1) Tribhuvan Sahkari University: A Dedicated Institution for Cooperative Education

GS 2: Polity and Governance: Tribhuvan Sahkari University Bill

Why is it in the news?

• The government introduced the Tribhuvan Sahkari University Bill, 2025 in the Lok Sabha on February 3, 2025. The bill aims to establish a new university on the Institute of Rural Management Anand (IRMA) campus in
• The proposed Tribhuvan Sahkari University will be declared an institution of national importance and will focus on cooperative education, training, and research.

Purpose of the Proposed University

• Currently, IRMA offers specialized courses in rural management and provides training in the development and cooperative sectors. The new university aims to expand this by imparting technical and management education in the cooperative sector.
• It also seeks to promote cooperative research and development and establish global excellence in cooperative education.
• Home Minister Amit Shah, who leads the Ministry of Cooperation, first proposed the idea of a National Cooperative University in 2021. Speaking at the National Cooperative Conference on September 25, 2021, he highlighted the need for a dedicated cooperative university.
• Several countries, including Germany, Kenya, Colombia, and Spain, already have such institutions.

How Tribhuvan Sahkari University Will Be Different

• The bill emphasizes that this will be the first specialized university in India dedicated to the cooperative sector. The university will focus on education, training, research, and development to strengthen the cooperative movement.
• To support sector-specific education, it plans to establish dedicated schools for dairy, fishery, sugar, banking, rural credit, cooperative finance, cooperative marketing, cooperative accounting, cooperative laws, cooperative audit, multi-state cooperatives, and more. These schools will be located on its main campus or in states that lead in respective sectors.
• Additionally, the university will have 4-5 affiliated colleges or institutions in states with a high concentration of cooperative societies and at least 1-2 affiliated institutions in states with fewer such societies. It will also use e-learning platforms like SWAYAM to offer online courses.

Why a Cooperative University?

• The cooperative sector plays a crucial role in India’s economy. It contributes to 19% of agricultural credit, 35% of fertilizer distribution, 25% of fertilizer production, 31% of sugar production, 10% of milk production and procurement, 13% of wheat procurement, 20% of paddy procurement, and 21% of fish production.
• Despite its importance, the current education and training infrastructure in the cooperative sector is fragmented and insufficient. There is a lack of standardization and quality monitoring. The new university aims to create a comprehensive, integrated, and standardized structure for education and training in cooperatives.
• This will help develop skilled manpower for cooperative jobs, including managerial, supervisory, administrative, technical, and operational roles. It will also address the need for capacity building among cooperative employees and board members.

IRMA’s Legacy and Role in the New University

• The Institute of Rural Management Anand (IRMA) was founded in 1979 by Verghese Kurien, the Father of India’s White Revolution.
• It was established with support from the National Dairy Development Board (NDDB), Swiss Agency for Development Cooperation (SDC), Government of India, Government of Gujarat, and the erstwhile Indian Dairy Corporation. The institute is spread across 60 acres and has been a key player in rural management education.
• Once the Tribhuvan Sahkari University Bill, 2025 becomes law, IRMA’s existing society will be dissolved, and IRMA will become a school under the new university. It will be declared a Centre of Excellence for Rural Management, with its autonomy and identity preserved within the university’s framework.
• According to IRMA Director the move recognizes IRMA’s contributions and gives it greater responsibility to serve the cooperative sector. Further, it aligns with the vision of “Sahkar se Samriddhi” and will boost IRMA’s ability to showcase its work.

2) Rajasthan’s Bill Against Unlawful Religious Conversions

GS 2: Polity and Governance: Rajasthan’s unlawful religious conversion bill

Why is it in the news?

• On February 4, 2025, the Rajasthan Legislative Assembly tabled a Bill to curb unlawful religious conversions. The Bill, expected to pass during the budget session, follows similar laws in Madhya Pradesh and Uttarakhand.
• The Bill aims to prevent forcible conversions, particularly among tribals and vulnerable communities, and to address concerns regarding “love jihad”. The legislation states that marriages solely for unlawful conversions will be void.

Key Provisions of the Bill

• The Rajasthan Prohibition of Unlawful Conversion of Religion Bill, 2025, defines unlawful conversion as one that occurs through coercion, force, allurement, or fraud, including incentives such as cash, material benefits, employment, or free education.
• The Bill shifts the burden of proof to the person accused of causing the conversion, deviating from the general legal principle of presumption of innocence. Additionally, it allows blood relatives to file an FIR if they suspect an unlawful conversion.
• Punishments under the Bill include:

1. I) 1 to 5 years of imprisonment and a minimum fine of ₹15,000 for unlawful conversions.
2. II) 2 to 10 years of imprisonment and a minimum fine of ₹25,000 if the victim is a minor, woman, or belongs to SC/ST.

III) 3 to 10 years of imprisonment and a minimum fine of ₹50,000 for mass conversions.

1. IV) Repeat offenders could face up to double the prescribed punishment.
2. V) The offences under this Bill are cognizable (allowing arrest without a warrant) and non-bailable.

Process for Voluntary Conversions

For individuals seeking voluntary conversion, the Bill mandates a multi-step process spanning several months:

• Declaration to the District Magistrate (DM) – The person must submit a prescribed form 60 days in advance. Non-compliance can lead to up to 3 years of imprisonment and a fine of ₹10,000.
• Notification by the Convertor – The individual performing the conversion must notify the DM a month in advance, failing which they face up to 5 years of imprisonment and a fine of ₹25,000.
• Police Enquiry – An officer not below the rank of Additional DM will conduct an enquiry into the intent and cause of conversion.
• Post-Conversion Declaration – Within 60 days of conversion, the individual must submit a declaration containing personal details, which will be displayed at the DM’s office for public scrutiny.
• Final Confirmation – The convert must appear before the DM within 21 days to confirm their identity and the conversion details.

Need for the Bill

• The Rajasthan government argues that the Bill is necessary to prevent the conversion of gullible individuals.
• The Statement of Objects and Reasons clarifies that while the Constitution grants individuals the right to religious freedom, it does not allow for forced proselytization. The government cites recent cases of fraudulent conversions as a key justification for the law.
• The Bill also reflects the stance on tribal conversions and alleged “love jihad” cases. Rajasthan was among the few states lacking dedicated anti-conversion legislation, prompting the current government to introduce this law.

Conclusion

• The Rajasthan Prohibition of Unlawful Conversion of Religion Bill, 2025, is a significant step in regulating religious conversions in the state.
• While the government insists it aims to protect vulnerable individuals, critics argue that it could be used to target minorities.

3) Tax Cuts and Fiscal Gamble: A Risky Bet on Growth

GS 3: Economy: Tax cuts

Why is it in the news?

• The Union Budget 2025 introduces the biggest tax cut for the middle class, significantly reducing tax rates across income slabs. However, the tax-paying middle class in India constitutes only 2-3% of the population, making the direct beneficiaries a small minority.
• The new tax regime offers complete tax exemption for individuals earning between ₹7-₹12 lakh, expanding the earlier rebate applicable only up to ₹7 lakh. For higher earners, the exemption limit has increased from ₹3 lakh to ₹4 lakh, alongside reductions in marginal tax rates.
• Consequently, all taxpayers earning above ₹7 lakh stand to benefit, though this comes at a revenue loss of ₹1 lakh crore, approximately 8% of total direct tax collections in the current year.

Revenue Projection and Economic Impact

• Despite an 8% decline in the effective tax rate, the Budget estimates a 14% increase in direct tax collections. Achieving this requires an income growth of 24%, which is over twice the projected nominal GDP growth of 10.1%. This scenario hinges on two possibilities:

1. I) Optimistic Case – Higher exemption limits may lead to an increase in the number of taxpayers earning above ₹12 lakh, or existing taxpayers may witness significant income growth. If the latter occurs, income concentration among the upper classes will widen economic inequality and reinforce the K-shaped growth pattern seen post-pandemic.
2. II) Pessimistic Case – If the expected tax buoyancy does not materialize, the burden will shift to government expenditure, impacting social welfare programs and public investments.

Government Expenditure at Risk

• Since government expenditure is directly linked to tax revenue, any shortfall in tax collections will necessitate spending cuts.
• Under the Fiscal Responsibility and Budget Management (FRBM) Act, the government is restricted in its ability to exceed the deficit target set in the Budget. This makes fiscal policy pro-cyclical (moving with GDP trends) rather than countercyclical, which is essential during economic slowdowns.
• Despite concerns about slow economic growth, the government revised its fiscal deficit target from 5% to 4.8% in 2024. This led to ₹1 lakh crore in expenditure cuts, affecting multiple sectors.
• A comparison of Budget Estimates (BE) vs. Revised Estimates (RE) shows that most flagship schemes saw funding reductions, demonstrating the government’s commitment to fiscal consolidation over expansionary spending.

Fiscal Consolidation vs. Fiscal Contraction

• A further reduction in the fiscal deficit target to 4.4% in 2025 indicates a shift from fiscal consolidation to contraction. If a 4.8% deficit failed to revive growth, a 4.4% target is unlikely to succeed.
• The economy requires external stimuli such as exports, corporate investment, or government spending to drive growth. However, with government expenditure being restricted, the reliance shifts to exports and private sector investments.
• The 2025 Economic Survey expresses low optimism about global demand, indicating that the government is betting on corporate investment to drive growth. However, corporate investment has remained stagnant despite previous tax cuts and capital expenditure initiatives.
• The assumption that income tax cuts will boost consumption, drive investment, and create a self-sustaining growth cycle remains unproven.

Conclusion

• By prioritizing tax cuts over direct spending, the government is taking a one-way gamble. With fiscal space shrinking, the success of this strategy depends entirely on whether the private sector responds with increased investment and job creation.
• If this fails, government expenditure cuts will affect essential programs, worsening economic disparities. Whether this gamble will pay off remains uncertain.

4) Beggar-Thy-Neighbour Policies and Their Impact on Global Trade

GS 2: International Relations: Beggar-thy-neighbour policies

Why is it in the news?

• Beggar-thy-neighbour policies are protectionist economic measures aimed at improving a country’s economy at the expense of others. The most common example is a trade war, where governments impose high tariffs and strict quotas on foreign imports.
• Additionally, central banks may engage in currency wars by deliberately devaluing their currency to boost exports and reduce imports, making foreign goods more expensive.

Origins of the Concept

• Scottish economist Adam Smith first introduced the term in his 1776 book The Wealth of Nations to criticize mercantilist policies that promoted trade surpluses at the cost of other nations.
• Mercantilists believed that a country could grow its wealth by restricting imports and increasing exports. However, Smith argued that free trade benefits all nations in the long run.

Arguments in Favor of Protectionism

• Supporters of beggar-thy-neighbour policies argue that such measures protect key industries and domestic jobs. They emphasize national security concerns and the need to shield nascent industries from foreign competition.
• In currency wars, central banks justify devaluation as a way to make exports cheaper and imports costlier, leading to a trade surplus. This surplus, in turn, is perceived as boosting domestic demand for goods and supporting economic growth.

Criticism and Economic Consequences

• Critics highlight that these policies can backfire when countries retaliate with tit-for-tat tariffs and competitive currency devaluations. Historically, such measures led to a collapse in global trade and investment, particularly during the interwar period.
• Economic historians consider these protectionist policies as a major factor behind the Great Depression. In recent times, China and Japan have faced accusations of currency manipulation, while the rise of populist movements, especially under U.S. President Donald Trump, has revived fears of trade wars disrupting global commerce.

Impact on Consumers and the Economy

• Beggar-thy-neighbour policies primarily benefit domestic producers and politically influential industries but harm consumers.
• For example, U.S. tariffs on Chinese imports may shield American producers from competition but will raise prices for consumers due to reduced foreign supply. Similarly, when central banks devalue their currency, domestic consumers face reduced purchasing power as imports become costlier.

Alternatives to Retaliatory Policies

• Some economists argue that countries should not retaliate against protectionist measures like tariffs or currency devaluation. They believe unilateral free trade can minimize damage and even provide benefits.
• For instance, if the U.S. imposes tariffs on Chinese goods, retaliatory tariffs from China would only increase costs for Chinese consumers. Similarly, if the U.S. Federal Reserve devalues the dollar, China may benefit by keeping its currency stable, effectively receiving a subsidy for its consumers.

Conclusion

• Beggar-thy-neighbour policies pose a significant risk to global trade by triggering retaliatory actions that can halt economic growth. While they may offer short-term gains for specific industries, they often lead to long-term economic downturns and global instability.
• Maintaining open trade and avoiding retaliatory protectionism could be a more sustainable approach for global economic stability.

5) Jaishankar’s UAE Visit: Significance for India-UAE Relations and Gaza’s Post-War Role

GS 2: International Relations: India-UAE Relations

Why is it in the news?

• India’s diplomatic engagement with the UAE has significantly grown over the past five years, with External Affairs Minister visiting Abu Dhabi on January 27-29. This visit marked the Minister’s third trip to the UAE since his reappointment, underscoring the strengthening ties between the two nations.
• During his visit, he participated as Chief Guest at the inaugural Raisina Middle East Dialogue and held discussions with key Emirati leaders, including President Mohammad bin Zayed and Foreign Minister Abdullah bin Zayed.
• Additionally, PM Modi has visited the UAE seven times, highlighting the close bilateral relationship. A focal point of the visit was examining the UAE’s position in the ongoing Gaza crisis and its implications for India.

UAE’s Role in Gaza and Regional Priorities

• The UAE’s position on Gaza’s post-war administration remains crucial. Abu Dhabi has agreed in principle to help govern Gaza post-conflict, balancing its diplomatic relations with Israel while maintaining support for Palestinian statehood.
• The UAE has condemned Israel’s actions in Gaza, describing them as “genocide” and calling for the establishment of an independent Palestinian state. Despite criticism, the UAE remains committed to a reformed Palestinian Authority (PA) under a new leadership, rejecting the current PA’s legitimacy.
• This stance, however, faces resistance from the Palestinian Authority, which opposes Emirati involvement in Gaza’s governance unless Israeli security forces withdraw.
• The UAE’s regional priorities are deeply influenced by its economic and security considerations. As a leading player in the Gulf’s diversification efforts, Abu Dhabi seeks long-term stability in the region. With one of the world’s largest sovereign wealth funds and significant oil reserves, the UAE has expanded its geopolitical influence.
• Its involvement in Palestine, however, is motivated more by pragmatic concerns for stability than ideological affinities. The UAE’s careful diplomacy in the Gaza crisis aims to balance its economic interests, particularly safeguarding energy infrastructure from regional conflicts, while pushing for a Palestinian state.

India-UAE Relations: Growing Strategic Alignment

• India and the UAE share common interests in the region, especially in addressing the Israel-Palestine conflict through a negotiated solution. Beyond this, both nations have aligned their geopolitical strategies.
• India has actively led regional initiatives such as the I2U2 and IMEEC, while the UAE has supported India’s stance on Kashmir and invested in Jammu and Kashmir’s commercial infrastructure. The bilateral ties between India and the UAE have remained resilient, even amidst the current regional turmoil.
• The UAE’s support for India’s diplomatic positions on Kashmir and its economic cooperation with India, particularly through initiatives like the Comprehensive Economic Partnership Agreement, demonstrate the depth of this relationship.
• The India-UAE economic ties have remained largely stable, with trade slightly declining from $84.84 billion in 2022-2023 to $83.65 billion in 2023-2024. This minor dip contrasts with the significant impact of regional disruptions on trade with other partners like Israel and Saudi Arabia.
• The two countries have also established cooperative arrangements across sectors such as civil nuclear cooperation and bilateral investment treaties, ensuring that their relationship continues to grow despite regional uncertainties.

The Strategic Importance of IMEEC and Regional Stability

• One of the most significant geopolitical initiatives in recent years is the India-Middle East-Europe Economic Corridor (IMEEC), a project that holds immense potential for economic integration and stability across the region.
• This corridor, which is closely linked to the post-Abraham Accords Middle East order, is in the mutual interest of both India and the UAE. Ensuring regional stability, especially in the wake of the Gaza conflict, is crucial for the success of this mega project, which aims to connect India with Europe through the Middle East.
• Both nations recognize that the eruption of regional conflicts could disrupt this economic vision, making it essential to maintain order and prevent further escalation of regional tensions.

Conclusion

• The UAE’s role in the Gaza crisis, its regional priorities, and its growing relationship with India illustrate a shared vision for stability and prosperity. As both countries navigate the complexities of regional conflicts, their bilateral cooperation remains a cornerstone for strategic alignment.
• For India, the UAE’s diplomatic stance on Palestine and its active participation in regional initiatives align with New Delhi’s broader geopolitical objectives.
• Maintaining stability in the region, particularly through projects like the IMEEC, is vital for both nations as they work to safeguard their economic and strategic interests.

6) Trump’s Deportation Policy: Use of Military Planes for Indian Migrants

GS 2: International Relations: U.S. large scale deportation

Why is it in the news?

• A US military C-17 aircraft carrying 205 deported Indian migrants departed from San Antonio, Texas, at 3 AM IST on February 4. This move aligns with US President Donald Trump’s strict crackdown on illegal immigration, a key election promise.
• Under his administration, large-scale deportations have intensified, with military planes now being used for the process.

The High Cost of Military Deportation Flights

• The use of military aircraft for deportations is unusual and costly. While the US typically deports illegal immigrants using commercial charter planes operated by US Customs and Immigration Enforcement (ICE), military planes like the C-17 have drawn attention.
• A Reuters analysis compared the costs of different deportation methods. A recent military flight to Guatemala cost approximately $4,675 per migrant, over five times the $853 cost of a first-class commercial ticket on the same route.
• ICE charter flights, costing $17,000 per flight hour, typically last five hours, bringing the cost per deportee to around $630. In contrast, a C-17 military transport aircraft costs $28,500 per hour to operate.
• The deportation flight to India is the longest such mission to date, following previous flights to Guatemala, Peru, Honduras, and Ecuador.

Why Trump Prefers Military Planes for Deportations

• Trump’s decision to use military aircraft is largely symbolic. He has often described illegal immigrants as “aliens” and “criminals” who are “invading” America. The image of deportees being shackled and loaded onto military planes reinforces his tough stance on immigration.
• Speaking to Republican lawmakers, Trump emphasized this approach, stating: “For the first time in history, we are locating and loading illegal aliens into military aircraft and flying them back to the places from which they came… We’re respected again.”
• On January 24, White House Press Secretary posted pictures on X of handcuffed migrants being led onto a military plane, saying: “Deportation flights have begun. President Trump is sending a strong and clear message to the world: if you illegally enter the United States, you will face severe consequences.”

Latin America’s Opposition to Military Deportations

• The use of military planes has created diplomatic tensions, especially in Latin America. Colombia recently refused to accept deportees arriving on a US military aircraft, with President Gustavo Petro demanding civilian planes instead.
• Historical US military interventions in Latin America have left a deep impact, making military deportations a politically sensitive issue. The New York Times noted that leftist leaders, including Brazil’s President view such actions as reminders of past US covert operations in the region.
• Mexico’s President has also expressed concerns, stating: “They can act within their borders. When it comes to Mexico, we defend our sovereignty.”

Conclusion

• Trump’s use of military planes for deportations is both a strategic and symbolic move, reinforcing his hardline immigration policies.
• However, the high costs and diplomatic pushback from affected nations raise questions about the long-term sustainability of this approach. As deportations continue, the US may face increased resistance from countries unwilling to accept returnees under such conditions.