LEGAL NEWS

Supreme Court’s Review of Governor’s Powers under Article 200 and President’s Rule under Article 356

• The Supreme Court recently examined whether the discretionary powers of Governors under Article 200, particularly delays in granting assent to state Bills, should be subject to judicial review.

• Governors can either assent, withhold, or reserve Bills for the President’s consideration. However, the Court ruled that their veto cannot be exercised indefinitely and should be exercised promptly, generally following the advice of the State Cabinet.

• While the Governor’s actions under Article 356, which pertains to President’s Rule, are open to judicial review, the Court questioned why the same principle should not apply to the Governor’s delay or refusal to assent to Bills under Article 200.

• Article 356 grants the President power to impose Central rule in a State if constitutional machinery fails, often triggered by the Governor's report. This action can suspend the State government, with the Governor taking over administration on behalf of the Centre.

• The 44th Amendment limits the duration of President’s Rule to one year, with possible extensions under strict conditions, such as the presence of a national emergency or inability to hold elections.

• The S.R. Bommai judgment provided guidelines to prevent misuse of President’s Rule, including judicial scrutiny of proclamations and restrictions on dissolving State assemblies without Parliament's approval.

• There have been instances of political misuse of President’s Rule to dismiss opposition-led governments. The Court and various commissions have recommended safeguards to prevent this abuse.

• Suggested safeguards include parliamentary oversight, warnings before the imposition of President’s Rule, and exploring alternatives like localized emergencies, all aimed at preventing arbitrary use of the Governor’s powers.

ECONOMIC NEWS

India’s Economic Rise: Projected Global Standings by 2038

• India is projected to become the world’s second-largest economy in PPP terms by 2038, driven by strong fundamentals and long-term growth prospects.

• IMF estimates suggest India’s economy could reach $20.7 trillion (PPP) by 2030, surpassing the U.S., Japan, and Germany in this metric.

• China is expected to remain the top economy in PPP terms, with a projected size of $42.2 trillion by the same year.

• Favorable demographics—average age of 28.8 years in 2025—will support India’s economic momentum, offering a large, productive workforce.

• India’s high savings and investment rates are expected to play a pivotal role in maintaining growth and financing development.

• Public debt as a percentage of GDP is set to decline, from 81.3% in 2024 to 75.8% by 2030, indicating fiscal improvement.

• Ongoing structural reforms and focus on emerging technologies are key contributors to India’s accelerating economic development.

• By 2028, India is also projected to become the third-largest economy in MER terms, overtaking Germany and strengthening its global economic presence.

SPORTS

FIDE World Cup 2025 Set to Light Up Goa

• Goa will host the prestigious FIDE World Cup 2025 from October 30 to November 27.

• A total of 206 players will compete in an eight-round knockout format for a $2 million prize pool.

• The top 50 seeds will enter directly in the second round of the tournament.

• Matches include two classical games, followed by rapid/blitz tie-breaks if needed.

• Goa’s rich culture and scenic beauty played a key role in its selection as the host city.

• With over 90 countries represented, the event will be a global spectacle and a milestone in India's chess journey.

GOVERNMENT SCHEMES

Pradhan Mantri Jan Dhan Yojana: 11 Years of Transforming Financial Inclusion

• Launched on August 28, 2014, PMJDY was first announced by PM Modi in his Independence Day speech on August 15.

• Described as a “festival of freedom for the poor,” the scheme aimed to break barriers to formal banking.

• It is now recognized as one of the largest financial inclusion initiatives globally.

• The mission focuses on providing bank accounts, remittance services, credit, insurance, and pension to all households.

• Each family was targeted to have at least one basic savings account linked to the Core Banking System.

• RuPay debit cards and USSD-based mobile banking made services accessible even on basic mobile phones.

• With a strong reach in both urban and rural areas, the scheme has made formal banking truly inclusive.