The Hindu Newspaper Analysis

Editorial Topic : China-Africa Forum (FOCAC) 2024 and India’s Considerations

 GS-2 Mains Exam : IR

Revision Notes

Context:

• Event: Ninth Forum on China-Africa Cooperation (FOCAC), September 4-6, 2024, Beijing.
• Current Issues in Africa: High inflation, currency depreciation, debt burdens, unconstitutional takeovers, geopolitical challenges (Israel-Hamas war, Russia-Ukraine war, Houthi attacks).

 

About FOCAC:

• Summit Fatigue: Post various Africa+1 summits (Turkey, Russia, South Korea, U.S.-Africa), Africa sees the Banjul format (15 countries + African Union Commission) as prudent.
• Africa’s Role: Africa must take greater ownership of its strategic planning to maximize benefits from the FOCAC process.
• Knowledge Gap: African nations lack the expertise to fully understand Chinese political systems and negotiations, often placing them on the back foot in discussions.

 

Key African Priorities at FOCAC 2024:

1. Economic Goals:
   • China’s $300 billion Import Goal: Slow progress (2022-24), with $167 billion in trade from January-July 2024 ($97 billion in Chinese exports, $69 billion in African exports).
   • Raw Material Dependency: Roughly two-thirds of African exports to China are raw materials.
2. Agricultural Development:
   • Processing Challenges: Africa struggles with processing raw materials like cashew nuts domestically.
   • External Help: African nations look to China and India for expertise in small-scale farming, developing crops, fertilizers, and improving agricultural climate resilience.
3. Industrial Development & Green Energy:
   • Processing Hubs: African countries push for more local refining (e.g., Zimbabwe’s lithium refining by Chinese firms).
   • Power Issues: African countries face chronic electricity shortages, ESG costs, and limited capacity for mineral refining.

 

China and African Debt:

• China’s Role: Loans from China to African countries amounted to $170 billion (2000-2022). China holds 12% of Africa’s public and private debt.
• Debt Structuring Issues: About half of China’s loans to Sub-Saharan Africa are excluded from sovereign debt records, complicating transparency.
• Debt Negotiations: Africa’s past uncoordinated engagements with China have often placed it in a reactive stance. African countries need to focus on trade facilitation and product value addition rather than aid.

 

Indian Engagement in Africa:

1. India’s Comparative Advantage:
   • Key Sectors: ICT, human resource development, agriculture, and pharmaceuticals.
   • Independent Strategy: India’s engagement with Africa is not influenced by third parties (e.g., China).
2. Need for Consistency in Engagement:
   • IAFS Summit: Last India-Africa Forum Summit (IAFS) was in 2015. India should organize IAFS-IV soon, especially following the inclusion of the African Union (AU) in the G-20.
   • Track 1.5 Dialogue: India could initiate an India-African Union Track 1.5 Dialogue, with inputs from Africa’s eight regional economic communities (RECs).
   • Location of IAFS-IV: Addis Ababa (seat of the AU) should host IAFS-IV. The AU should also consider setting up a regional office in New Delhi for regular consultations.
3. Indian Companies’ Role:
   • Supporting Industrialisation: Indian firms can invest in agriculture, pharmaceuticals, and manufacturing, establishing local manufacturing bases in Africa.
   • Farm Mechanisation and Food Security: Indian companies can help Africa with farm mechanisation, irrigation, food processing, and cold storage to reduce food wastage.
4. Financing Solutions:
   • Public-Private Partnerships: Innovative financing methods like PPPs and blended finance can help support development projects.
   • Reducing Reliance on Dollar Loans: Rupee-based lines of credit can help African countries reduce forex risks, as they lose billions annually in exchange rates.

 

Technological Collaboration:

• India’s Digital Stack: Includes biometrics, mobile connectivity, and Jan Dhan systems, providing potential solutions for Africa’s digital and physical connectivity needs.
• Digital Payment Platforms: UPI and RuPay services are already established in Mauritius, with other African countries (Kenya, Namibia, Ghana, Mozambique) showing interest.
• Strengthening Indian Banking Presence: Establishing Rupee-based financial transactions in Africa can support Indian business interests and reduce Africa’s forex-related losses.

 

Conclusion:

• African nations are increasingly focusing on taking ownership of their strategic growth, ensuring that their economies move up the value chain.
• Observing Africa’s engagement with China under FOCAC can help India bolster its partnership with Africa, leading to strengthened Indo-African relations and regional stability.

 

 

The Hindu Newspaper Analysis

Editorial Topic : Disaster Management (Amendment) Bill, 2024

 GS-3 Mains Exam : DM

Revision Notes

Context:

• Bill Introduced: August 1, 2024, in Lok Sabha.
• Objective: Introduced in response to climate-induced disasters; centralizes disaster management further, building on the Disaster Management Act, 2005.

 

Key Features of the Bill:

1. Statutory Status to Pre-Existing Committees:
   • Formalizes organizations like the National Crisis Management Committee and a High-Level Committee, potentially leading to confusion and delays in disaster response.
2. Top-Down Approach:
   • Strengthens the top-down nature of disaster response, risking delays, as seen in previous instances, which runs counter to the intent of quick response.
3. Urban Disaster Management Authorities:
   • New authorities proposed for State capitals and cities with municipal corporations to tackle urban disasters specifically.
4. National and State Level Planning:
   • Strengthens powers of the National Disaster Management Authority (NDMA) and State Disaster Management Authorities (SDMAs) for preparing disaster plans at both levels.

 

Concerns of Centralisation:

1. Financial Issues:
   • Centralisation without adequate financial devolution could hinder disaster management, especially at State and local levels.
2. Diluted Wording on Funds:
   • The Bill changes the description of the National Disaster Response Fund (NDRF), removing clarity on how funds should be used.
3. Fund Allocation Delays:
   • Previous instances of delayed funds, e.g., Tamil Nadu being denied timely NDRF assistance, highlight issues with centralized fund control.
4. Lack of Disaster Severity Coding:
   • There is no existing provision for coding the severity of disasters, which would otherwise trigger a prompt central response.

 

Climate-Induced Disasters & Limitations:

1. Restricted Definition of Disaster:
   • The Disaster Management Act, 2005, and the proposed Bill limit the definition of disasters, excluding climate-induced events like heatwaves.
2. Need to Expand Notified Disasters:
   • Currently, disasters eligible for NDRF/SDRF assistance include cyclones, floods, earthquakes, etc., but do not include heatwaves, despite their growing frequency and severity.
3. Heatwave Impact:
   • India experienced 536 heatwave days over 14 years, with 10,635 deaths (2013-2022). Despite this, heatwaves are not recognized as disasters under the Act.
4. Regional Specificity of Heatwaves:
   • The severity of heatwaves varies across regions. For example, 40°C in north India is normal, but the same temperature in the Himalayas constitutes heatwave conditions.
5. Prolonged Heatwaves as Disasters:
   • The Bill does not account for prolonged heatwaves as disasters, even though their impact on human life can be comparable to that of floods or earthquakes.
6. Conflict with Traditional Definition of Disasters:
   • The Act’s traditional disaster definition does not accommodate the localized nature of climate-induced events, further limiting effective responses.

 

Call for Reforms:

1. Financial Preparedness:
   • The Bill does not address the issue of financial preparedness at both central and state levels for future disasters.
2. Cooperative Federalism:
   • The emphasis should be on strengthening cooperative federalism in disaster management, ensuring coordinated efforts between the Centre and States.
3. Predictive Management:
   • Rather than focusing on a blame game, efforts should be on predicting and managing future disasters more effectively, especially given the growing risks posed by global climate change.

 

Conclusion:

• The Disaster Management (Amendment) Bill, 2024, does little to address the limitations of the Disaster Management Act, 2005, and continues the centralization trend without offering substantial reforms. There is a pressing need to revisit the financial and operational frameworks for disaster management, focusing on a more balanced, coordinated approach between the Centre and States. Climate change-induced disasters will require far more collaborative, timely, and well-funded responses in the future.