Global Plastic Pollution: Why a Ban Remains Elusive

GS 3: Environment and Biodiversity: Regulating Plastic Production

Why is it in the news?

• The fifth meeting of the Intergovernmental Negotiating Committee (INC-5) on plastic pollution, held in Busan, South Korea, aimed to finalize a Global Plastics Treaty.
• Delegates from 170 countries discussed strategies to address plastic pollution, including limiting production and improving waste management.
• However, the meeting failed to produce a consensus, highlighting a divide between countries focusing on waste management and those insisting on cutting plastic production.

About the Global Plastics Treaty

• The United Nations Environment Assembly (UNEA) in March 2022 set a goal to end plastic pollution, including marine waste. INC committees were tasked with drafting a treaty by 2024.
• Although countries like India have banned single-use plastics and promote recycling, others are hesitant to limit plastic production due to economic dependencies on the plastic industry.
• INC-5 discussions centred on a draft text summarizing global views, but the divergent approaches to tackling plastic pollution remained irreconcilable.

The Scale of Plastic Pollution

1) Global Plastic Waste Statistics

• Plastic waste generation has nearly tripled since 1970, with the world producing approximately 400 million tonnes annually today. Forecasts suggest production could reach 1,100 million tonnes by 2050.
• Single-use plastics, which comprise 36% of global production, contribute significantly to waste, with 85% ending up in landfills or unregulated environments. Alarmingly, less than 10% of the seven billion tonnes of plastic waste produced so far has been recycled.

2) Common Plastic Waste

• Cigarette butts, containing plastic fibres, are the most prevalent plastic waste, followed by food wrappers, plastic bottles, caps, grocery bags, straws, and stirrers. The environmental costs of plastic waste are staggering, with an estimated $80-$120 billion lost annually in sorting and processing plastic packaging waste.
• Furthermore, the carbon footprint of plastic production and disposal could consume 19% of the global carbon budget by 2040.

India’s Position on the Treaty

1) India’s Stance

• India opposes regulating primary plastic polymer production, citing concerns about its developmental rights and economic implications. Indian delegate emphasized consensus-based decision-making and highlighted India’s measures, including a ban on 22 single-use plastics and implementing Extended Producer Responsibility.
• However, India’s significant reliance on virgin polymer production for trade aligns its stance with other petrochemical states like China and Saudi Arabia.

2) Opposition to Voting Proposals

• India strongly objects to proposals allowing voting on draft texts, asserting that all decisions in such negotiations must be unanimous.
• This insistence on consensus often leads to prolonged deadlocks, making progress on multilateral environmental agreements challenging.

Challenges

• At INC-5, 85-100 countries supported production cuts and trade restrictions, but opposition from key states prevented an agreement. The failure underscores the complexity of balancing environmental priorities with economic interests.

Conclusion

• The failure at Busan is not the end. A follow-up session, likely dubbed “INC 5.2,” is expected in 2025. If a treaty is finalized, it could establish periodic Conferences of Parties (COPs), similar to climate talks, to oversee implementation.
• However, historical precedents suggest the process could take years. For instance, negotiations for the United Nations Convention on the Law of the Sea spanned five years and multiple sessions.

RBI: De-risking Trade Without De-dollarisation

GS 3: Economy: RBI on De-dollarisation

Why is it in the news?

• RBI Governor Shaktikanta Das clarified that India is not pursuing de-dollarisation but is instead focusing on de-risking trade. Measures such as enabling Vostro accounts and promoting local currency trade agreements aim to diversify trade risks rather than reduce reliance on the US dollar.
• This clarification followed US President-elect Donald Trump’s threat of “100 per cent tariffs” on BRICS countries if they attempted to reduce dollar usage in global trade.
• Das highlighted discussions among BRICS nations (Brazil, Russia, India, China, South Africa) about introducing a shared currency, but no decisions were made. He pointed out that geographical diversity, unlike the Eurozone’s proximity, poses challenges for a common currency among BRICS nations.

India’s Position on the Yuan

• India’s cautious stance on de-dollarisation is partly influenced by the Chinese yuan’s rising prominence as a competitor to the US dollar.
• While Russia has increased its reliance on the yuan due to Western sanctions, India has resisted using it for Russian oil imports. This approach reflects India’s concern about boosting the yuan’s global influence. Simultaneously, India remains wary of over-dependence on the US dollar.
• The RBI has bolstered its gold reserves, moving some of its gold holdings back to the country. This aligns with global trends of central banks hedging against dollar dominance, driven by uncertainties following the Ukraine war and fears of secondary sanctions.

Gold-Buying Spree by Central Banks

• Central banks, particularly in emerging markets, have sharply increased gold purchases to diversify away from a dollar-dominated financial system.
• According to JP Morgan, central banks bought a record 1,136 tonnes of gold in 2022, followed by 1,037 tonnes in 2023. The World Gold Council reported that in October 2023 alone, central banks purchased 60 tonnes of gold. The RBI led these acquisitions with 27 tonnes, followed by Turkey (17 tonnes) and Poland (8 tonnes).
• China, a significant buyer, has acquired record amounts of gold in the past two years, driven by its trade war with the US and its role as Russia’s key trading partner amid sanctions.
• The IMF has noted a gradual decline in the dollar’s share in global reserves, with the yuan’s gains accounting for a quarter of this reduction. JP Morgan highlighted that increased gold reserves allow central banks to reduce their need for precautionary US dollar holdings, freeing up resources for growth-focused projects.

High Costs of Dollar Reliance

• Depleting dollar reserves, coupled with surging oil prices, have caused political and social unrest in India’s neighbourhood. Countries like Sri Lanka, Bangladesh, Nepal, and Pakistan have faced sharp declines in dollar reserves post-Ukraine war, disrupting trade relations.
• Although India has maintained robust reserves, the rising dollar value remains a concern. To mitigate risks, India is promoting trade in domestic currencies with countries like Russia and the UAE. However, this approach has not gained significant traction due to India’s low global trade presence.
• Efforts to internationalise the rupee could see progress if oil exporters begin accepting rupee payments. However, high transaction costs deter such agreements.
• Meanwhile, China has effectively traded with Russia in their domestic currencies, leveraging a balanced trade relationship. In contrast, India’s bilateral trade deficit with most countries, except the US, limits its ability to replicate such models.

India’s Economic Growth and Emissions: A Complex Relationship

GS 3: Environment and Biodiversity: Growth Vs Emissions

Why is it in the news?

• India’s economy has experienced substantial growth in recent decades, but this progress has often been associated with rising environmental challenges, particularly higher greenhouse gas (GHG) emissions.
• The Economic Survey of India (2023-24) suggests that India has managed to decouple its economic growth from GHG emissions, noting that between 2005 and 2019, the country’s GDP grew at a compound annual growth rate (CAGR) of 7%, while emissions increased at a slower pace of 4% per year.
• This raises an important question: Has India truly achieved decoupling, and what implications does this have for sustainable development?

An Analysis

Understanding Decoupling

• Decoupling refers to the separation of economic growth from environmental degradation. Traditionally, economic growth has been linked to increased environmental harm, especially in terms of GHG emissions.
• With the intensifying climate crisis, there is a growing global demand for solutions that allow countries to reduce emissions while maintaining economic growth.
• Decoupling is classified into two types: absolute decoupling and relative decoupling. Absolute decoupling occurs when the economy grows while emissions decline, which is the ideal scenario.
• In contrast, relative decoupling happens when both GDP and emissions grow, but the rate of GDP growth outpaces the rate of emissions growth. While relative decoupling represents progress, emissions are still rising, albeit at a slower pace.

Green Growth vs. Degrowth

• Decoupling is a central issue in the ongoing debate between green growth and degrowth. Proponents of green growth argue that it is possible to achieve economic growth while minimizing environmental damage.
• On the other hand, degrowth advocates believe that economic growth is the main driver of ecological degradation and must be limited to reduce resource consumption.
• However, the degrowth argument fails to consider the challenge many countries face in improving living standards, addressing energy poverty, and providing decent living conditions—issues that can be tackled through economic growth.
• Therefore, while reducing emissions is crucial, the need for economic growth to improve quality of life must not be overlooked.

India’s Claim of Decoupling

• The claim of decoupling made in the Economic Survey is based on the comparison of GDP and emissions growth rates from 2005 to 2019. However, the Survey does not specify whether this decoupling is absolute or relative.
• To assess India’s progress, we examine decoupling indicators from the OECD (2002) and analyze the growth of GDP and emissions since 1990. While absolute decoupling has not been achieved, India’s GDP has grown much faster than its GHG emissions, suggesting relative decoupling.
• Since the 1990s, following significant trade liberalization, India’s GDP has expanded six-fold, while emissions have tripled, indicating that the economy has outpaced emissions growth, but emissions still continue to rise.

Sector-Specific Decoupling

• Agriculture and manufacturing are major contributors to GHG emissions in India. To assess whether these sectors have achieved decoupling, we compare the growth of their Gross Value Added (GVA) with the growth of emissions from these sectors.
• While emissions in these sectors continue to rise, the growth rate of emissions has been slower than the growth in economic output, suggesting some level of relative decoupling.
• However, absolute decoupling—where both economic output and emissions decrease—is not yet achieved.

Sustainable Development and Long-Term Commitments

• Despite the challenges, India must continue pursuing policies that promote renewable energy, emissions mitigation, and sustainable development. These efforts will be essential to ensuring that economic growth and environmental preservation can coexist.
• Achieving absolute decoupling is a necessary goal for India to meet its long-term climate commitments. As India’s economy grows, it must find ways to balance economic prosperity with environmental sustainability to ensure a prosperous future for its citizens.

Conclusion

• India has made notable progress in decoupling its economic growth from emissions, but the journey toward absolute decoupling remains long and challenging.
• The ongoing task for India will be to foster economic growth while ensuring that emissions growth slows down and eventually stabilizes or declines. Achieving this balance will be crucial for meeting both development goals and climate commitments in the future.

RBI Uses AI to Combat Mule Bank Accounts and Digital Fraud

GS 3: Economy: Detecting Mule Bank Accounts

Why is it in the news?

• The Reserve Bank of India (RBI) announced on December 6, 2024, that it has developed an AI-powered model, MuleHunter.AI, to help banks tackle the growing issue of “mule” bank accounts.
• This initiative, created by the Reserve Bank Innovation Hub (RBIH) in Bengaluru, aims to reduce digital fraud by efficiently detecting mule accounts, which are commonly used in illegal activities such as money laundering.

What Are Mule Bank Accounts?

• A mule bank account is used by criminals to facilitate illegal activities, such as laundering illicit funds. Typically, these accounts are obtained from individuals, often from lower-income groups or those with limited technical literacy, who are unaware that their accounts are being exploited.
• These individuals, known as “money mules,” are often left to bear the brunt of investigations, while the actual criminals behind the fraud remain undetected.

RBI’s Measures to Tackle Digital Fraud

• The RBI has been working with banks and other stakeholders to combat digital fraud in the financial sector. This includes guidelines to improve cybersecurity, cyber fraud prevention, and transaction monitoring.
• Mule accounts are frequently used by fraudsters to channel the proceeds of their crimes. The introduction of MuleHunter.AI is a significant step in efficiently identifying these mule accounts, enabling the RBI to better combat financial fraud.

Impact of Mule Accounts in India

• Mule bank accounts have become a critical component in online financial frauds in India. Recent reports indicate that the Indian government has frozen approximately 4.5 lakh mule accounts, most of which were being used to launder money from cyber crimes.
• The majority of these accounts were detected in several major banks, including State Bank of India (SBI), Punjab National Bank (PNB), Canara Bank, Kotak Mahindra Bank, and Airtel Payments Bank.

Government’s Efforts to Tackle Mule Accounts

• To address the issue of mule accounts, the Department of Financial Services (DFS) Secretary held a meeting with officials from the RBI, Indian Cybercrime Coordination Centre (I4C), National Bank for Agriculture and Rural Development (NABARD), and various public- and private-sector banks.
• The meeting focused on leveraging advanced technologies like AI/ML solutions for real-time detection of mule accounts. Bank staff were also urged to be trained in fraud detection and prevention.
• Additionally, banks were encouraged to implement the RBI’s MuleHunter solution to enhance the detection and monitoring of mule accounts. This was part of broader discussions on how to combat digital fraud effectively, with a specific focus on mule accounts.

Future Steps and Innovations

• The RBI is also promoting innovation in financial fraud prevention by running a hackathon themed “Zero Financial Frauds,” which includes a challenge focused on mule accounts.
• The goal is to encourage the development of creative and effective solutions to further address the growing issue of mule accounts and digital fraud in India.
• In response to the increasing number of mule accounts, experts propose restrictions on withdrawals from accounts that suddenly become active after remaining dormant for long periods. Also, they suggest to monitor unusual transactions, such as a dormant account suddenly receiving large deposits, and implementing safeguards to prevent misuse of such accounts.

New Delhi’s Cautious Stance on Syria’s Post-Assad Transition

GS 2: International Relations: India Cautious approach towards Syria

Why is it in the news?

• The exit of Syrian President Bashar al-Assad, who fled Syria on December 8, 2024, after Islamist rebels led by Hayat Tahrir al-Sham (HTS) entered Damascus, has been met with celebration in the streets of Syria’s capital but caution in global capitals, including New Delhi.
• While Assad’s departure marks a significant shift, the complexity of the situation, with multiple rebel groups involved and the involvement of foreign powers, has led to careful deliberation in countries like India.

Discontent with Assad’s Regime

• Bashar al-Assad’s rule, inherited from his father Hafez al-Assad in 1971, spanned over decades, with his leadership initially gaining widespread popularity. By 2009, he was seen as a prominent Arab leader with 68% support. However, his economic reforms lacked social justice, and the lower strata of society suffered.
• The Arab Spring in 2011 brought protests, which were met with a brutal crackdown by Assad’s regime, leading to a full-scale civil war. Over time, global powers became involved, with the US supporting the rebels and Russia, Iran, and Hezbollah backing Assad.
• The war also saw allegations of chemical weapons use by Assad and the rise of the Islamic State in parts of Syria.

Shift in Favour of HTS

• After years of conflict, 2024 marked a significant shift, with HTS gaining momentum. In April, HTS chief Abu Muhammad al-Jawlani predicted their victory in Aleppo and Damascus, and recent months have seen Syria’s traditional allies—Russia, Iran, and Hezbollah—distracted or weakened by external conflicts, allowing the rebels a window of opportunity.
• As Assad’s forces weakened, HTS capitalized on the situation. Turkey’s support for HTS and its rebel factions has also been a contributing factor.

HTS: A Complex Group with Shifting Allegiances

• HTS, originally founded as Jabhat al-Nusrah in 2012 as a branch of al-Qaeda’s precursor, evolved over time. In 2013, its leader, Jawlani, severed ties with al-Qaeda and later with ISIS, rebranding the group as HTS in 2016.
• While HTS is viewed as more pragmatic and focused on local issues than its extremist predecessors, its commitment to an Islamist worldview remains clear. This complex trajectory has raised questions about HTS’s true intentions in Syria’s future.

India’s Caution Amid Regional Instability

• India’s caution regarding Syria’s future is rooted in its historical perspective of the Arab Spring. The downfall of Gaddafi in Libya and the subsequent chaos and the rise of the Muslim Brotherhood in Egypt have shown how post-regime transitions can spiral into instability.
• While some Western analysts view HTS as more focused on Syrian nationalism, New Delhi remains cautious about the group’s future actions, especially regarding the country’s diverse ethnic and religious populations.

HTS’s Efforts to Reassure Minorities

• HTS leader al-Jawlani has tried to calm fears among Syria’s minorities, emphasizing the protection of civilian lives and property. In statements made after the group’s takeover of Aleppo, he reassured the population that the priority would be to ensure security and establish a governance system that would prevent arbitrary decision-making.
• His rhetoric, which stresses unity and stability, will be critical as HTS seeks to consolidate power in the post-Assad Syria.

Conclusion

• As Syria transitions into a post-Assad era, New Delhi and other international stakeholders will be closely monitoring the developments. Much like the global watch on the Taliban’s actions in Afghanistan, Syria’s future under HTS will be closely scrutinized for its potential impact on regional stability, governance, and minority rights.
• The world awaits to see whether HTS can move beyond its militant origins and build a system that ensures lasting peace and security for Syria’s people.

Nafithromycin: India’s First Indigenous Antibiotic

GS 3: Science and Technology: Fight against antimicrobial resistance  

Why is it in the news?

• Nafithromycin, India’s first indigenous macrolide antibiotic, marks a significant milestone in the fight against antimicrobial resistance (AMR).

Understanding Antimicrobial Resistance

• Antimicrobial Resistance (AMR) occurs when bacteria, viruses, fungi, and parasites evolve to resist antimicrobial medicines, making infections harder to treat. This leads to increased risks of severe illness, death, and the spread of disease.
• The misuse and overuse of antimicrobial drugs in humans, animals, and plants significantly accelerate the process. AMR is a pressing global health issue, causing around six lakh deaths annually in India alone.
• Addressing this crisis, India has focused on innovative drug development, including Nafithromycin, to tackle resistant infections effectively.

Development and Launch of Nafithromycin

• Nafithromycin was officially launched on November 20, 2024. Developed by Wockhardt with funding from the Biotechnology Industry Research Assistance Council (BIRAC), it targets Community-Acquired Bacterial Pneumonia (CABP) caused by drug-resistant bacteria. Vulnerable populations, such as children, the elderly, and those with weakened immune systems, stand to benefit significantly.
• The antibiotic, marketed as “Miqnaf,” is ten times more effective than existing treatments like azithromycin and features a three-day regimen. It addresses both typical and atypical drug-resistant bacteria, offering superior safety, minimal side effects, and no significant drug interactions.
• Nafithromycin is the first antibiotic in its class introduced globally in over 30 years and has undergone extensive clinical trials in the U.S., Europe, and India. It now awaits final approval from the Central Drugs Standard Control Organization (CDSCO).

Government Initiatives to Combat AMR

The Government of India has implemented various strategic initiatives to address AMR, focusing on surveillance, awareness, and regulation:

• Surveillance and Reporting: National surveillance networks generate annual AMR reports, submitted to the Global AMR Surveillance System (GLASS).
• Awareness and Training: Campaigns promote judicious antimicrobial use, hand hygiene, and infection prevention. Training programs cascade across states.
• Judicious Use of Antimicrobials: Surveillance of antimicrobial use is ongoing in tertiary care hospitals.
• National Action Plan on AMR (NAP-AMR): Launched in 2017 and aligned with the Global Action Plan, the NAP-AMR involves multiple ministries. Further, the National consultations in 2022 developed NAP-AMR 2.0 with enhanced strategies.
• Red Line Awareness Campaign: This campaign warns against using antibiotics marked with a red line without prescriptions.
• ICMR Guidelines: Guidelines aim to prevent unnecessary antibiotic use, particularly for common conditions like viral bronchitis.
• Antibiotic Regulation: Antibiotics under Schedule H and H1 of the Drugs Rules, 1945, are tightly regulated to prevent misuse.

Global Collaborations in AMR Combat

India collaborates with international partners to strengthen AMR containment:

• India-US CDC Partnership: Focuses on AMR surveillance and data management.
• USAID Collaboration: Supports AMR containment in six states.
• Indo-Netherlands Collaboration: Pilots AMR surveillance with a One Health approach.
• Fleming Fund (UK): Strengthens surveillance networks and conducts antibiotic use surveys.
• India-Denmark Collaboration: Recently initiated a technical plan for AMR management.

These efforts enhance surveillance, capacity building, and infection prevention, creating a robust framework to address AMR comprehensively.

Conclusion

• India’s proactive approach to combating AMR through innovative drug development, like Nafithromycin, and comprehensive national initiatives showcases its leadership in global healthcare.
• With a focus on research, capacity building, and international partnerships, India is well-positioned to drive meaningful progress in the global fight against AMR, improving health outcomes worldwide.