil imports

Previous year UPSC Prelims Question Covering similar theme:

(1) The Mediterranean Sea is a border of which of the following countries? (UPSC CSE 2017)

1. Jordan

2. Iraq

3. Lebanon

4. Syria

Select the correct answer using the code given below:

(a) 1, 2 and 3 only

(b) 2 and 3 only

(c) 3 and 4 only

(d) 1, 3 and 4 only

 

EXPLAINED

How rupee fall could affect economy, IT sector, exports

Syllabus:

Preliminary Examination: Current events of national importance and economy.

Mains Examination: General Studies-II, III: Effect of policies and politics of developed and developing countries on India’s interests, Indian Economy and issues relating to planning, mobilisation of resources, growth, development.

What’s the ongoing story: The escalating conflict in West Asia is beginning to cast a long and ominous shadow over India’s economy. The rupee slid past the psychologically crucial 92-mark to 92.17 against the US dollar on Wednesday morning, as surging crude oil prices and disrupted trade flows threaten to make imports costlier, stoke inflationary pressures, and impact the monetary policy of the country.

— Read about the US-Israel attack on Iran.

— What is depreciation of a currency?

— What is the Exchange Rate?

— What are the factors behind the fall of the Indian Rupee?

— What can be the implications of the falling rupee?

— Know about the Strait of Hormuz and its significance.

— What can be the implication of the blocking of the Strait of Hormuz on global oil and gas flows?

— How can it affect India?

— Know about the portfolio of India’s crude oil imports.

— Read about India’s strategic petroleum reserves.

— How do tensions in West Asia affect global energy security?

— What is the strengthening and weakening of a currency?

— What is the current account deficit?

Key Takeaways:

— At the heart of the turmoil lies a sharp spike in energy prices. Brent crude futures have surged more than 10 per cent in just a week, climbing to multi-year highs amid fears of supply disruption. Shipping traffic has slowed to a virtual standstill through the Strait of Hormuz, that carries nearly a fifth of the world’s oil supply. Any prolonged shutdown of this strategic passage threatens to push crude prices even higher and pull down the rupee further.

Rupee vs Dollar.

— For India, which imports nearly 80 per cent of its crude oil requirements, the implications are stark. A weaker rupee, rising import costs, mounting inflationary pressures and a potential recalibration of monetary policy now loom large. What began as a distant geopolitical confrontation is fast developing into a direct economic challenge for the country.

— When the Indian currency depreciates, the first and most immediate casualty is the import bill. Crude oil, electronic components, fertilisers and industrial machinery — all priced in dollars — suddenly become more expensive. The burden then steadily shifts to businesses and households, pushing up inflation and eroding purchasing power. The threat of imported inflation is now increasingly becoming a reality.

— A $1 rise in crude oil increases India’s annual import bill by roughly $1.5–2 billion, depending on total import volumes. This directly widens the current account deficit (CAD).

— The inflationary impulse is particularly worrying. Costlier crude oil filters through transport, manufacturing and logistics, eventually feeding into retail prices.

— There is also the sensitive issue of foreign capital flows. As foreign institutional investors, who account for a significant share of trading activity in Indian markets, measure returns in dollar terms, a falling rupee diminishes those returns when funds are repatriated. The result can be bouts of FII selling, adding pressure on stock prices and amplifying market volatility.

— In an interconnected global economy, currency depreciation is not an isolated event. It impacts trade balances, corporate earnings, inflation expectations and investor sentiment, leaving policymakers to navigate a narrow and increasingly uncertain path.

— If a weakening rupee unsettles importers and policymakers, it offers a measure of relief to exporters. For companies that earn in dollars but incur a substantial portion of their costs in rupees, currency depreciation can act as a natural hedge. Every dollar of revenue translates into a higher rupee realisation. But all that works if there is some stability in the currency movements.

— Experts say India’s IT services majors, pharmaceutical exporters and specialty chemical manufacturers are among the principal beneficiaries. Their billing is largely denominated in dollars and euros, while employee costs and operating expenses remain predominantly domestic. — A softer rupee therefore enhances profitability without any immediate change in volumes. In an environment where global demand remains uneven, currency support can provide a timely earnings buffer.

—  For the technology sector in particular, the exchange rate tailwind comes at a critical juncture. IT companies have been grappling with slower client spending and the disruptive churn triggered by rapid advances in artificial intelligence (AI). A weaker rupee, by lifting rupee-denominated earnings, could help stabilise quarterly results and lend support to battered stock prices.

— Pharmaceutical exporters also stand to gain from improved realisations, especially in regulated markets such as the US. Specialty chemical firms with long-term global contracts may see margin expansion if input costs remain stable. In the equity markets, such currency-driven earnings upgrades often trigger sectoral rotation, drawing investors to export-oriented counters.

— Rising inflation places the Reserve Bank of India in an increasingly delicate position. As price pressures build, particularly from imported crude, the central bank’s room for manoeuvre narrows. It may be forced to keep interest rates higher for longer, or even consider additional tightening, to prevent inflation expectations from becoming unanchored. Such a stance, while necessary for macroeconomic stability, inevitably raises borrowing costs across the system.

— Moreover, if rate hardens, costlier credit tends to cool consumer spending and slow fresh investment, tempering the pace of economic expansion. Equity markets, which thrive on liquidity and growth visibility, could also feel the strain as tighter monetary conditions weigh on corporate earnings and valuations.

— The central bank may even have to reassess its inflation projections if elevated oil prices persist. In February, the RBI revised retail inflation at 2.1 per cent as against 2 per cent in FY 2026. For now, neither the government nor oil marketing companies have signalled an immediate increase in retail fuel prices. But if global crude continues its upward march, the cushion of price restraint may prove temporary, adding another layer of complexity to monetary policy calculations.

Do You Know:

— The Strait of Hormuz—the narrow waterway between Iran and Oman that connects the Persian Gulf with the Gulf of Oman and the Arabian Sea—is seen as the most important oil transit chokepoint globally, handling approximately one-fifth of global liquid petroleum consumption and global liquefied natural gas (LNG) trade.

Other Important Articles Covering the same topic:

📍Knowledge Nugget | US-Israel war on Iran: 10 must-know tidbits for UPSC Exam

Previous year UPSC Prelims Question Covering similar theme:

(2) In the context of global oil prices, “Brent crude oil” is frequently referred to in the news. What does this term imply? (UPSC CSE 2011)

1. It is a major classification of crude oil.

2. It is sourced from the North Sea.

3. It does not contain sulfur.

Which of the statements given above is/are correct?

(a) 2 only

(b) 1 and 2 only

(c) 1 and 3 only

(d) 1, 2 and 3

Israel-Hezbollah tensions flare up: History behind the conflict

Syllabus:

Preliminary Examination: Current events of national importance and economy.

Mains Examination: General Studies-II: Effect of policies and politics of developed and developing countries on India’s interests.

What’s the ongoing story: In response to strikes from the United States and Israel over the weekend, Iran has targeted US military bases in several West Asian nations, widening the spread of the war.

— What is Hezbollah?

— Read about the Israel-Hezbollah conflict.

— What was the Arab-Israeli war?

— What is the “axis of resistance”?

— What is the significance of West Asia for India?

— What do recent developments in the Middle East mean for India’s Middle East policy?

— What impact could turmoil in the Middle East have on India?

— Map work: Lebanon, Beirut, Israel, Iran, West Bank, Gaza strip.

Key Takeaways:

—- Israel, on the other hand, has turned to Lebanon, its northern neighbour. On Monday (March 3), the Israeli Defense Forces (IDF) stated that its troops were “operating in southern Lebanon” to target the militant organisation Hezbollah, which also holds representation in Lebanon’s government. A few strikes have also been reported in capital Beirut.

— For its part, Hezbollah has launched missiles “in response to the criminal Israeli aggression that targeted dozens of Lebanese cities,” according to a statement, as cited by CNN. The group stated that it was aiming for radar sites and control rooms at an Israeli airbase, even as the Lebanese government said it was banning Hezbollah’s military activities.

— The conflict between Hezbollah and Israel is not new, with Hezbollah once pushing the militarily stronger Israel out of Lebanese territory. The think tank Centre for Strategic and International Studies (CSIS) has called it as “The world’s most heavily armed non-state actor, with a large and diverse stockpile of unguided artillery rockets, as well as ballistic, antiair, antitank, and antiship missiles.”

— In the aftermath of Hamas’s October 7 attacks, Israel targeted Hezbollah’s top leadership. Here is what to know about their history and the renewed fighting.

— Nakba, Cold War as fertile ground: The establishment of the state of Israel in 1948 was accompanied by the violent displacement of more than 750,000 Palestinian Arabs in the event known as the Nakba, or catastrophe. Many displaced people fled to the north, towards Lebanon.

— Lebanon had a large Christian population (estimated to be more than 40% of the total at present), and conflicts between the Palestinians and Christian militias were fuelled by Soviet support for the Arabs and US backing for the Christian coalition.

— In the 1960s and 70s, militants affiliated with the Palestine Liberation Organisation (PLO) began to build a base in southern Lebanon as a launchpad for attacks on Israeli towns.

— In 1978, in response to a massacre of Israelis near Tel Aviv by Palestinian militants based in Lebanon, Israel invaded south Lebanon. In a short war, Israeli forces pushed the PLO back from south Lebanon, creating a buffer north of Israel. But the attacks from Lebanon continued, and four years later, Israel mounted another invasion, intending this time to drive the PLO out of Lebanon altogether. The IDF, along with its Lebanese Christian allies, laid siege to Beirut, forcing the evacuation of PLO leaders.

— By 1985, Israel had withdrawn from most of Lebanon but maintained a 15 to 20 km-wide security zone in south Lebanon to prevent cross-border attacks. This area was patrolled by the South Lebanon Army (SLA), a Christian militia allied with Israel. However, this occupation became a lengthy entanglement that fuelled resistance from various groups and created conditions that led to the rise of Hezbollah.

— Hezbollah, the “Party of God”, was formed in the early 1980s in response to the Israeli occupation of Lebanon. It received support from Ayatollah Khomeini’s regime (not to be confused with Ayatollah Ali Khamenei, who was killed in the recent US-Israeli attacks). Iran saw this as an opportunity to export the ideals of the Islamic revolution and challenge Israel’s dominance.

— The group’s initial goal was to resist Israeli occupation, but as it strengthened, its objectives expanded to establishing a theocratic state in Lebanon, similar to the one in Iran following the Islamic Revolution of 1979. It also aimed to oppose Western influence in the region, wrote Augustus Richard Norton in Hezbollah: A Short History (2007).

— In 1996, a 17-day campaign by the IDF, codenamed “Operation Grapes of Wrath”, became a key moment in the Israel-Hezbollah war. Israel advanced militarily, but the campaign resulted in major civilian casualties, fuelling support for Hezbollah.

— By the late 1990s, Israel’s presence in south Lebanon had become unsustainable. The Israeli public had grown weary of its costs. Hezbollah, meanwhile, carried on a war of attrition. Its forces thus unilaterally withdrew in 2000.

— In 2006, Hezbollah killed three Israeli soldiers and abducted two others, demanding that Israel return Lebanese prisoners in exchange. After Israel launched an attack, around 1,200 Lebanese and 159 Israelis were killed. The high human cost and the fact that Hezbollah could not be eliminated drew criticism within Israel.

— Over time, the Israel-Hezbollah conflict has shaped West Asia in multiple ways. Hezbollah, the crown jewel of Iran’s overseas military operations, has developed significant military capability and has become, in the words of Norton, “the spearhead of resistance against Israel”.

— Subsequently, many Western governments characterised it as a terrorist organisation, as did the Gulf Cooperation Council, which includes six West Asian countries: Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the UAE.

— Fast forward to October 7. Seeing Iran-backed groups like Hezbollah and Hamas as threats to its security, Israel launched attacks on Lebanon soon after. Hezbollah also said it would target Israel to avenge the killings in Gaza.

— Since then, Israel has successfully targeted senior members of the Hezbollah leadership, including the chief, Hassan Nasrallah. In 2024, Israel set up pagers used by Hezbollah members to explode, leading to around 40 deaths and over 3,000 injuries. In September that year, Israel invaded south Lebanon again, but a ceasefire was signed in November. Israel has since occupied five positions in southern Lebanon.

— Despite its weakening, Hezbollah’s dominant position in Lebanon comes from a relatively weak Lebanese state, and a formidable arsenal built up over the years.

Other Important Articles Covering the same topic:

📍Knowledge nugget of the day: Hezbollah

📍Israel and Hezbollah: A short history of long conflict in Lebanon

UPSC Prelims Practice Question Covering similar theme:

(3) Which of the pair(s) given below is/are correctly matched?

1. Houthi: Yemen

2. Hezbollah: Jordan

3. Hamas: Palestine

Select the correct answer using the code given below:

(a) 1 and 2 only

(b) 2 and 3 only

(c) 1 and 3 only

(d) 1, 2 and 3

 

EXPLAINED

‘Judiciary corruption’ row: How new NCERT textbooks are drafted and cleared

Syllabus:

Preliminary Examination: Current events of national and international importance

Mains Examination: General Studies-II: Government policies and interventions for development in various sectors and issues arising out of their design and implementation

What’s the ongoing story: Last week, after the Supreme Court imposed a “complete blanket ban” on the NCERT class 8 social science textbook over a section on “corruption in the judiciary”, Education Minister Dharmendra Pradhan said the Centre is taking it “seriously” and that it would be “inquired into”. He said action would be taken against those who were involved in preparing the chapter.

— What is the role and function of the NCERT?

— What are the key features of the National Education Policy (NEP) 2020?

— What is the purpose of rationalising the NCERT syllabus?

— What was the recent controversy regarding the chapter on ‘Corruption in Judiciary’?

— What are the challenges facing the judiciary in India?

— What are the efforts taken by the Judiciary to overcome these challenges?

— How does corruption erode the trust of citizens in public institutions?

Key Takeaways:

— The NCERT has a set of groups and committees that prepare and oversee the new textbooks that are being developed in line with the National Education Policy (NEP) 2020 and the National Curriculum Framework for School Education (NCFSE) 2023.

— In its order on the textbook last week, the Supreme Court had directed D P Saklani, Director of the NCERT, to submit a comprehensive list and details pertaining to one of these committees — the National Syllabus and Teaching Learning Material Committee (NSTC) — and the names and credentials of the textbook development team responsible for drafting the chapter on the judiciary.

— The notification that constituted the NSTC in 2023 said that the chairperson and the co-chairperson of the committee, with the NCERT’s support, will constitute curricular area groups (CAGs) that will comprise experts who will develop the textbooks for each subject.

— Going by the notification, a subset of the CAG will develop the social science textbook. It is learnt that the CAG forms a textbook development team, which prepares the chapters. The draft that is prepared by the team then undergoes revisions and reviews.

— The social science book that was withdrawn last week listed 51 members as part of the textbook development team — including members of the NSTC for guidance, CAG chairperson, contributors, and reviewers. Reviewers for this book included professors at the NCERT, teachers and Director Principal of a private school in Gurgaon, and an associate professor at the University of Kashmir. It is then submitted to the NSTC for review.

— In 2023, the NCERT also constituted a 13-member National Curriculum Frameworks Oversight Committee (NOC) to ensure “full alignment” of textbooks with the NCFSE. It is to support the NSTC “in various ways such as providing detailed orientation to the members of the NSTC” and the CAGs.

— The old NCERT school textbooks were published from 2006 to 2008, developed in line with the NCF of 2005. Different books were published for history, geography, and political science, unlike the current system where two books cover all three themes.

— The then Ministry of Human Resource Development constituted a monitoring committee in 2005 to oversee the process by which the syllabus and textbooks are created. It was tasked with ensuring that “textbooks are free of errors and distortions”, and that “syllabi and textbooks finalised by the NCERT reflect the values enshrined in the Constitution in the organisation of knowledge in all subjects”.

— This committee was chaired by Prof Mrinal Miri with Prof GP Deshpande as its co-chairman. It included six representatives of State governments — the school education Secretary or Principal Secretary of four States, an SCERT Director, and a state school board chairperson. It also included NCERT governing council members, and members of what was then the Central Advisory Board of Education (CABE).

Do You Know:

— Prashant Bhushan writes: Though several challenges face the judiciary, including access to justice, the nature and quality of judicial appointments, and the independence of the judiciary, there is little doubt that corruption is among them.

— This is not to say that corruption in other institutions of the state is a less serious challenge. There is undoubtedly corruption in the executive branch. Given that, corruption in the judiciary also remains a grave and deep-rooted problem, and one that is widely recognised by the public.

— Transparency International, in its 2007 Global Corruption Report, found that 77 per cent of the people surveyed in India described the judicial system as corrupt. Since that time, there is little to suggest that corruption in the judiciary has reduced, as is clear from several recent cases.

— There exists no independent mechanism for the investigation of complaints against judges of the higher judiciary. The only constitutionally prescribed process is impeachment, which is in practice virtually illusory.

Other Important Articles Covering the same topic:

📍SC: Calculated move to undermine and demean judiciary, needs deeper probe

📍Five years of National Education Policy: Taking stock of the transition

Previous year UPSC Mains Question Covering similar theme:

National Education Policy 2020 is in conformity with the Sustainable Development Goal-4 (2030). It intends to restructure and reorient the education system in India. Critically examine the statement. (UPSC CSE 2020)

 

THE EDITORIAL PAGE 

A setback for the rights of the disabled

Syllabus:

Preliminary Examination: Current events of national and international importance

Mains Examination: General Studies-II: Government policies and interventions for development in various sectors and issues arising out of their design and implementation

What’s the ongoing story: Brij Kothari writes: The Rights of Persons with Disabilities (RPwD) Act, 2016 mentions “the rights of all persons with disabilities to have a cultural life and to participate in recreational activities equally with others”.

— Who is a Person with Disabilities?

— What are the key features of the RPwD Act, 2016?

— What are the challenges faced by the PwD in availing basic facilities?

— What are the government schemes related to PwD?

— What are the measures that need to be taken to improve the condition of PwD?

Key Takeaways:

— Recently, India’s more than 100 million visually impaired and hearing-impaired people suffered a disappointment with respect to their right to video entertainment.

— In October 2025, the disability rights community welcomed the Ministry of Information and Broadcasting’s (MIB) proposed “Guidelines for accessibility of content on platforms of publishers of online curated content (OTT platforms) for persons with hearing and visual impairment”.

— There were two key points that sparked tremendous optimism. First, within six months of the guidelines’ publication, OTTs would ensure that all new content carried two accessibility features at the minimum: Either same-language captions or Indian Sign Language (ISL) for the hearing impaired, and audio description for the visually impaired.

— Second, for existing content, OTTs would provide accessibility features in 30 per cent within 12 months, 60 per cent within 18 months, and 100 per cent within 24 months.

— Then came the jolt, a day before a contempt hearing in the Delhi High Court on the notification of the guidelines. MIB published the guidelines with two significant changes. OTTs would have 36 months to make all new content accessible, up from the proposed six. For existing content, OTTs were “encouraged” to provide accessibility features “on best effort basis”.

— A key reason for these relaxations seems to have been that the originally proposed requirements would disadvantage smaller OTT players, who may not have the automated tools or budget global giants possess.

— If indeed that is the argument, then the giants could have led the way. JioHotstar, Netflix and Amazon Prime Video together have a 67 per cent OTT market share in India.

— Regarding automated tools, India just hosted the AI Impact Summit, where Sarvam AI’s foundational model tailored to India’s linguistic diversity was featured. AI is rapidly providing solutions for cost-efficient language work, and integrating accessibility features into video content is no longer onerous.

— OTTs and their self-regulating bodies have an opportunity to be more inclusive of PwDs. Beyond the moral argument, OTTs are missing out on an opportunity to build industry-wide value around the power to serve the reading literacy and language skills of consumers. The frontier for OTT growth in India is rural. The ones that will win out will offer entertainment that can be leveraged for educational goals, too.

Do You Know:

— The Persons with Disabilities Act, 1995, was enacted in response to India signing the “Proclamation on the Full Participation and Equality of People with Disabilities in the Asian and Pacific Region”. It was later replaced by the Rights of Persons with Disabilities Act, 2016, which followed India’s ratification of the United Nations Convention on the Rights of Persons with Disabilities (UNCRPD) in 2007.

— The 2016 legislation was transformative in three major ways. First, it shifted from a narrow, medicalised framing of disability to a socio-medical model that recognises how social barriers — not just impairments — restrict participation.

— Second, it significantly broadened the scope of legal protection by expanding eligibility from seven disabilities under the 1995 law to a comprehensive set of 21 disabilities.

— Third, it introduced a rights-based vocabulary consistent with the UNCRPD, replacing welfare-oriented terminology with enforceable guarantees of equality, dignity, and full participation.

Other Important Articles Covering the same topic:

📍Which disabilities does the government see? The strange case of recognition without rights

Previous year UPSC Prelims Question Covering similar theme:

(4) India is home to lakhs of persons with disabilities. What are the benefits available to them under the law? (UPSC CES 2011)

1. Free schooling till the age of 18 years in government run schools.

2. Preferential allotment of land for setting up business.

3. Ramps in public buildings.

Which of the statements given above is/are correct?

(a) 1 only

(b) 2 and 3 only

(c) 1 and 3 only

(d) 1, 2 and 3

Previous year UPSC Mains Question Covering similar theme:

Does the Rights of Persons with Disabilities Act, 2016 ensure effective mechanism for empowerment and inclusion of the intended beneficiaries in the society? Discuss. (UPSC CSE 2017)

Road to Viksit Bharat runs through its cities

Syllabus:

Preliminary Examination: Current events of national importance, Indian Polity & Governance – Constitution, Political System, Panchayati Raj, Public Policy, Rights Issues, etc.

Mains Examination: General Studies-II, III: Functions and responsibilities of various Constitutional Bodies., issues and challenges pertaining to the federal structure, Indian Economy and issues relating to planning, mobilisation of resources, growth, development and employment; Government Budgeting.

What’s the ongoing story: Srikanth Viswanathan writes- “Union Finance Commissions may be quietly liberating India’s cities. Quietly, because the Budget overshadows the work of the Commission which paints on a far larger canvas comprising all tax revenues of the Union government. Its recommendations are in force for five years and impact all states and local governments. Yet, its work comes into public discourse only when there are political rumblings from Opposition states.”

— What are the constitutional provisions related to urban local bodies?

— What are Finance Commissions?

— Know about the 16th Finance Commission.

— What are the key recommendations of the 16th Finance Commission?

— How are Urban Local Governments dependent on Centrally Sponsored Schemes (CSS)?

— What is the role of State Finance Commissions in strengthening Urban Local Bodies?

— What is the difference between SFC grants and Union Finance Commission grants to Urban Local Bodies?

Key Takeaways:

— “The 16th FC has liberated cities in two ways. India’s cities have, for the longest time relied on schemes of the Union and state governments, which are unpredictable in quantum and timing, and available only for specific purposes like water or sanitation. State Finance Commission (SFC) grants enable urban local governments (ULGs) to pay for staff salaries and other operational expenses, and Union Finance Commission (UFC) grants serve as the only predictable source of funding for infrastructure.”

— “From 2014-15 to 2025-26, total allocations to (states and) ULGs through urban centrally sponsored schemes administered through the Ministry of Housing and Urban Affairs was Rs 3.12 lakh crore. Ninety per cent of this outlay was from 2016-17 to 2023-24, when the CSS allocation in seven out of the eight years was higher than the FC allocation by anywhere between 15 and 400 per cent. During the last two years, CSS for cities have fallen significantly; FC allocations have therefore been higher. The 16th FC has raised their grants so as to make ULGs less dependent on CSS grants. Their allocation is 2.3 times of what 15th FC allocated.”

— “It is highly unlikely that the Centre is able or willing to match this scale of funding in the next five years. It appears to be dialing back on its commitment to urban infrastructure. Budget speeches wax eloquent on urban future, but money is not put where the mouth is. MoHUA’s budget has fallen close to 1 per cent of the Union budget from a high of 1.9 per cent during 2017-19. This is understandable because local governments are a state subject, and in a fiscally constrained environment the Centre is compelled to prioritise subjects exclusively in the Union domain.”

— “The 16th FC has retained the 15th FC’s entry conditions for even basic grants. One such condition is that SFCs be constituted on time and their Action Taken Reports be tabled in state legislatures within six months of their reports. ULG rely on their grants to a great degree. Across Tamil Nadu, Kerala, Uttar Pradesh, Haryana and Karnataka, SFC grants were three to four times of UFC grants on a per capita basis. States, however, do not constitute them on time or with credible and independent leadership, nor do they staff them adequately, or give them reasonable tenure. There is also a low acceptance rate of critical recommendations. The 15th FC mandated proper constitution and accountability for considering recommendations of SFCs in state legislatures. That has resulted in a rejuvenation of the institution. While there is a long way to go in reforming SFCs, the 16th FC’s signal of continuity on this front is unequivocal.”

— “The liberation of India’s ULGs from the clutches of government’s discretion and dependence is key to realising the vision of Viksit Bharat. No country in the modern world has achieved high economic growth, large-scale poverty alleviation, and liveability without empowered ULGs governing their cities.”

Do You Know:

— The Finance Commission is a constitutionally mandated body that decides, among other things, the sharing of taxes between the Centre and the states.

— Article 280 (1) requires the President to constitute, “within two years from the commencement of this Constitution and thereafter at the expiration of every fifth year or at such earlier time as the President considers necessary”, an FC “which shall consist of a Chairman and four other members”.

— The 16th Finance Commission was constituted by the President on 31 December 2023 under the chairmanship of Dr. Arvind Panagariya, former Vice- chairman of NITI ayog,  The Commission was mandated to make its recommendations for the five‑year period commencing on 1 April 2026 and ending on 31 March 2031.

Other Important Articles Covering the same topic:

📍Knowledge Nugget |16th Finance Commission Report: Key highlights for UPSC and other competitive exams

Previous year UPSC Prelims Question Covering similar theme:

(5) Consider the following: (UPSC CSE 2023)

1. Demographic performance

2. Forest and ecology

3. Governance reforms

4. Stable government

5. Tax and fiscal efforts

For the horizontal tax devolution, the Fifteenth Finance Commission used how many of the above as criteria other than population area and income distance?

(a) Only two

(b) Only three

(c) Only four

(d) All five

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PRELIMS ANSWER KEY

1. (c)  2. (b)  3. (c)   4. (d)  5. (b)

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