Sankalp Daily Current Affairs - 27 November 2025 (Key Updates, Analysis & MCQs)

Sankalp India Insights - Key Updates, Analysis & MCQs on India-UAE CEPA, Mentoring Mission, Indonesia Quake, INO vs JUNO Science, and Indian Rupee Stability

 

Topic 1: India–UAE Discuss Market Access, Data Sharing and CEPA Progress

News Context

India and the United Arab Emirates recently held a joint committee meeting under the Comprehensive Economic Partnership Agreement at a time when bilateral trade has been expanding rapidly. The discussions focused on improving market access for goods and services, streamlining regulatory practices that continue to cause bottlenecks, and enhancing data-sharing mechanisms so that trade processes become faster and more predictable. Although CEPA has already lowered tariffs on thousands of products and created new channels for investment, both sides acknowledged that better coordination is required to ensure that exporters and businesses fully benefit from the pact. The meeting therefore aimed to identify gaps in implementation and outline areas that require accelerated reform.

Background

CEPA between India and the UAE was signed in February 2022 and came into force in May the same year. It was India’s first comprehensive free trade agreement in over a decade and signalled a renewed strategic commitment toward trade-led growth. The UAE, one of India’s largest export destinations, functions as a major logistics and re-export hub, making tariff liberalisation especially beneficial for Indian goods. The agreement significantly reduced or eliminated duties on more than ten thousand tariff lines and created avenues for cooperation in services, digital economy, intellectual property, standards harmonisation and investment facilitation.

Historically, India and the UAE have maintained close economic ties due to energy trade, expatriate population linkages and investment flows. The UAE’s role as a bridge between Asia, Europe and Africa further strengthens the relevance of CEPA. The agreement was expected to push bilateral trade beyond one hundred billion dollars and create large employment opportunities across sectors. Despite this, reports from exporters have continued to highlight challenges in documentation, standards compliance, certification recognition and non-tariff procedures. These long-standing issues formed the core of the latest dialogue.

Key Issues Discussed

The most important concern raised by India related to effective market access. While tariffs have been reduced, non-tariff barriers still affect the competitiveness of Indian textiles, leather, agricultural goods, engineering components and processed foods. Certifications, labelling specifications, delays in quality approvals and inconsistent port procedures have been frequently reported. India urged the UAE to expedite digitalisation of regulatory processes and ensure uniform implementation across its ports.

The UAE highlighted its willingness to strengthen digital trade frameworks, improve customs risk-management systems and support India’s small and medium manufacturers in integrating into supply chains. Both sides discussed the need for greater transparency in data flows, making real-time trade information accessible for smoother clearance. India also pushed for better access in services such as healthcare, education partnerships, fintech solutions, and professional labour mobility—areas which hold long-term relevance for the Indian workforce in the Gulf region.

Broader Economic Significance

The CEPA review must be understood within the larger geopolitical and economic context. The UAE has emerged as a key partner in India’s energy transition plans, especially in renewable energy, green hydrogen and climate-aligned technologies. The two countries also collaborate within platforms such as I2U2, BRICS expansion dialogues and West Asia trade corridors. Improved market access therefore complements ongoing investment flows in logistics, industrial zones, digital infrastructure and advanced manufacturing.

From India’s perspective, smoother trade with the UAE enhances its export diversification goals and supports its ambition to integrate into global value chains. The UAE is an important entry point for markets in the Middle East, North Africa and parts of Europe. Any improvement in the functioning of CEPA therefore has a multiplier effect on India’s long-term trade competitiveness.

CEPA and Related Concepts

The Comprehensive Economic Partnership Agreement is broader than a traditional Free Trade Agreement because it includes goods, services, investment, digital trade, standards, intellectual property, government procurement and dispute-resolution mechanisms. CEPA aims to make the movement of goods faster by reducing tariffs and harmonising standards while also allowing services professionals easier access through simplified visa processes.

The UAE is India’s third-largest trading partner and the second-largest export destination. Key exports include petroleum products, gems and jewellery, machinery, cereals, textiles and chemicals. Key imports include petroleum, precious metals and defence-linked components. The agreement also supports India’s exporters through the creation of mutual recognition arrangements in pharmaceutical testing and food safety compliance, although these are still evolving and require faster execution.

Implementation Challenges

Despite the strong institutional framework, multiple challenges persist. Small exporters often lack awareness of CEPA’s tariff schedules, leading to underutilisation. Documentation requirements vary across UAE ports, creating unpredictability. Indian exporters face rejections when consignments fail to meet specific packaging or labelling norms unique to the Gulf region. Meanwhile, the UAE expects India to streamline its own customs clearance timelines and reduce unpredictability in regulatory approvals.

Data-sharing emerged as a cross-cutting issue because real-time shipment visibility and transparent digital records are necessary for effective customs clearance. Both sides agreed that improved integration between customs systems and trade portals would significantly reduce delays.

Future Pathways

The joint committee emphasised that CEPA must now transition into a second-phase implementation model where deeper regulatory alignment, improved mutual recognition of standards and faster digitalisation become priority areas. India is expected to strengthen outreach programmes to ensure small exporters understand CEPA benefits. The UAE will work on harmonising certification requirements and ensuring predictable port processes. There is also discussion around expanding cooperation in e-commerce, fintech security and digital payments interoperability.

The meeting reaffirmed that CEPA is not merely a tariff-reduction instrument but a long-term strategic partnership platform shaping the future of India–Gulf economic engagement. Both countries aim to position themselves as innovation-driven economies, and smoother trade flows are necessary to support investment, manufacturing and technology-linked collaboration.

Conclusion

The India–UAE CEPA review outlines how both sides are moving toward a more integrated and digitally aligned trade ecosystem. While the agreement has already delivered strong gains, the latest discussions recognised that real-world challenges must be addressed for CEPA to reach its full potential. By focusing on market access, data-sharing, standards alignment and smoother regulatory frameworks, India and the UAE aim to create a trade partnership that is efficient, transparent and growth-oriented. The meeting underscores the relevance of CEPA as a cornerstone of India’s West Asia trade policy and a vital pillar for the future of South–West Asian economic cooperation.

Topic 2: National Mission for Mentoring: How UGC Wants College Professors to Train School Teachers

News Context

The University Grants Commission has proposed a new framework under the National Mission for Mentoring aimed at linking experienced college and university professors with school teachers across the country. The initiative comes amid growing concern regarding uneven teaching quality, limited professional development opportunities at the school level, and the widening gap between higher education pedagogy and classroom practices followed in primary and secondary institutions. The proposal suggests creating structured mentoring teams where selected faculty members from higher education institutions provide regular academic guidance, classroom support, and subject-based enrichment to school teachers through both in-person engagement and digital platforms. The move is designed to strengthen teacher capacity in alignment with the National Education Policy while improving learning outcomes in the long term.

Background

The idea of a National Mission for Mentoring was first outlined in the National Education Policy which emphasised that teachers must receive continuous professional support rather than occasional training sessions. Historically, teacher training in India has relied on workshops, short-term certificate programmes, or district-level resource centres. Although these efforts have broadened outreach, they have often lacked sustained academic engagement and peer-to-peer support. At the same time, universities house a significant pool of subject experts, researchers, and experienced educators whose knowledge could contribute directly to improving school-level academic foundations. The new mentoring model seeks to bridge this gap by creating a national ecosystem where higher education can systematically contribute to strengthening school education.

The UGC’s involvement is particularly significant because it governs the largest segment of the higher education system. Its proposal aligns with the broader NEP principle of integrated education where schools and colleges do not function as isolated units but as collaborative institutions contributing to a common learning vision. This is also critical at a time when foundational learning assessments and national surveys have highlighted persistent challenges in literacy, numeracy, science reasoning, and conceptual understanding among school students.

Why Mentoring Has Become a Priority

Teaching is increasingly viewed as a dynamic profession requiring continuous updating of pedagogical methods, subject knowledge and technological skills. With rapid curriculum revisions, digital-learning expansion, and new competency-based pedagogies, school teachers often find themselves without adequate academic support. Many schools, especially in rural and semi-urban regions, lack specialist mentors or advanced resource persons who can guide teachers in designing learning activities, integrating technology, or handling conceptual gaps in mathematics, science, or language subjects. The proposed mission addresses this gap by giving teachers access to university-level expertise rather than expecting them to rely solely on district-level training personnel.

From the policy perspective, mentoring is also expected to foster a culture of academic professionalism where teachers develop reflective practice, research orientation, and the habit of peer collaboration. This is essential because textbooks and teacher manuals alone cannot drive high-quality learning without sustained human guidance and pedagogical innovation.

How the UGC Envisions the Mentoring Structure

The framework suggests identifying selected faculty members from colleges and universities based on academic record, teaching experience, and demonstrated ability to guide others. These mentors will undergo orientation programmes to ensure that their mentoring aligns with school-level pedagogical needs rather than purely college-level teaching methods. Once designated, mentors will be assigned clusters of schools where they will conduct classroom observations, curriculum planning sessions, subject-specific workshops, and one-on-one discussions with teachers.

Digital mentoring will form a significant component. The UGC proposes structured online interactions using learning management systems, virtual classrooms, and repositories of teaching resources created collaboratively by mentors and school teachers. This hybrid model aims to ensure that even remote schools can access consistent support without depending solely on physical visits.

National Mission for Mentoring and NEP Provisions

The National Education Policy introduced the concept of a National Mission for Mentoring to cultivate a robust culture of teacher professionalisation. It recommended identifying experts at the national, state, and district levels who could assist teachers in improving content knowledge, pedagogy, classroom assessment, and inclusive learning practices. The policy also emphasised mentoring as a continuous, long-term engagement rather than occasional workshops that offer limited impact.

The UGC’s proposal situates this mission within India’s broader academic landscape where higher education institutions are expected to take greater responsibility for nurturing school-level talent. This is consistent with the NEP’s vision of multidisciplinary learning, smooth transition between school and college, and development of a culture of research and inquiry beginning at the school stage.

Challenges in Implementation

Several challenges could influence the effectiveness of the mentoring mission. Universities and colleges already face faculty shortages in many states, which may limit the availability of professors who can take on mentoring roles. There is also the question of balancing mentorship responsibilities with teaching and research duties. On the school side, teachers may face time constraints, administrative duties, and limited exposure to digital tools. Without proper scheduling and institutional support, sustained mentoring could become difficult to maintain.

Another challenge lies in aligning expectations. Higher education pedagogy tends to be lecture-centric and research driven, while school education requires activity-based learning and child-centric methods. Mentors will need to adapt their approach to the developmental needs of younger learners. Ensuring this alignment will require proper training for mentors and close coordination between university departments and school clusters.

Potential Impact on School Education

If implemented effectively, the mentoring mission could significantly improve conceptual clarity among teachers in subjects such as mathematics, science, social sciences and languages. Teachers would benefit from exposure to updated academic knowledge, better teaching strategies, and improved classroom assessment practices. Over time, such mentoring relationships can help embed reflective practice, critical thinking and academic collaboration into school-level teaching culture.

Students are expected to benefit from enhanced lesson design, better conceptual explanations and more engaging classroom environments. The initiative may also reduce learning disparities across regions by ensuring that teachers in remote or less-resourced schools receive the same academic support as those in urban centres. Long-term mentoring networks between schools and colleges could further support curriculum development, research-based learning practices and early exposure of students to higher-education level thinking skills.

Way Forward

Effective implementation will require close coordination between state education departments, higher education institutions and national bodies such as NCERT and SCERTs. Detailed guidelines must define mentor selection, workload distribution, monitoring frameworks and incentives for faculty participation. Digital platforms must be strengthened to make virtual mentoring seamless and accessible. Strong feedback systems should be established so that school teachers can express their needs and mentors can adjust their support accordingly.

This mission also demands a cultural shift where mentoring is not treated as an administrative assignment but as an academic partnership grounded in mutual respect. Universities will need to anchor mentoring within their institutional planning, while schools must create an encouraging environment where teachers feel supported rather than evaluated.

Conclusion

The National Mission for Mentoring proposed by the UGC represents a major step toward bridging the long-standing divide between higher education expertise and school-level teaching needs. By positioning experienced professors as academic guides for school teachers, the initiative seeks to transform the professional culture of teaching in India. If executed with clarity, sensitivity and sustained institutional commitment, the mission can strengthen foundational learning, enhance pedagogical quality, and create a more integrated national education ecosystem where knowledge flows seamlessly across levels. The effort reflects a broader vision of building a cohesive educational system capable of meeting the academic challenges of a rapidly evolving society.

Topic 3: Indonesia Residents Rush Outside as 6.6 Magnitude Quake Hits

News Context

A strong earthquake of magnitude 6.6 struck parts of Indonesia, causing residents in several regions to rush outdoors for safety. The tremors were powerful enough to shake buildings and trigger widespread fear, especially in coastal areas that have a historical memory of devastating tsunamis. The Indian Ocean Tsunami Warning Centre assessed the seismic data soon after the quake and announced that there was no threat of a tsunami arising from this event. Local authorities began rapid ground assessments, while emergency teams monitored aftershock patterns and structural impacts in densely populated districts. Although initial reports indicated no major damage or casualties, the quake served as another reminder of Indonesia’s persistent seismic vulnerability.

Background

Indonesia lies on the Pacific Ring of Fire, one of the most active seismic and volcanic belts in the world. The region experiences frequent tectonic shifts due to interactions between the Indo-Australian Plate, Eurasian Plate and several micro-plates. This positioning makes the country exceptionally prone to earthquakes, volcanic eruptions and tsunamis. Past disasters such as the 2004 Indian Ocean tsunami and multiple subsequent quakes have shaped public consciousness and emergency response systems across the archipelago.

A magnitude 6.6 event falls within the category of strong earthquakes that can cause significant shaking across wide areas even when the epicentre is offshore. For coastal populations, the immediate concern is the possibility of a tsunami, which often follows undersea disturbances. The prompt assurance from the tsunami warning centre reduced panic, but precautionary movement outside homes and buildings reflects the community’s instinctive response developed through years of experience with natural disasters.

Why the Event Matters Now

The incident highlights ongoing seismic instability in the region and the constant need for preparedness. Indonesia’s expanding urban areas, rising population density and infrastructural development create layers of vulnerability. Even when earthquakes do not cause direct physical destruction, they offer critical lessons about evacuation behaviour, structural resilience and disaster-communication efficiency.

The timing of the quake also coincides with ongoing discussions regarding national disaster-risk reduction frameworks, early-warning system upgrades and reinforcement of public infrastructure. Authorities continually evaluate the performance of tsunami detection buoys, seismic stations and ground-motion sensors to ensure rapid and accurate communication during emergencies. Each seismic event, even without catastrophic consequences, tests these systems in real time.

Scientific Explanation of the Quake

A magnitude 6.6 quake typically results from sudden release of energy along fault lines where tectonic plates grind or slip past each other. The seismic waves then propagate outward, causing ground shaking observable over hundreds of kilometres. In Indonesia, many such quakes occur due to subduction processes where the Indo-Australian Plate moves under the Eurasian Plate.

The absence of a tsunami threat in this case indicates that the quake did not create significant vertical displacement of the ocean floor. Tsunamis are usually triggered when the seabed is lifted or dropped abruptly. The warning centre’s analysis of waveform data, ocean-buoy readings and geological characteristics confirmed that the quake’s nature did not meet these conditions.

Preparedness and Emergency Mechanisms

Over the past decade, Indonesian authorities have invested in strengthening community-level disaster preparedness. Public awareness campaigns in schools, workplaces and local administrative units emphasise evacuation drills, identification of safe zones and building-safety norms. Mobile-based alert systems play an increasing role in notifying residents about seismic activity and guiding them toward appropriate responses.

During this quake, residents moving outdoors in an orderly manner demonstrated familiarity with standard safety protocols. Local governments initiated rapid assessments to examine building integrity, especially in older structures that may be more vulnerable to lateral stress. Emergency teams were deployed to hospitals, coastal regions and transportation hubs to ensure immediate support if required.

Indonesia’s Seismic Profile and Tsunami Systems

Indonesia maintains one of the world’s largest national seismic monitoring networks through agencies such as BMKG. The country collaborates closely with the Indian Ocean Tsunami Warning System, a multinational effort established after the 2004 disaster. The system integrates deep-ocean pressure sensors, tide gauges, seismic stations and satellite-based transmission units to relay data in near real time.

Despite these improvements, challenges remain. Harsh oceanic conditions, vandalism of offshore buoys and funding constraints sometimes hinder system reliability. Many remote islands still lack robust evacuation routes or earthquake-resistant infrastructure. The present quake, though non-destructive, underscores the need to expand coverage and maintenance of seismic monitoring equipment.

Societal and Economic Implications

Frequent tremors affect community confidence and economic planning. Industries such as tourism, fisheries and coastal trade are sensitive to perceptions of safety. Even when earthquakes do not cause physical damage, temporary disruptions occur in transportation, public services and commercial activities. Schools and offices often suspend operations until buildings are inspected.

Psychological effects are equally significant. Communities that have endured past disasters may experience heightened anxiety following strong tremors. Ensuring accurate and timely information becomes essential to prevent misinformation and unnecessary panic. The quick clarification about the absence of tsunami risk helped stabilise public sentiment in this instance.

Environmental and Structural Considerations

Indonesia continues to strengthen its building codes to reduce vulnerability during seismic events. However, compliance varies across regions due to resource limitations, uneven urban planning and the prevalence of older, non-engineered buildings. Strong quakes like this one provide an opportunity for engineers and urban planners to evaluate structural performance and identify areas requiring reinforcement.

In coastal regions, mangrove belts and natural barriers serve as ecological buffers against tsunami waves. Maintaining these ecosystems is now recognised as an essential part of disaster-risk mitigation. Environmental conservation is increasingly linked with long-term seismic and coastal safety.

Lessons and Way Forward

This earthquake reinforces the need for continuous improvement in early-warning systems, community training and infrastructural resilience. Authorities must invest in regular maintenance of seismic sensors, expansion of digital alert networks and large-scale mock drills. Collaboration with global seismic-research institutions can strengthen predictive modelling and hazard mapping for future events.

Public education remains a central pillar of safety. When communities understand the science behind earthquakes and tsunamis, their response becomes faster and more rational. Schools, community centres and local governments must continue to emphasise safety protocols, emergency kits and evacuation planning.

Conclusion

The 6.6 magnitude earthquake that shook Indonesia caused fear among residents but did not escalate into a larger disaster due to its geological characteristics and the timely assessment provided by the tsunami warning centre. The incident serves as another reminder of the country’s inherent seismic fragility and the necessity of sustained vigilance. While no major damage was reported, the quake underscores the ongoing importance of robust monitoring systems, resilient infrastructure and informed communities. Indonesia’s long-term safety will depend on a consistent commitment to preparedness, scientific advancement and responsible urban development.

Topic 4: The INO That Wasn’t and the JUNO That Is

News Context

India’s long-pending India-based Neutrino Observatory (INO) project, once envisioned as a landmark scientific infrastructure capable of contributing to breakthroughs in particle physics, remains stalled after more than a decade of proposals, reviews and administrative hurdles. Meanwhile, China’s Jiangmen Underground Neutrino Observatory (JUNO) has not only moved forward but is now nearing a stage where it can offer globally significant data on a key scientific puzzle: the hierarchy of neutrino masses. The contrast highlights a missed opportunity for India, which had the scientific expertise, institutional capacity and early momentum necessary to take the lead in neutrino research during the previous decade. Instead, persistent opposition, environmental concerns, clearances and political delays halted progress, allowing China to surge ahead and position itself at the forefront of global neutrino physics.

Background

Neutrinos are among the least understood elementary particles in the universe. They carry no electric charge, pass through matter almost unhindered and exist in three known forms. One of the central mysteries in modern physics is determining the mass ordering of these particles, known as the neutrino mass hierarchy. During the early 2000s and 2010s, India’s scientific community made significant strides in conceptualising the INO project with the goal of constructing a state-of-the-art underground laboratory in Tamil Nadu’s Theni district. The proposed facility would have hosted a massive iron calorimeter detector designed to study atmospheric neutrinos with unprecedented precision. India’s advantage was not merely geographical; the country had an experienced pool of neutrino physicists who had contributed to earlier discoveries, including work in the Kolar Gold Fields experiment, one of Asia’s earliest particle-physics laboratories.

Despite this strong foundation, the INO ran into repeated delays due to environmental litigation, concerns over construction in the Western Ghats, political shifts and public misinformation about the safety of the project. These obstacles froze momentum and eventually pushed India out of a field in which it was once well positioned to excel.

Why the Comparison With JUNO Matters Now

JUNO, China’s ambitious neutrino observatory, reflects what coordinated planning and sustained governmental support can achieve. Constructed deep underground with cutting-edge technology and an extremely large liquid scintillator detector, JUNO is expected to deliver high-precision measurements necessary to determine the neutrino mass hierarchy, a discovery that would significantly sharpen our understanding of matter, antimatter asymmetry and the evolution of the universe. China’s success represents a milestone not just for particle physics but for scientific strategy, national investment and technological self-reliance.

The juxtaposition of INO and JUNO is important today because it demonstrates the long-term cost of indecision in scientific infrastructure. India once had the momentum, expertise and international recognition required to take a leading position, but the window of opportunity has narrowed. The scientific community now reflects on what could have been achieved had the INO proceeded during its optimal timeframe, when competing facilities abroad were still in early stages.

Scientific Explanation of the Neutrino Mystery

Neutrinos are produced in enormous quantities in nuclear reactions occurring in stars, the Earth’s atmosphere and nuclear reactors. While they are extremely light and rarely interact with other particles, understanding their properties is essential to explaining fundamental questions such as why the universe is dominated by matter instead of antimatter. The mass hierarchy problem seeks to determine whether the three neutrino types are arranged in a “normal” pattern with one heavier and two lighter masses, or an “inverted” pattern with two heavy and one light.

Facilities like JUNO rely on detecting subtle oscillations in neutrinos emitted from nuclear reactors. By studying the energy spectrum of these oscillations at very high precision, researchers can determine the mass ordering. This requires a massive detector, high purity materials, extremely precise calibration and an underground location shielded from cosmic rays. The INO would have pursued the same scientific target but through atmospheric neutrinos, providing complementary data to reactor-based studies.

The INO Stalemate

The INO faced strong opposition from environmental activists who raised concerns about underground blasting, hill stability and the ecological sensitivity of the Western Ghats. Although multiple expert committees reviewed the proposal and found it safe from a geological and environmental standpoint, the project became entangled in protracted legal battles. Misconceptions that INO would handle radioactive materials further delayed the initiative. Additionally, the requirement for multiple layers of governmental clearance created institutional fatigue.

The absence of a unified political and scientific communication strategy contributed to public skepticism. As a result, the INO missed crucial years during which global neutrino research made significant advances. India’s scientific community repeatedly stressed that the country risked losing its competitive edge, but the project never reached construction.

India’s Historical Position in Neutrino Research

India’s legacy in neutrino science dates back to the Kolar Gold Fields experiment, where scientists detected atmospheric neutrinos in the 1960s. This placed India among the earliest contributors to neutrino research. The INO was designed to revive this legacy by creating an underground laboratory similar in prestige to global facilities such as Super-Kamiokande in Japan and DUNE in the United States. Establishing such a facility would have strengthened India’s position in high-energy physics, nurtured generations of researchers and enabled global collaborations.

The failure to execute the INO illustrates the challenges in building large scientific facilities in India, where environmental approvals, land acquisition and public outreach often move at a slow pace. It also underscores the importance of maintaining continuity in long-term scientific planning irrespective of political transitions.

How China Pulled Ahead With JUNO

China prioritised the JUNO project by ensuring early funding, fast environmental clearances and coordinated institutional support. The scale of the detector, the speed of construction and the technological expertise involved demonstrate the country’s commitment to achieving scientific leadership. By completing JUNO on schedule, China has positioned itself to answer one of physics’ most important questions before other global facilities deliver results.

JUNO also benefits from a strong domestic ecosystem of engineers, physicists and specialised industries capable of supporting large-scale experiments. This contrasts with India’s fragmented approach, where infrastructural uncertainty often disrupts continuity in scientific planning.

Societal and Economic Implications

Large scientific observatories not only advance fundamental knowledge but also catalyse technological innovation and skill development. Had INO been realised, it would have generated high-tech manufacturing capacity, provided training for young physicists and engineers, and fostered industrial collaboration in areas such as photodetector technology, precision electronics and data-analysis frameworks. Such facilities often stimulate local economies by improving infrastructure and attracting global researchers.

In China, the JUNO project has already led to advances in detector technology and contributed to the broader development of China’s scientific ecosystem. The absence of INO deprives India of similar benefits and limits opportunities for homegrown expertise in experimental particle physics.

Lessons and the Way Forward

The story of the INO and JUNO highlights the need for India to reassess how major scientific projects are evaluated, communicated and cleared. Strengthening project-management mechanisms, enhancing public outreach, creating transparent environmental review systems and ensuring political continuity are essential steps for future infrastructure. India still has capable physicists and institutions, but large projects require predictable timelines and alignment across administrative layers.

Revisiting the INO in an improved form, possibly with better site selection and clearer public engagement, remains an option. If India wishes to remain competitive in frontier science, it must adopt long-term planning that transcends short-term political cycles.

Conclusion

The contrast between the unrealised INO and the nearly operational JUNO demonstrates how a promising scientific opportunity can be lost through delays and inadequate institutional coordination. India had the scientific expertise and early initiative to contribute meaningfully to resolving a major physics mystery, yet multiple layers of resistance prevented progress. China, on the other hand, advanced decisively and is now positioned to deliver globally significant results. The episode serves as a reminder that scientific leadership requires not only knowledge and talent but also sustained commitment, timely decision-making and coherent national priorities.

Topic 5: Limited room: On the Indian rupee

News Context

The Indian rupee has once again entered a zone of sustained pressure, hitting new lows against the U.S. dollar as global crude oil prices rise and foreign investors prefer safer assets amid international uncertainties. Over the past few months, the combination of elevated oil prices, a strong U.S. dollar, and shifting global capital flows has left the rupee with very limited room for appreciation, despite efforts by the Reserve Bank of India to intervene and cushion volatility.

India’s heavy reliance on imported crude oil has turned the currency into a sensitive barometer of international energy markets. Each time geopolitical tensions disrupt supply chains or oil-producing nations announce production cuts, the rupee reacts immediately. This continuing pattern highlights a structural weakness in India’s economic framework: the country’s energy security is too dependent on foreign supply, and its currency stability is too dependent on global price movements beyond its control.

The present situation is not merely a temporary fluctuation triggered by market sentiment but part of a larger, recurring challenge that India faces almost every year. The rupee finds itself in a narrow space where appreciation is constrained by external imbalances and depreciation is controlled only through regulatory intervention. The question is no longer whether the rupee will stabilise soon but whether India can build a long-term pathway to protect its currency from imported shocks.

Background

India imports more than 85% of its crude oil requirements, making it one of the largest oil-importing economies in the world. This dependence has shaped the rupee’s behaviour for decades. Every rise in oil prices widens the current account deficit, leading to increased demand for U.S. dollars. The more dollars India needs to pay its import bill, the more pressure is placed on the rupee.

Historically, the currency has depreciated steadily. Even during periods of strong GDP growth, the rupee rarely strengthens significantly because its structural vulnerabilities outweigh positive domestic indicators. This trend became particularly evident after global energy prices began fluctuating sharply due to geopolitical conflicts, uncertain supply chains, and competition among major economies.

The Reserve Bank of India’s interventions in the foreign exchange market have prevented extreme volatility, but they cannot reverse the fundamental imbalance caused by energy dependence. What India faces today is therefore not a temporary market disturbance but a long-standing economic truth: as long as crude oil imports remain high, the rupee will remain exposed to global turbulence.

How the Rupee Became Vulnerable

The exchange rate is driven by several interconnected factors. For India, three elements stand out:

  1. High imports of crude oil and petroleum products
  2. A persistent current account deficit
  3. Dependence on the U.S. dollar for international trade settlements

Whenever global oil prices rise, India’s import bill expands sharply. The widening of the current account deficit leads to higher dollar demand. At the same time, global investors tend to move their capital into safer currencies like the U.S. dollar during periods of uncertainty. These two forces combine to weaken the rupee at every instance of external disturbance.

This pattern has repeated itself during the 2008 financial crisis, the 2013 taper tantrum, the 2020 pandemic disruption, and the recent geopolitical tensions involving West Asia and Europe. The rupee often becomes one of the first Asian currencies to feel the impact of global shocks because the country’s energy consumption is deeply dependent on external supplies.

Structural Problems Behind the Weak Rupee

India’s vulnerability is not merely a matter of global oil prices but the result of several internal structural issues. The domestic production of crude oil has not increased significantly in decades, leaving the country more exposed to foreign supply. The transportation sector, industries, and households continue to depend heavily on petroleum-based fuels. Although renewable energy capacity is expanding, it has not yet replaced conventional fuels at a scale that can reduce imports substantially.

Similarly, India’s export performance has improved but not enough to counterbalance the high import bill. A strong export sector can strengthen the currency by bringing in foreign earnings, but when imports outpace exports—especially essential imports like crude—it becomes difficult for the currency to find upward momentum.

Additionally, the manufacturing sector still depends on imported components and raw materials, further deepening India’s dependence on foreign currencies. All these factors leave the rupee with limited room to strengthen even when the economy performs well domestically.

RBI’s Role and Limitations

The Reserve Bank of India frequently intervenes in the foreign exchange market to smooth volatility and prevent sharp depreciation. It uses its foreign exchange reserves to supply dollars in the market so that demand pressures do not push the rupee down sharply. While such interventions help in maintaining market stability, they are not a permanent solution.

Foreign exchange reserves cannot be used endlessly. If global volatility continues for a long period, even a large reserve stockpile becomes insufficient to maintain the rupee at an artificially high level. Over-intervention can also distort market signals and reduce investor confidence if they believe the currency is being held up artificially.

The RBI has also encouraged the use of rupee-denominated trade settlements with partner countries, but this is still a small portion of total trade. A large transformation is needed to reduce long-term dollar dependence.

Why Oil Matters the Most

Oil plays a disproportionate role in determining the rupee’s strength because of the following reasons:

India’s transportation, industry, and household consumption depend heavily on petroleum. Even small increases in oil prices raise the import bill by billions of dollars. This leads to automatic pressure on the rupee. The Indian economy’s growth model, which relies on mobility, logistics, and manufacturing, is tied to fuel consumption. Unless the energy mix becomes more diverse, oil will continue to dictate currency stability.

Domestic Economic Impact

A weakening rupee makes imports more expensive. This affects not just fuel but also consumer goods, industrial inputs, electronics, fertilizers, and medicines. Over time, higher import costs translate into inflation for households. Transportation becomes costlier, manufacturing becomes more expensive, and industries that rely on imported machinery face tighter margins.

The government’s fiscal plans are also affected. When the import bill rises, subsidies on fuel rise correspondingly, putting pressure on public finances. This reduces the government’s ability to invest in long-term development projects.

Global Factors

The rupee’s weakness is also shaped by global conditions such as interest rate hikes by the U.S. Federal Reserve, geopolitical tensions, and supply chain disruptions. When American interest rates rise, foreign investors prefer to invest in U.S. assets instead of Indian bonds or equities. This capital outflow weakens the rupee further.

Similarly, conflicts in oil-producing regions, shipping disruptions, or production cuts by major oil-exporting countries create supply shortages that raise prices globally. India, being a major importer, becomes a direct victim of these fluctuations.

Why Stability Is Difficult

Stabilising the rupee is not easy because its weakness is rooted in structural, long-term issues. Short-term interventions by the RBI help control volatility but cannot solve the underlying imbalance. The rupee will continue to face pressure every time oil prices rise unless India transforms its energy and trade structure.

Long-Term Solutions

India needs a comprehensive plan to reduce oil dependence. This includes expanding renewable energy, promoting electric mobility, improving public transport, encouraging energy-efficient technologies, boosting domestic production, and diversifying trade partnerships. Increasing the contribution of solar, wind, and green hydrogen can reduce oil consumption. Electric vehicles can lower fuel demand. Strengthening exports and manufacturing can improve the foreign exchange position.

The Road Ahead

Ultimately, stabilising the rupee requires long-term economic reforms and a gradual shift away from oil dependence. While the RBI can manage short-term volatility, only structural transformation can ensure sustainable currency stability. India must adopt a strategy that combines energy diversification, export strength, manufacturing expansion, and financial resilience. The rupee’s future will depend not on temporary market interventions but on how quickly the country reduces its exposure to imported shocks and builds an economy capable of resisting global turbulence.

conclusion 

India’s struggle to stabilise the rupee reflects deeper structural vulnerabilities rooted in excessive dependence on imported crude oil. While the Reserve Bank of India can manage short-term volatility, long-term stability requires reducing exposure to global energy shocks. Diversifying the energy mix, expanding renewable capacity, strengthening exports, improving manufacturing competitiveness and promoting domestic fuel alternatives are essential to create a more resilient economic base. A sustainable rupee cannot rely on interventions alone; it must be supported by a transformed energy and trade framework. India’s currency future ultimately depends on decisive policy action that reduces oil dependence and strengthens economic self-reliance.

Summary 

India–UAE Discuss Market Access, Data Sharing and CEPA Progress

India and the UAE held a key meeting under the Comprehensive Economic Partnership Agreement to review progress on trade cooperation, digital data-sharing mechanisms and improved market access across critical sectors. Both sides examined how CEPA has boosted bilateral trade since 2022 and discussed ways to deepen integration in agriculture, textiles, gems and jewellery, pharmaceuticals, logistics and digital services. India emphasised smoother regulatory frameworks and quicker customs procedures, while the UAE focused on expanding investment corridors and fintech partnerships. Data-sharing for trade facilitation, tackling non-tariff barriers and accelerating mutual recognition of standards were central themes. The meeting also highlighted the need to future-proof CEPA by incorporating emerging technologies, supporting MSMEs and improving dispute-resolution mechanisms. With the UAE already among India’s top trading partners, the dialogue aims to strengthen supply-chain resilience, enhance export competitiveness and promote sustainable trade routes. Both nations reaffirmed their commitment to long-term economic cooperation, reflecting the growing strategic importance of the India–Gulf partnership.

National Mission for Mentoring – UGC’s Plan to Train School Teachers Using College Professors

The UGC’s National Mission for Mentoring seeks to link experienced college professors with schoolteachers to address learning gaps, pedagogical inconsistencies and academic quality variations across India’s school system. The idea is to utilise the expertise of university-level educators to strengthen classroom delivery, curriculum understanding and evaluation methods at the school level. Under the Mission, a structured framework will allow mentors to guide teachers on subject-depth, conceptual clarity, use of learning resources and modern teaching technologies. It also aims to create continuous professional development pathways for teachers through workshops, collaborative projects and academic exchanges. The initiative draws from global models where higher-education systems support school education to improve foundational learning and reduce disparities. This approach becomes particularly significant as India implements NEP 2020, which focuses on multidisciplinary learning, experiential teaching and competency-based assessment. By integrating advanced academic expertise into school pedagogy, the Mission hopes to uplift teaching quality nationwide and build a stronger pre-university education ecosystem.

Indonesia Residents Rush Outside as 6.6 Magnitude Quake Hits

A powerful 6.6 magnitude earthquake struck parts of Indonesia, prompting residents to run outdoors as buildings swayed for several seconds. Although the tremors triggered immediate fear across coastal regions, the Indian Ocean Tsunami Warning Centre confirmed that the quake did not generate conditions for a tsunami. The event once again highlighted Indonesia’s location on the Pacific Ring of Fire, where constant tectonic activity makes seismic events frequent and sometimes devastating. Authorities conducted ground-level checks for damage, activated emergency centres and monitored aftershocks. While no major structural loss was reported, the incident tested the country’s early-warning systems and public preparedness protocols. Indonesia continues to invest in seismic monitoring after the 2004 tsunami, but challenges persist in maintaining sensors, supporting remote regions and improving resilient infrastructure. The quake reinforces the importance of community awareness, rapid communication and disaster-mitigation planning in a country highly prone to tectonic risks.

The INO That Wasn’t and the JUNO That Is

India’s proposed India-based Neutrino Observatory (INO) was envisioned as a major scientific milestone capable of contributing to global neutrino research. However, delays arising from environmental concerns, public opposition, and administrative hurdles prevented its realisation. As India struggled with approvals and land clearances, China advanced rapidly with its Jiangmen Underground Neutrino Observatory (JUNO), which is now operational and contributing significant data to neutrino physics. The contrast represents a lost scientific opportunity for India at a time when global research is accelerating. Neutrinos hold the key to understanding matter–antimatter asymmetry and the evolution of the universe, making such observatories scientifically crucial. While India still maintains strong theoretical capabilities, the failure to execute INO has pushed the nation behind in experimental physics, funding momentum and international collaborations. The situation underscores the need for streamlined scientific project clearances, stronger communication with local communities, and political commitment to large-scale research infrastructure.

Limited Room – India’s Rupee and Dependence on Oil Imports

The persistent pressure on the Indian rupee is closely tied to the country’s heavy dependence on imported crude oil, which accounts for the largest share of the import bill. Global oil price fluctuations directly influence India’s trade deficit, currency stability and inflation trends. Even as the Reserve Bank of India manages daily volatility through interventions, long-term resilience requires structural reforms. India’s shift toward renewable energy, electric mobility, biofuels and natural gas is progressing, but not fast enough to significantly cut crude demand. High-value imports combined with weak export diversification place additional burden on the rupee. Broader reforms in manufacturing capacity, technology investment, logistics efficiency and export competitiveness are essential to stabilise the currency. Reducing oil dependency remains a core requirement for achieving sustainable macroeconomic stability and shielding the rupee from external shocks.

Practice MCQs

India–UAE Discuss Market Access and CEPA Progress

1 What was a major focus of the recent India–UAE CEPA meeting regarding bilateral trade expansion?
a) Developing space-research pacts
b) Enhancing market access and data-sharing systems
c) Introducing visa-free travel for students
d) Reducing defence exports

Answer: b
Explanation: The joint committee focused on improving market access and data-sharing frameworks under the Comprehensive Economic Partnership Agreement to boost bilateral trade efficiency and integration.

2 Why is the CEPA review significant for India’s long-term trade goals?
a) It replaces all previous FTAs
b) It aims to strengthen supply-chain resilience and support MSMEs
c) It removes all customs duties instantly
d) It is linked only to petroleum exports

Answer: b
Explanation: By reviewing CEPA implementation, India can enhance trade facilitation, improve access for small businesses, and build resilient supply chains with strategic partners like the UAE.

National Mission for Mentoring – UGC’s Plan

3 What is the primary objective of the National Mission for Mentoring?
a) To replace schoolteachers with college faculty
b) To use experienced professors to strengthen school-level pedagogy
c) To introduce compulsory weekly exams
d) To shift all learning online

Answer: b
Explanation: The mission leverages college professors’ expertise to train school teachers, enhancing teaching quality, mentorship, and pedagogical innovation at the school level.

4 Why is this mission aligned with the goals of NEP 2020?
a) NEP focuses on reducing teacher–student interaction
b) NEP promotes multidisciplinary and experiential teaching improvements
c) NEP mandates digital-only learning
d) NEP focuses only on higher education

Answer: b
Explanation: NEP 2020 emphasizes improving foundational learning, teacher capacity, and experiential pedagogy. The mentoring mission strengthens these objectives by directly supporting school educators.

Indonesia Residents Rush Outside as 6.6 Magnitude Quake Hits

5 Why did residents rush outside during the 6.6 magnitude earthquake in Indonesia?
a) A tsunami warning had been issued
b) Immediate fear of structural collapse and past disaster experience
c) Instructions from the Indian Ocean Tsunami Warning Centre
d) Scheduled earthquake drills

Answer: b
Explanation: Past experiences with tsunamis and frequent earthquakes have conditioned residents to evacuate to open spaces for safety whenever strong tremors occur.

6 What was the tsunami risk following this earthquake?
a) Extremely high, triggering mass evacuations
b) None, according to Indian Ocean Tsunami Warning Centre
c) Moderate, affecting only northern regions
d) Only minor waves in urban ports

Answer: b
Explanation: The tsunami warning centre confirmed that vertical displacement of the seabed did not occur, indicating no tsunami threat, though seismic monitoring and precautions continued.

The INO That Wasn’t and the JUNO That Is

7 How does the INO project relate to India’s current scientific ambitions?
a) It successfully solved a major particle physics mystery
b) India had capability a decade ago but did not execute, allowing China to surge ahead
c) INO was a space mission
d) INO focused on climate modelling

Answer: b
Explanation: India possessed the scientific and technical capacity to conduct the India-based Neutrino Observatory a decade ago. Delays allowed other nations, notably China, to advance in related research fields.

8 What is the JUNO project in this context?
a) An unrelated astrophysics project
b) A functioning international neutrino experiment demonstrating current scientific leadership
c) A domestic earthquake monitoring system
d) A biotech initiative

Answer: b
Explanation: JUNO represents an operational neutrino observatory abroad, highlighting where India’s inaction earlier has left other countries ahead in cutting-edge particle physics research.

Limited Room – On the Indian Rupee

9 Why is India urged to reduce dependence on oil imports in the context of rupee stability?
a) Oil imports have no effect on currency
b) High crude imports create trade deficits, pressuring the rupee
c) Importing oil strengthens the rupee automatically
d) Oil imports affect only stock markets

Answer: b
Explanation: India’s large import bill for crude oil impacts the balance of payments, leading to depreciation pressure on the rupee. Reducing reliance on imports helps maintain currency stability.

10 What are potential strategies to stabilise the rupee according to economic analyses?
a) Increase crude imports
b) Diversify energy sources, promote domestic production, and improve forex reserves
c) Fix rupee at a single rate
d) Limit foreign investment inflow

Answer: b
Explanation: Reducing oil dependency through diversification, increasing domestic energy output, and maintaining forex reserves can reduce volatility and enhance confidence in the rupee.

Previous Post Next Post