10 May 2023

• Economy: RBI gold reserves reached 794.64 metric tonnes in FY 2023. Gold now represents 7.81 per cent of total forex reserves.
• Polity: The ED chief tenure extension became a Supreme Court concern about institutional independence.
• Karnataka: Polls were held on 10 May for 224 Assembly seats. Results were to follow on 13 May.
• Tribal rights: Only Parliament can modify the Scheduled Tribes list; courts cannot direct such changes.
• Health: India lacks a mandatory drug recall law despite the Gambia incident.

GS area: Economy (Monetary policy, External sector)

RBI gold reserves rose to 794.64 metric tonnes in FY 2023, a 5 per cent increase over the previous year.

• Where the gold is held:
  • Domestic (held in India): 301.10 metric tonnes.
  • Overseas (Bank of England and the Bank for International Settlements): 437.22 metric tonnes.
  • Gold deposits: 56.32 metric tonnes.
• Share of forex reserves: Gold's share increased from about 7 per cent in March 2022 to 7.81 per cent in March 2023.
• Total forex reserves: 578.449 billion US dollars as of 31 March 2023.
• Gold valuation: Approximately 45.2 billion US dollars.
• Why the RBI is buying gold: Negative interest rates on foreign currency assets, dollar weakness, global uncertainty and inflation. Gold diversifies the reserve portfolio.

Static linkage: External sector, forex reserves, RBI balance sheet (Economy).

GS area: Polity (Institutions, Accountability)

An ordinance in November 2021 extended the ED chief's tenure from 2 years to 5 years. The Supreme Court had previously stated such extensions should occur only in "rare and exceptional cases."

• Conviction record: The ED secured only 23 convictions from 888 cases filed between 2014-15 and 2021-22. The conviction rate is under 3 per cent.
• Concerns raised: Misuse of the Prevention of Money Laundering Act for matters not connected to money laundering; political bias in case selection; lack of transparency in proceedings.
• PMLA powers: Under PMLA, the ED can arrest, attach property and summon individuals without a first information report. The burden of proof is reversed: the accused must prove innocence.
• Constitutional tension: These powers sit uneasily with Article 21 (right to life and personal liberty) and the presumption of innocence.

Static linkage: Investigative agencies, PMLA, rule of law (Polity).

GS area: Polity (Constitutional law)

The Supreme Court clarified that only Parliament can modify the Scheduled Tribes list, reaffirming its position from the Maharashtra versus Milind (2000) judgment.

• Article 342(1): The President specifies Scheduled Tribes by public notification on the advice of the governor concerned.
• Article 342(2): Parliament may include or exclude groups by legislation. No other authority can direct such changes.
• Manipur context: The Supreme Court questioned the Manipur High Court's single-judge direction to consider Meitei community inclusion in the ST list. That direction was constitutionally impermissible because only Parliament has the power.
• Haryana OBC case (same day): Haryana accepted a recommendation to ensure at least one OBC(A) councillor in urban local bodies where OBCs form 2 per cent or more of the population. The Supreme Court requires that aggregate reservation not exceed 50 per cent of seats and that a "triple test" be applied.

Static linkage: Article 342, Scheduled Tribes, reservation (Polity).

GS area: Governance (Health regulation)

India has not implemented a mandatory drug recall law since the subject was first examined in 1976. This remains a structural gap.

• Gambia incident: The WHO linked approximately 60 child deaths in Gambia (2022) to substandard cough syrups manufactured by Indian pharmaceutical firms.
• Regulatory bodies:
  • DCGI: Drugs Controller General of India, the national drug regulator.
  • CDSCO: Central Drugs Standard Control Organisation, responsible for approving drugs and medical devices.
  • NPPA: National Pharmaceutical Pricing Authority, controls drug prices under the Essential Commodities Act.
• Governing law: Drugs and Cosmetics Act 1940 and Rules 1945.
• Barriers to mandatory recall: Industry resistance, fragmented regulatory structure with 36 state-level bodies, and political apathy.

Static linkage: Drug regulation, CDSCO, pharmaceutical policy (Governance).

GS area: International Relations

India's engagement with West Asia has changed structurally.

• North-South Corridor: A proposed transport corridor linking India to Russia and Central Asia via Iran. Runs through the Chabahar port in Iran. It offers India an alternative to China-Pakistan routes.
• Abraham Accords (2020): Normalised ties between Israel and the UAE, Bahrain and other Arab states. Reduced regional rivalry between Saudi Arabia and Israel.
• Saudi-Iran restoration: Saudi Arabia and Iran restored diplomatic relations in March 2023. Reduces the most dangerous fault line in West Asia.
• India's strategic gain: India can engage Israel, Saudi Arabia, UAE and Iran simultaneously without the forced choices of earlier decades.

Static linkage: West Asia policy, connectivity, regional geopolitics (International Relations).

• Tungnath Temple: Located in Rudraprayag district, Uttarakhand. The third of the Panch Kedars (five Shiva temples). Designated the highest ancient Shivalaya in Asia. Set to be declared a national monument under the Ancient Monuments and Archaeological Sites and Remains Act.
• World Thalassemia Day (8 May): Thalassemia recognised as a benchmark disability under the Rights of Persons with Disabilities Act 2016. The Act lists 21 conditions (increased from 7 under the 1995 Act).
• NITI Aayog health best practices: Odisha's HBNC+ programme ensured 68 per cent of infants received four complete home visits, reducing diarrhoea and pneumonia. Rajasthan's AMMA programme achieved over 87 per cent child recovery from acute malnutrition.