Content :
- GDP growth at 6.5% in 2024-25, slowest since the pandemic
- India will have 1 billion Internet users by this fiscal year’
- Centre asks States to raise enrolment in govt. schools
- IMA condemns proposal for integrated MBBS-BAMS course, calls it ‘unscientific’
- Government meets fiscal deficit target of 4.8% for FY25
GDP growth at 6.5% in 2024-25, slowest since the pandemic
Overall Annual Performance (2024–25)
- GDP growth for FY 2024–25 stood at 6.5%, the slowest since the pandemic-hit FY 2020–21.
- This marks a moderation from previous years’ post-COVID recovery pace.
Relevance : GS 3(Indian Economy)
Quarterly Growth Analysis
- Q4 (Jan–Mar 2025):
- Real GDP growth surged to 7.4%, the highest among the four quarters of the year.
- However, still lower than the 8.4% growth in Q4 of 2023–24.
- Q3 (Oct–Dec 2024):
- GDP growth was 6.4%, showing a slight dip before the Q4 recovery.
- This reflects quarterly fluctuations, with a year-end push in economic activity, possibly driven by investment or consumption cycles.
Comparative Perspective
- Since FY 2020–21 (pandemic year), GDP growth had been robust due to the low base effect and recovery momentum.
- The 2024–25 slowdown may indicate the fading of post-pandemic recovery momentum or structural constraints.
Government Outlook
- The Ministry of Statistics and Programme Implementation (MoSPI) released the provisional estimates.
- Despite the moderation, government officials noted that “India held its own”, indicating resilience amid global headwinds.
Possible Implications
- Fiscal policy may need to remain supportive to stimulate demand.
- Private investments and capex cycles could be monitored for sustaining momentum.
- Global factors (e.g. oil prices, geopolitical tensions) could impact future growth.
‘India will have 1 billion Internet users by this fiscal year’
India’s Expanding Internet Base
- Internet users to touch 1 billion by the end of FY 2024–25, up from 974 million currently.
- Growth from 250 million to nearly 1 billion in just over a decade reflects exponential digital penetration.
- India is already the second-largest telecom market globally.
Relevance : GS 2(Governance) ,GS 3(Technology)
Cheapest Data Rates in the World
- Calling cost dropped from 50 paise/min to 0.003 paise/min.
- Data cost reduced from ₹287/GB to ₹9/GB, making internet more accessible to all socioeconomic segments.
Focus on Innovation & Domestic Production
- Theme of India Mobile Congress (IMC) 2024: “Innovate to Transform” — urging India to lead in product innovation.
- India shifted from importing 80% of mobile phones to exporting ₹1.75 lakh crore worth of devices.
- India aims to contribute 10% of global 6G patents through the Bharat 6G Alliance.
BharatNet: World’s Largest Rural Connectivity Push
Phase I:
- ~2.14 lakh gram panchayats connected.
- 7 lakh km of optic fibre laid.
Phase II:
- Targeting 2.64 lakh remaining gram panchayats.
- Investment: $16.9 billion (₹1.39 lakh crore) — largest rural digital infra push globally.
New features in BharatNet II:
- More resilient topology to prevent single-point failures.
- MPLS routers to replace older systems.
- 10-year maintenance mandate for implementing agencies.
- Central network operating centre and independent engineering oversight for monitoring.
Telecom Market Competition
- India has 3 private players + 1 state-owned operator — seen as healthy for the market.
- Vodafone Idea (VIL):
- Govt converted ₹37,000 crore of dues into equity (49% stake).
- No plans to raise stake further; VIL expected to manage own finances.
Modernising India Post
- India Post among the largest logistics networks globally.
- Post Office Act, 2023 enables:
- Diversification into insurance, banking, and digital services.
- India Post Payments Bank now profitable 3 years ahead of schedule.
- Plan to introduce Digital Access Codes for every latitude-longitude point in India.
Centre asks States to raise enrolment in govt. schools
Key Concern Raised by the Centre
- Declining enrolment in government schools across multiple States and UTs, despite significant public expenditure.
- Student exodus towards unaided/private schools observed in at least 11 States/UTs, including Telangana, Uttarakhand, Tamil Nadu, Andhra Pradesh, Maharashtra, and Kerala.
Relevance : GS 2(Education ,Federalism)
State-wise Data Highlights (UDISE+ 2023–24)
Telangana
- Total schools: 42,901
- Govt. schools: 70% (30,022)
- Unaided schools: 28.26% (12,126)
- Govt. school enrolment: 38.11% (27.8 lakh)
- Unaided school enrolment: 60.75% (44.31 lakh)
Uttarakhand
- Total schools: 22,551
- Govt. schools: 71.84% (16,201)
- Unaided schools: 23.29% (5,252)
- Govt. school enrolment: 36.68% (8.7 lakh)
- Unaided school enrolment: 54.39% (12.9 lakh)
Tamil Nadu
- Govt. schools: 64% of total schools
- Govt. school enrolment: 37%
- Unaided schools: 21%
- Unaided school enrolment: 46%
Andhra Pradesh
- Total schools: 61,373
- Govt. schools: 73.32% (45,000)
- Unaided schools: 24.82% (15,232)
- Govt. school enrolment: 46.33% (40.5 lakh)
- Unaided school enrolment: 52.09% (45.53 lakh)
Maharashtra & Kerala
- Reduction in enrolment attributed to data cleansing using Aadhaar verification, not necessarily actual dropout or migration.
Centre’s Directives and Concerns
- States urged to:
- Conduct root cause analysis behind student preference for unaided schools.
- Take remedial steps to improve government school enrolment.
- Need to build a strong “government school brand” to regain public trust and optimize infrastructure and resources.
Broader Implications
- Wastage of public resources if facilities are underutilized.
- Quality perception and trust in govt. schooling system are likely eroding.
- Highlights growing inequality in access to quality education, especially for lower-income households.
Underlying Factors (Implied)
- Perception of better quality education and facilities in private schools.
- Teacher absenteeism, poor infrastructure, or curriculum gaps may be driving migration.
- Rising aspirations of middle-class families for English-medium/private education.
IMA condemns proposal for integrated MBBS-BAMS course, calls it ‘unscientific’
Key Issue Raised
- Indian Medical Association (IMA) strongly opposes the Union Government’s plan to integrate MBBS and BAMS courses at JIPMER, Puducherry.
- The move is labeled as “unscientific,” “unfortunate,” and “catastrophic” by IMA.
Relevance : GS 2(Health ,Medicine)
Current Medical Education Structure
- MBBS (Modern Medicine) and BAMS (Ayurveda) are currently two separate 5.5-year programmes.
- Each system is based on distinct epistemologies, diagnostic models, and treatment paradigms.
IMA’s Arguments Against Integration
- Mixing modern medicine with Ayurveda is “unscientific” and leads to confusion.
- Such integration risks creating “hybrid doctors” with incomplete mastery in both systems — described as “qualified quacks”.
- It may undermine the autonomy and purity of both medical streams.
- Leads to an irreversible dilution of scientific rigor and patient care standards.
Patient Rights & Ethical Concerns
- Mixopathy (mixing medical systems) violates patients’ right to choose a healthcare system of their preference.
- Could compromise informed consent, safety, and standardization in treatment protocols.
Reference to Global Precedent: China
- China’s integration of traditional and modern medicine is cited as a failed experiment:
- Led to the decimation of traditional Chinese medicine.
- Did not yield the expected healthcare improvements.
India’s Healthcare Achievements via Modern Medicine
- Life expectancy increased from 32 years (1947) to 70.8 years (2025) largely due to vaccines, public health systems, and modern medicine.
- IMA argues this success was not driven by integrative models, but by scientific rigor in modern healthcare.
Scientific and Academic Concerns
- Integration may:
- Compromise medical education quality.
- Dilute specialization in both systems.
- Affect clinical training and evidence-based practice.
IMA’s Appeal
- Urges:
- Ayurvedic practitioners to defend their own system.
- The government to refrain from “mixopathy”.
- All stakeholders to preserve the “pristine purity” of individual medical systems.
Government meets fiscal deficit target of 4.8% for FY25
Fiscal Deficit Achievement
- Fiscal Deficit for FY25: ₹15.77 lakh crore or 4.8% of GDP.
- Target was achieved despite revenue shortfalls.
- Based on provisional GDP estimates and data from Controller General of Accounts (CGA).
Relevance : GS 2(Governance), GS 3(Indian Economy)
Revenue vs Expenditure
- Total Revenue (tax + non-tax + capital receipts): ₹30.78 lakh crore (97.8% of revised estimates).
- Total Expenditure: ₹46.55 lakh crore (also 97.8% of revised estimates).
- Indicates tight fiscal management, avoiding expenditure overruns.
Revenue Shortfalls
- Shortfall in capital receipts:
- Miscellaneous capital receipts: ₹17,202 crore (only 52.1% of target).
- Disinvestment proceeds: ₹10,131 crore — much below expectations.
- Tax revenue shortfall:
- Income tax: ₹11.83 lakh crore (≈6% below revised estimates).
- Corporate tax: ₹9.87 lakh crore (0.7% above revised estimates).
Disinvestment Slippage
- Government aimed higher disinvestment revenue but achieved less than half the target.
- Reflects continued challenges in privatization and asset monetization.
Next Year’s Fiscal Target
- FY26 fiscal deficit target: 4.4% of GDP, as per Budget 2024-25.
- Indicates a continued fiscal consolidation glide path.
- Suggests government aims to reduce borrowing dependency and maintain macroeconomic stability.
Implications & Challenges
- Meeting deficit target despite revenue shortfall shows discipline, but questions remain on:
- Sustainability of non-disinvestment-based financing.
- Pressure on welfare and capital spending in future years.
- Revenue buoyancy will be critical to meet FY26 targets.
