Infrastructure Current Affairs - 2020

Institute for Management Development releases World Competitive Index

The Institute of Management Development recently released the World Competitive Index. India ranked 43rd in the ranking.

Highlights

In 2019, India was at the 43rd ranking. Since 1989, India had ranked 41st in the World Competitiveness Ranking. However, it slipped to 45th rank in 2017 and secured 44th in 2018. The continuous low ranking of India is mainly due to poor infrastructure and insufficient education investment.

According to the ranking, India has improved in long term employment growth, foreign currency reserves, overall productivity, education. On the other hand, India had declined in taxes, real GDP growth, competition legislation, exchange rate stability.

Other Countries

Singapore secured the top position in the ranking system. Denmark was at the second position, followed by Switzerland, Netherlands, Hong Kong.

The ranking is created by the business school based in Singapore and Switzerland.

China slipped from 14th place to 20th and US moved to 10th place. Among the BRICS countries, China topped followed by India, Russia, Brazil and south Africa.

Rationalization of Coal Linkage Scheme

The Government of India is to rationalize the coal linkages in the country. This is to be done in order to reduce the load on transportation infrastructure and also to ease evacuation constraints.

Highlights

The Government of India has rationalized the coal linkages in order to reduce the distances of coal transportation. Unlike the previous rationalizations, the current exercise involves power and non-regulated sector as well. The move is aimed to reduce the load on transportation infrastructure and ease evacuation constraints.

The scheme will transfer coal in terms of gross Calorific Value and is to be implemented only for non-coking coal.

What is Rationalization of Coal Linkages?

The Rationalization of coal linkages is the transfer of coal supply source of a plant from a far mine to a nearer one.

Background

The rigidity in coal supply in India resulted in ferrying coal from long distances. This increased costs and burden on Indian Railways. The Coal Linkage Rationalization scheme was launched to untangle the situation.