1) Rising Consumer Credit: A Cause for Concern?

GS 3: Economy: RBI’s Financial Stability Report (FSR) 2024

Why is it in the news?

• The Financial Stability Report (FSR) 2024 by the Reserve Bank of India (RBI) highlights the increasing stock of household debt, which has risen from 36.6% of GDP in June 2021 to 42.9% in June 2024. Although household debt in India remains lower than in most emerging markets, its steady rise is a concern.
• Ideally, debt is used for asset creation, but household assets have declined from 110.4% of GDP in June 2021 to 108.3% in March 2024. This suggests that more borrowing is being used for consumption rather than investment, which could indicate macroeconomic weaknesses.

Borrowing and Credit Quality

• Despite rising household debt, the RBI notes positive trends in credit quality. The increase in borrowing is due to a rise in the number of borrowers rather than excessive individual indebtedness. The share of sub-prime borrowers has declined, with nearly two-thirds of loans being held by prime and super-prime borrowers.
• Higher per-capita debt is primarily seen among super-prime borrowers, who typically use loans for asset creation. Since the pandemic, individual consumer borrowing has been a major driver of credit growth, and RBI’s measures to curb this trend since September 2023 have led to a shift towards healthier borrowers.
• This indicates that credit growth is being led by financially stable borrowers who are primarily investing in assets.

Growing Consumption-Based Borrowing

• Despite improvements in borrower quality, the rising share of loans for consumption purposes is a concern. More households are taking loans not to invest in assets like houses or vehicles but for consumption needs.
• While 64% of super-prime borrowers’ loans are for asset creation, nearly half of sub-prime borrowers’ loans are for consumption. Lower-income households, especially those earning below ₹5 lakh, rely more on unsecured loans like credit card debt, while wealthier households take loans for housing.
• Additionally, delinquencies in personal and credit card debt have increased in September 2024 compared to the previous year, highlighting financial stress among lower-income groups.

Risks of Rising Consumer Debt

• The RBI warns about financial stress for lower-income households, as many borrowers with credit card or personal loans also have housing or vehicle loans. A default on any one loan could result in all loans of that borrower being classified as non-performing, creating risks for the banking sector.
• While the RBI asserts that the share of sub-prime borrowers is decreasing, the growing consumer debt burden still poses macroeconomic risks.

Economic Impact of Debt Burden

• The rising reliance on consumption-based loans, particularly among low-income households, raises critical concerns.
• It remains unclear whether this trend is due to income insecurity since the pandemic or increased access to credit through financial innovations. If borrowing is driven by income insecurity, it signals economic weakness, whereas easy access to credit without financial stability could lead to financial distress.
• The rise in household debt, especially among lower-income groups, reduces the power of the income multiplier. Since poorer households spend a larger share of their income on consumption, their indebtedness could lead to reduced spending and a lower economic multiplier effect. This could slow economic growth, even with increased investment.
• Furthermore, macroeconomic policies such as income tax reductions may have limited impact if a significant portion of household income is diverted toward debt repayment. While the shift toward prime borrowers is a positive sign, policymakers must remain vigilant about the risks associated with rising consumption loans and unsecured credit.

2) Evolution of the Computer Mouse

GS 3: Science and Technology: Advancement in mouse technology

Why is it in the news?

• The computer mouse has evolved from bulky mechanical devices to sleek, ergonomic designs that enhance user experience. Acting as an extension of the hand, it allows users to interact graphically with digital content, making tasks like browsing, video editing, and gaming more intuitive.
• Over the years, the primary advancements in mouse technology have focused on improving the way user movements are translated into cursor movements on the screen.

Types of Computer Mice

• A standard computer mouse accepts two types of inputs: motion and button clicks. While the buttons function as simple switches that complete a circuit when pressed, the motion detection mechanism has undergone significant changes.
• The earliest models used a trackball to detect movement, whereas modern mice rely on laser technology for higher accuracy and smoother operation.

The Trackball Mouse

• The mechanical or trackball mouse featured a ball on its underside that rotated as the user moved the mouse. This ball exerted pressure on two perpendicular rollers—one detecting movement along the Y-axis and the other along the X-axis. A third spring-loaded roller ensured firm contact between the ball and the other rollers.
• Each roller was connected to an encoder wheel with unique edges, positioned between an infrared light source and a sensor. As the ball moved, it rotated the rollers, causing the encoder wheels to spin and interrupt the light, generating a digital signal composed of 1s and 0s. Logical circuits then determined the direction of movement based on these signals.
• The trackball’s casing was typically made of steel and covered with molded rubber to ensure proper friction and movement accuracy. However, regular cleaning was necessary to maintain performance, as dust and dirt could interfere with its functioning.

The Optical Mouse

• The advent of the optical mouse, pioneered by Microsoft in 1999 with the “IntelliMouse,” eliminated the need for a trackball. Instead, it used a laser pointer that directed light onto the surface beneath the mouse.
• This light reflected back into a complementary metal-oxide semiconductor (CMOS) sensor, which functioned like a miniature camera, capturing 1,500 to 6,000 images per second.
• A digital signal processor analyzed these images, detecting movement patterns and calculating how far the mouse had moved, sending the corresponding coordinates to the computer.
• Optical mice offered several advantages over trackball mice, including higher sensitivity to small movements and reduced maintenance requirements. Earlier attempts at optical mice, such as Xerox’s 1980s model with a low-resolution camera, failed due to high computational demands.

Conclusion

• From its humble beginnings to modern laser-based designs, the computer mouse has continuously evolved to enhance user interaction.
• Whether mechanical or optical, every iteration of the mouse has relied on innovative engineering to transform simple hand movements into precise on-screen actions, making it an indispensable tool in the digital age.

3) Turning Urine into Plant Fuel: A Greener Electrochemical Process

GS 3: Science and Technology: A new electrochemical technique

Why is it in the news?

• A new electrochemical technique proposes a novel way to convert urine into a valuable resource. The process extracts urea, a nitrogen-rich compound in urine, and transforms it into a crystalline peroxide derivative called percarbamide.
• This approach serves a dual purpose—treating urine in urban wastewater while converting it into a sustainable agricultural resource.

The Historical Connection: From Gold to Phosphorus

• In the 17th century, German alchemist Hennig Brand attempted to extract gold from urine due to its golden colour. While he failed in his quest, he accidentally discovered phosphorus, a key element essential for plant growth.
• Urine, often referred to as “liquid gold,” contains phosphorus, potassium, and nitrogen—the primary components of commercial fertilizers.

A Sustainable Approach to Urea Extraction

• Humans consume nitrogen through food, which is then converted into urea and excreted via urine. Although urine is rich in nitrogen and has the potential to be a natural fertilizer, efficient extraction methods have been lacking.
• The new electrochemical process fills this gap by enabling the direct extraction of urea from urine in its solid form, making it a more sustainable solution for nitrogen recycling.

The Concept of Pee-Cycling

• On average, an adult produces 450-680 litres of urine annually, which contains about 4 kg of nitrogen and 0.3 kg of phosphorus—enough to sustain wheat growth for a daily loaf of bread throughout the year.
• Despite its nutrient content, urine is usually discarded due to the complexity of its components, particularly salts, which interfere with urea extraction. However, the new study claims to have overcome this barrier, making urine a viable fertilizer source.

The Science Behind Urea Conversion

• Urea consists of nitrogen, oxygen, and hydrogen and readily forms hydrogen bonds with other molecules. When it bonds with hydrogen peroxide, it forms percarbamide, a white crystalline solid that can be extracted with high purity.
• Percarbamide has the ability to release active oxygen steadily, making it useful for various chemical processes, including facilitating urea recovery from urine.
• To harness this property, researchers developed an in-situ electrochemical technique using graphitic carbon-based catalysts. This process achieved nearly 100% purity in extracting percarbamide from both human and animal urine.
• The researchers initially aimed to stabilize hydrogen peroxide in liquid form but realized they could integrate their findings into the urine system, thereby addressing both urine treatment and nitrogen recycling simultaneously.
• The key to this breakthrough lies in an activated graphitic carbon catalyst, which enhances two chemical pathways leading to percarbamide formation.
• Pathway I: Urea reacts directly with hydrogen peroxide in the presence of a catalyst, facilitating interactions between the molecules.
• Pathway II: Urea binds to a highly reactive hydroperoxyl (-*OOH) intermediate, gains hydrogen ions (H⁺), and forms percarbamide with the aid of the catalyst.
• After extensive trials, researchers found that maintaining urea concentrations between 15% and 38%, slightly acidic conditions (pH ~4), and near-freezing temperatures optimizes percarbamide production.
• This purified compound combines the nitrogen benefits of urea with the oxidative power of hydrogen peroxide, presenting new possibilities for sustainable agriculture.
• The final product, when used as a fertilizer, ensures slow nitrogen release while enhancing root respiration and crop growth.

Conclusion

• This innovation addresses a missing link in the nitrogen cycle and introduces an efficient way to integrate resource recovery with wastewater treatment.
• The researchers believe that their approach could revolutionize the way society views and utilizes waste, paving the way for a more sustainable future.

4) Baloch Insurgency and the Jaffar Express Hijacking in Pakistan

GS 2: International Relations: Baloch Insurgency 

Why is it in the news?

• On March 11, 2025, insurgents from the Balochistan Liberation Army (BLA) attacked and hijacked the Jaffar Express, a passenger train traveling from Quetta to Peshawar. The attack took place in the Bolan district of Balochistan, a province in southwestern Pakistan.
• The BLA claimed responsibility, stating that they had taken 182 hostages and killed 20 Pakistani military officers while also downing a drone. This attack, significant due to its scale, is the latest in a series of BLA-led operations.

Details of the Attack

• The Jaffar Express, consisting of nine coaches and carrying approximately 500 passengers, was stopped by armed insurgents inside Tunnel No. 8.
• While civilian passengers, particularly women, children, the elderly, and Baloch individuals, were reportedly released, the BLA stated that they had taken Pakistani Army, Inter-Services Intelligence (ISI), and Anti-Terrorism Force (ATF) personnel hostage.
• The attack follows a history of security concerns along this railway route. Train services between Quetta and Peshawar were previously suspended due to BLA attacks, including infrastructure sabotage in August 2024 and a deadly blast at Quetta railway station in November that killed 62 people.

The Balochistan Liberation Army (BLA)

• The BLA, founded in the early 2000s, seeks Baloch independence and has been banned by Pakistan since 2006. In 2019, the United States designated it as a global terrorist organization.
• The group has a history of targeting security forces and infrastructure. The hijacking of the Jaffar Express was carried out by the Majeed Brigade, BLA’s suicide squad, active since 2011. This squad was also behind the March 2024 attack on a security complex near Gwadar port.
• Other BLA units, including the Special Tactical Operations Squad (STOS), Fatah Squad, and Zirab Units, were also reportedly involved in the train attack.

Historical Roots of the Baloch Insurgency

• Balochistan, the largest but least populated of Pakistan’s four provinces, is rich in natural resources like oil, gas, gold, and copper. However, the province has lagged in economic development, leading to long-standing grievances among the ethnic Baloch population.
• Many Baloch accuse Pakistan’s central government of economic exploitation, particularly Punjab’s dominance in politics, military, and industries.
• The roots of Baloch demand for independence date back to 1948. Initially, Balochistan remained independent under a treaty with Pakistan. The Khan of Kalat, a key regional leader, sought independence for his territories, which included Kalat, Makran, Las Bela, and Kharan.
• However, amid geopolitical pressures, including British concerns about Russian influence and local demands for integration, Balochistan was incorporated into Pakistan in March 1948. Despite this, calls for independence have persisted.

Recent Attacks and Foreign Relations

• Pakistan has often accused India of supporting Baloch insurgents, a claim India denies. More recently, China’s involvement in the China-Pakistan Economic Corridor (CPEC) has made it a target of Baloch insurgents.
• In October 2024, two Chinese nationals were killed in a BLA-led suicide attack, reflecting local fears that major infrastructure projects like CPEC do not benefit the Baloch population. Targeting Chinese workers also sends a strong message to Pakistan, as China remains one of its few strategic allies.

Conclusion

• The hijacking of the Jaffar Express highlights the ongoing unrest in Balochistan and the growing intensity of insurgent attacks. While Pakistan continues its military operations against the BLA, the deep-rooted grievances of the Baloch people regarding economic marginalization and political representation remain unresolved.
• Addressing these issues through inclusive development and dialogue could be key to long-term stability in the region.

5) India’s Air Pollution Crisis: Delhi Worst Among Capitals, Byrnihat Tops Globally

GS 3: Environment and Biodiversity: World Air Quality Report 2024

Why is it in the news?

• For the sixth consecutive year, Delhi has been named the world’s most polluted national capital, according to the World Air Quality Report 2024 by Swiss air quality monitoring company IQAir.
• India also accounted for 13 of the world’s 20 most polluted cities, highlighting the severity of the country’s air pollution crisis.

Byrnihat: The World’s Most Polluted City

• Byrnihat, located on the Assam-Meghalaya border, was identified as the world’s most polluted city. The report analyzed air quality data from 40,000 monitoring stations across 138 countries, focusing on PM2.5 concentrations—fine particulate matter that poses severe health risks.
• These pollutants originate from fossil fuel combustion and can lead to respiratory diseases, kidney problems, cancer, strokes, and heart attacks.

A Global Concern

• The report found that in 2024, a majority of the global population breathed polluted air. Only 12 countries, regions, and territories recorded PM2.5 levels below the World Health Organization’s (WHO) recommended limit of 5 µg/m³.
• Most of these were in Latin America, the Caribbean, and Oceania. The five most polluted countries were Chad (91.8 µg/m³), Bangladesh (78 µg/m³), Pakistan (73.7 µg/m³), Congo (58.2 µg/m³), and India (50.6 µg/m³).
• Only 17% of 8,954 cities worldwide met WHO air quality standards, while the 20 most polluted cities, spread across India, Kazakhstan, Chad, Pakistan, and China, exceeded the guidelines by more than ten times.

India’s Air Pollution Crisis

• India recorded an average PM2.5 concentration of 50.6 µg/m³ in 2024, reflecting a 7% improvement from 2023 (54.4 µg/m³). However, six Indian cities ranked among the world’s 10 most polluted.
• Byrnihat topped the global list with an annual PM2.5 average of 128.2 µg/m³. Delhi remained severely affected, registering 91.6 µg/m³ in 2024, almost the same as in 2023 (92.7 µg/m³).

Seasonal Pollution Trends

• India’s northern states witnessed extreme pollution episodes throughout 2024. Delhi and Himachal Pradesh experienced particularly poor air quality in January. November saw extreme pollution levels across Delhi, Punjab, Chandigarh, Haryana, and Himachal Pradesh, with crop stubble burning responsible for 60% of PM2.5 pollution during peak periods.
• Additional pollution sources included vehicular emissions, industrial discharges, and construction dust. The report underscores the urgent need for stronger pollution control measures in India.

6) Space Technology for Effective Governance

GS 3: Science and Technology: Space-based applications

Why is it in the news?

• At the “Good Governance” Conclave, the Minister of Science and Technology emphasized the growing role of space technology in improving governance.
• Space-based applications are being increasingly used to enhance planning, monitoring, and evaluation of developmental initiatives across various sectors.

Understanding Space Technology

• Space technology refers to advanced systems used for space-based activities, including Earth observation, satellite communication, and global navigation. It also encompasses robotic and human space exploration beyond Earth’s atmosphere.
• Governments rely on geospatial data and satellite technology to enhance governance by improving decision-making and the execution of policies.

Future Growth and Economic Potential

• India’s space sector is witnessing rapid expansion, with the national space budget tripling and over 300 startups contributing to its development. The industry’s worth is expected to rise from $8 billion to $44 billion, strengthening India’s position as a key global space player.
• Notable upcoming missions include India’s first human spaceflight under the Gaganyaan Mission, with trials scheduled for late 2025. Additionally, India has set ambitious goals to send an astronaut to the Moon by 2040 and establish the Bharat Antariksh Station by 2035.

Applications of Space Technology in Governance

Disaster Management and Emergency Response

• The National Remote Sensing Centre (NRSC) provides satellite imagery to identify flood-prone regions, assess disaster impact, and assist in rehabilitation efforts.
• The National Disaster Management Authority (NDMA) also relies on satellite data for efficient disaster relief operations, improving response strategies.

Agriculture and Rural Development

• The FASAL program (Forecasting Agricultural output using Space, Agrometeorology, and Land-based observations) utilizes satellite data to predict crop yields, enabling farmers to make better-informed decisions.
• Additionally, remote sensing technologies support soil health monitoring and irrigation management, boosting agricultural efficiency.

Land Management and Property Records

• The Swamitva Yojana leverages satellite mapping for land record management, simplifying land ownership verification and enhancing transparency. This initiative reduces disputes and strengthens governance in land administration.

Environmental and Climate Monitoring

• The Bhuvan web-based platform, developed by ISRO, offers satellite-derived data for various environmental and land-use applications.
• Satellites such as the Oceansat series provide valuable insights into sea surface temperatures, rising sea levels, and coastal erosion, aiding climate change mitigation efforts.

National Security and Defense

• Remote sensing satellites play a crucial role in border surveillance and intelligence gathering. These technologies enhance national security by enabling real-time monitoring and strategic planning.

Enhancing Administrative Efficiency

• Satellite-based solutions support the Digital India initiative by improving access to e-governance services. This enhances service delivery in crucial sectors like healthcare, education, and public administration, ensuring better governance.

Challenges in Implementing Space Technology

• Despite its transformative potential, space technology faces several obstacles. The high costs associated with satellite development, maintenance, and launches pose a significant financial challenge.
• Additionally, infrastructure gaps, limited technical expertise, and a shortage of skilled personnel in remote areas hinder its widespread adoption.
• Proper interpretation of satellite data is essential, as errors in data analysis can lead to flawed governance decisions.
• Privacy concerns also arise due to increased surveillance, while frequent satellite launches contribute to space debris and environmental concerns.

Way Forward

• To maximize the benefits of space technology, India must invest in strengthening its ground infrastructure, data centres, and communication networks. Encouraging public-private partnerships can help reduce costs, drive innovation, and expand the use of space-based applications.
• Increasing the number and variety of satellites will improve coverage, especially in underserved areas. Research into space technology and its applications in areas such as climate adaptation and urban planning should be promoted.
• Lastly, sustainable space practices must be adopted to minimize environmental impacts and manage space debris effectively.

7) Greenland Elections: Impact on Independence and US Interests

GS 2: International Relations: Greenland Elections

Why is it in the news?

• Greenland recently held a closely watched Parliamentary election on March 11. The election was significant amid US President Donald Trump’s interest in acquiring Greenland and the island’s growing push for independence from Denmark, to which it remains an autonomous territory.

Key Players and Issues

• The election revolves around local concerns such as jobs, the economy, healthcare, and education, alongside the larger question of independence from Denmark. The ruling Inuit Ataqatigiit party, led by Prime Minister Múte Egede, along with its ally Siumut, supports a cautious path to independence.
• The opposition Naleraq party is more enthusiastic about US cooperation and wants a quicker break from Denmark. Meanwhile, the centre-right Atassut advocates continuing ties with Denmark, at least for now.

Greenland’s Relationship with Denmark

• Greenland was a Danish colony in the 19th century and became an autonomous territory in 1953 during post-World War II decolonization. Although there is strong support for full independence, Greenland’s economy remains heavily dependent on Denmark’s block grant, a £480 million annual subsidy. Denmark also provides welfare programs like healthcare, which are crucial for Greenlanders.
• Despite abundant natural resources, including rare minerals, Greenland has not fully explored its extraction potential due to harsh weather and environmental concerns. These minerals are of great interest to global powers, including the United States and China.

US Interests in Greenland

• The United States has long been interested in Greenland, well before Trump’s proposal to purchase it. Greenland’s strategic location in the North Atlantic makes it critical for defense and surveillance.
• During World War II, the US defended Greenland from German threats and built air bases there. The 1951 US-Denmark Defense Agreement recognized Danish sovereignty while granting US military access to Greenland.
• The Pituffik Space Base (formerly Thule Air Base) is a key US military facility in Greenland. It allows the US to monitor potential missile threats from Russia, China, and North Korea while enabling military operations towards Europe and Asia.

Trump’s Economic and Strategic Goals

• Trump’s interest in Greenland extends beyond military strategy. The island holds vast reserves of rare earth minerals, essential for mobile phones, electric vehicles, and military weapons. Currently, China dominates the supply of these minerals, and the US wants to reduce its dependence by investing in Greenland’s resources.
• While Trump has promised to “make Greenlanders rich”, the island’s population wants independence on its own terms. A survey suggests 85% of Greenlanders oppose becoming part of the US.
• Additionally, Greenland prioritizes environmental sustainability, having passed a 2021 law banning uranium mining. If US or private companies exploit Greenland’s resources, the fragile ecosystem could suffer.

Election Impact on Greenland’s Future

• The election results will shape Greenland’s path towards independence and foreign partnerships. If parties favouring closer US ties gain power, it could bring new economic opportunities but also environmental and political challenges.
• However, if pro-Denmark parties retain influence, Greenland’s push for independence may slow down. The election will determine whether Trump’s ambitions to acquire Greenland remain just rhetoric or gain a political opening.
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