MAINS Current Affairs includes Rise in Gulf Remittances & 10 Years of Pradhan Mantri Krishi Sinchayee Yojana (PMKSY)

ECONOMY

1. Rise in Gulf Remittances

Context: According to the Department of Economic Affairs (Monthly Economic Review), net remittances from West Asia (Gulf) rose to $16 billion in April 2026, a 70% increase over the previous year despite regional geopolitical tensions.

Key Highlights

• FY26 remittances reached a record $155.1 billion, compared to $135.4 billion in FY25.
• Registered a 5% year-on-year growth.
• Remittances increased from 6% to 4.0% of GDP.
• Gulf remittance inflows remained strong despite the West Asia crisis.

Why Have Gulf Remittances Remained Strong?

Labour Market Stability

• Remittances depend primarily on employment and wages of Indian workers abroad.
• Gulf labour markets remained largely stable despite geopolitical tensions.

Stable Source of External Finance

• Remittances are generally less volatile than:
  • Foreign Direct Investment (FDI)
  • Foreign Portfolio Investment (FPI)
  • External debt flows
• Workers continue sending money regularly to support their families.

Strong Indian Diaspora

• A large number of Indian workers are employed in Gulf countries in:
  • Construction
  • Healthcare
  • Services
  • Skilled and semi-skilled sectors
• Their steady income supports sustained remittance flows.

What are Remittances?

• Remittances are funds transferred by individuals working abroad to their families or beneficiaries in their home country.
• They are usually sent electronically through:
  • Banks
  • Money Transfer Operators
  • Digital payment platforms

Types of Remittances

Inward Remittance

• Transfer of money from abroad into India.
• Example: An Indian worker in the UAE sending money to family in India.

Outward Remittance

• Transfer of money from India to another country.
• Used for education, medical treatment, investments, travel, etc.

Importance of Remittances

Household Welfare

• Supports family income and consumption.
• Helps meet expenses on:
  • Education
  • Healthcare
  • Housing
  • Daily needs

Economic Stability

• Strengthens foreign exchange reserves.
• Supports the Balance of Payments (BoP).
• Helps finance the current account deficit.

Poverty Reduction

• Improves living standards.
• Reduces poverty and promotes financial inclusion.

Stable External Financing

• One of the most reliable and resilient sources of foreign exchange during global economic or geopolitical uncertainties.

Conclusion

The record rise in remittances highlights the resilience of India’s overseas workforce, particularly in the Gulf region. As a stable source of foreign exchange, remittances strengthen India’s external sector, support millions of households, and contribute significantly to economic growth and financial stability.

AGRICULTURE

2. 10 Years of Pradhan Mantri Krishi Sinchayee Yojana (PMKSY)

Context: PMKSY, launched in 2015, has completed 10 years of improving irrigation coverage, water-use efficiency, and sustainable water management.

About PMKSY

• Flagship irrigation scheme launched in 2015.
• Vision:
  • Har Khet Ko Pani (Water to Every Field)
  • Per Drop More Crop
• Objective:
  • Expand irrigation coverage.
  • Improve water-use efficiency.
  • Promote integrated water resource management from source to farm.
• Implements a convergence approach involving:
  • Ministry of Jal Shakti
  • Ministry of Agriculture & Farmers Welfare
  • Ministry of Rural Development

Components of PMKSY

1. Accelerated Irrigation Benefit Programme (AIBP)

• Ensures timely completion of major and medium irrigation projects.
• Expands irrigation infrastructure and water availability.
• Received ₹21,023+ crore Central assistance since 2016-17.
• Benefitted around 3 million farmers.
• M-CADWM:
  • Modernises command areas.
  • Promotes pressurised piped irrigation and micro-irrigation.

2. Har Khet Ko Pani (HKKP)

• Expands assured irrigation through:
  • Surface minor irrigation.
  • Groundwater development.
  • Repair, Renovation & Restoration (RRR) of traditional water bodies.
• More than 3,462 irrigation and RRR projects implemented.

3. Watershed Development Component

• Focuses on rainfed and degraded areas.
• Promotes:
  • Soil moisture conservation.
  • Groundwater recharge.
  • Rainwater harvesting.
  • Climate resilience.

4. Per Drop More Crop (PDMC)

• Promotes drip and sprinkler irrigation.
• Merged with PM-RKVY from 2022-23.
• Financial assistance:
  • 55% subsidy for small & marginal farmers.
  • 45% subsidy for other farmers.

Issues in India’s Irrigation Sector

Heavy Monsoon Dependence

• Nearly half of India’s cultivated area remains rainfed.

Inefficient Irrigation

• Predominance of flood irrigation causes:
  • Water wastage.
  • Evaporation losses.

Regional Imbalance

• Punjab and Haryana have high irrigation coverage.
• Eastern and Central India still face irrigation deficits.

Groundwater Depletion

• Excessive groundwater extraction has lowered water tables.

Delayed Irrigation Projects

• Many projects remain incomplete due to:
  • Funding shortages.
  • Administrative delays.

Climate Change

• Frequent droughts and erratic rainfall threaten agricultural sustainability.

How PMKSY Addresses These Challenges

Integrated Water Resource Management

• Covers the complete irrigation chain from water source to farm application.

Promotion of Micro-Irrigation

• Encourages efficient irrigation with minimal water loss.

Expansion of Irrigation Coverage

• Develops irrigation infrastructure in water-deficit regions.

Watershed-Based Development

• Improves groundwater recharge and soil conservation.

Convergence Approach

• Better coordination among ministries and states improves resource utilisation.

Climate Resilience

• Efficient water management reduces drought vulnerability.

Major Achievements (2015–2025)

Expansion of Irrigation

• Scheme extended till 2026 with an outlay of ₹93,068.56 crore.
• Over 27 million farmers expected to benefit.
• More than 61 million hectares covered under various interventions.

Creation of Irrigation Potential

• HKKP created around 93 lakh hectares of irrigation potential.
• Groundwater projects added 55 thousand hectares.

Growth of Micro-Irrigation

• Around 92 lakh hectares brought under drip and sprinkler irrigation.
• Nearly 3 lakh farmers supported annually.

Improved Water Efficiency

• Significant reduction in:
  • Water consumption.
  • Fertiliser use.
  • Electricity use.
  • Labour requirement.

Higher Farmer Income

• Example: Barabanki (Uttar Pradesh)
  • Crop yield increased by 25–30%.
  • Water use reduced by 50%.
  • Additional income of ₹60,000–70,000 per hectare.

Sustainable Resource Management

• Improved:
  • Soil health.
  • Groundwater recharge.
  • Ecological sustainability.

Challenges Ahead

Expand Micro-Irrigation

• Adoption remains limited compared to India’s total cultivated area.

Strengthen Water Users Associations (WUAs)

• Improve community participation in irrigation management.

Complete Pending Projects

• Ensure timely execution and monitoring.

Promote Crop Diversification

• Shift from water-intensive crops to less water-demanding crops.

Use Modern Technology

• Scale up:
  • GIS
  • Remote sensing
  • AI-based irrigation advisories
  • IoT-enabled precision farming

Improve Groundwater Governance

• Scientific aquifer mapping and groundwater budgeting are essential.

Better Convergence

• Integrate PMKSY with:
  • MGNREGS
  • PM-RKVY
  • Atal Bhujal Yojana
  • Other water conservation programmes.

Conclusion

PMKSY has significantly expanded irrigation coverage, improved water-use efficiency, and strengthened climate-resilient agriculture over the past decade. Going forward, universal micro-irrigation, timely completion of projects, technology adoption, sustainable groundwater management, and greater convergence with other schemes will be crucial for ensuring water-secure and sustainable agriculture.

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