3 Jan 2024

#GS4: – 01. Poaching of Employees

Wipro and Infosys. The two leading IT services exporters alleged breach of contract when their senior talent joined rival company Cognizant. Wipro took the legal route against Mohd Haque, a former senior vice president and a sector head, as well as Jatin Dalal, its former chief financial officer. Wipro alleged that the two joined the rival firm before a ‘cooling off’ period. Some companies may clearly state the rival firms to be avoided as a future employer in employment contracts. Again, this will not be legally enforceable but more of a fear tactic.
– Commentary in News

#GS3 : – 02. Crypto Whales

Since the beginning of 2022, Many crypto scams have come to the fore. Investors have perhaps also come to realize that most crypto is owned by a few owners or ‘whales’ as they are more popularly known.These whales had been carrying out circular trading among themselves in order to bid up crypto prices.Once they had done that, they would dump crypto and make a killing at the cost of retail investors.
–Author Vivek Kaul
Key Terms/Issues : Crypto Whales

#GS3: – 03. Tarrifs in Economy

Our market protection remains high by world standards, even though gradual exposure to global rivalry—regardless
of FTA pledges—is the export optimist’s choice of strategy to sharpen a quality or price edge. With government policy aiming to reduce friction, compress logistical costs and boost exports with other enablers, there is a case for a trend reversal on tariffs. An other reason to reverse tariff escalation is the need to minimize input costs for the GVCs we hope to attract.Trade patterns are in flux and suboptimal bilateral deals in vogue, but some basics can’t be denied. Low- tariff economies globalize better.
-Commentary in News

#GS3: – 04. Debt Crisis in Global South

According to the World Bank’s latest International Debt Report, the world’s poorest countries have been hardest hit by the sovereign-debt crisis. Their external debt service, which reached an all- time high of $88.9 billion in 2022, is projected to surge by 40% in 2023-24. Ghana and Zambia have already defaulted, Ethiopia will likely default by 2024, and domestic debt levels in countries like Argentina and Pakistan are alarmingly high.

According to the World Bank’s latest International Debt Report, the world’s poorest countries have been hardest hit by the sovereign-debt crisis. Their external debt service, which reached an all- time high of $88.9 billion in 2022, is projected to surge by 40% in 2023-24. Ghana and Zambia have already defaulted, Ethiopia will likely default by 2024, and domestic debt levels in countries like Argentina and Pakistan are alarmingly high.
– Former CEA Kaushik Basu

#GS3: –  05. Inclusive Growth

India has 63 million micro, small and medium enterprises (MSMEs), contributing almost a third of the country’s GDP and half of its exports, with an equal spread between rural and urban areas, that are mostly short of credit. Given the tailwinds behind India’s economy, the MSME sector will keep growing in size, especially as it is formalized. However, for the sector to reach its true potential, qualitative growth is important.

The government, financial sector, various industry associations and sector-specific bodies need to come together to build and maintain a ‘capital-plus-plus’ environment that is imperative for India to reach its ambitious economic goals. Capital without context is a bubble; capital with context is inclusive growth.

#GS2: – 06. CITIIS2.0

City Investments to Innovate, Integrate and Sustain or CITIIS 2.0 programme, a four- year initiative focused on urban renewal and sustainable waste Management envisages to support competitively selected projects promoting circular economy with focus on integrated waste management at the city level, climate-oriented reform actions at the State level,and institutional strengthening and knowledge dissemination at the National level.

Commentary in News