Current Affairs: Passage of the Day - 27 March 2025 | Current Affairs & General Knowledge - CLAT PDF Download

Directions: Read the passage carefully and answer the questions that follow.
India's social protection coverage increased from 24.4% in 2021 to 48.8% in 2024, according to the ILO's World Social Protection Report (WSPR) 2024-26.
This increase acknowledges existing central social protection schemes that had not been considered earlier.
India has made significant strides in enhancing its social protection coverage through a comprehensive data-pooling exercise led by the Ministry in collaboration with ILO.
By utilising encrypted Aadhaar as a unique identifier across 34 major central schemes, such as MGNREGA, EPFO, ESIC, APY, and PM-POSHAN, over 200 crore records were processed to identify unique beneficiaries.
According to the release, this exercise revealed that 65% of India's population (92 crore people) is covered by at least one social protection benefit (cash and in-kind both), with 48.8% receiving cash benefits.
Thus, India's social protection coverage doubled from 24.4% in 2021 to 48.8% in 2024, as per ILO's World Social Protection Report (WSPR) 2024-26, acknowledging existing central social protection schemes that hadn't been considered earlier, as stated in the release.
It further mentioned that India's present social protection coverage assessment by ILO i.e., 48.8% is still an underestimation, as it does not account for (a) in-kind benefits provided to the citizens of the country, such as food security and housing benefits; and (b) social protection schemes administered by the States.
The actual social protection coverage of India is expected to be much higher after this data is taken into account.
In this context, the Ministry has consistently followed up with ILO Headquarters on this matter through a focused high-level dialogue. In a bilateral discussion held between the Secretary (L&E) and DG of ILO during the 353rd ILO Governing Body meeting in Geneva last week with India, ILO shared that housing and food security are part of a set of extended indicators (based on the United Nations Sustainable Development Goals) adopted by them. Therefore, such schemes and related data will also be considered by ILO.
The Ministry of Labour & Employment is actively collaborating with State Governments and the ILO on a national social protection data pooling exercise to obtain a holistic picture of social protection coverage in India.
Labour Departments of State Governments are playing the nodal role in compiling respective State-specific data and sharing it with the central government for further consolidation, verification, and de-duplication.
The Ministry of Labour and Employment kicked off Phase 01 of India's Social Protection Data Pooling Exercise on March 19 in a hybrid meeting organised by the Ministry of Labour and Employment.
For Phase 1, the Ministry has identified selected states, namely Uttar Pradesh, Rajasthan, Maharashtra, Madhya Pradesh, Tamil Nadu, Odisha, Andhra Pradesh, Telangana, Karnataka, and Gujarat, for data consolidation at the central level.
This data pooling exercise will not only strengthen India's global reputation as a social protection pioneer but also facilitate the central government, states, and UTs in optimizing welfare spending and moving closer towards sustainable financing of social protection.
It will help the states identify unique beneficiaries under state-specific social protection schemes.
The exercise will also reinforce India's position in negotiating trade and social security agreements with other countries, and reflect India's commitment to promoting decent work in global value chains. 
[Excerpt from The Economic Times "Social Protection Data Pooling Exercise" Dated 27/03/25]

Q1: What percentage of India’s population is currently covered by at least one social protection benefit?
(a) 48.8%
(b) 55%
(c) 60%
(d) 65%

View Answer  

Ans: (d)
Sol: The report states that 65% of India’s population (approximately 92 crore people) is covered by at least one social protection benefit.

Q2: When did the Social Protection Data Pooling Exercise begin?
(a) 10 January 2025
(b) 19 March 2025
(c) 25 December 2024
(d) 15 April 2025

View Answer  

Ans: (b)
Sol: The data-pooling exercise started on 19 March 2025.

Q3: Which organizations are collaborating on India's social protection data exercise?
(a) The Reserve Bank of India and the World Bank
(b) The Ministry of Finance and the United Nations
(c) The Ministry of Labour and Employment and the International Labour Organization
(d) The NITI Aayog and the International Monetary Fund

View Answer  

Ans: (c)
Sol: The Ministry of Labour and Employment is working with the International Labour Organization (ILO) on this initiative.

Q4: What is the purpose of using encrypted Aadhaar in the data-pooling exercise?
(a) To provide direct cash transfers to all citizens
(b) To identify unique beneficiaries and streamline welfare spending
(c) To increase taxation on social benefits
(d) To monitor financial transactions of citizens

View Answer  

Ans: (b)
Sol: Encrypted Aadhaar is used to identify unique beneficiaries and optimize welfare spending.

Q5: What was India’s social protection coverage in 2021?
(a) 18%
(b) 24.4%
(c) 36%
(d) 48.8%

View Answer  

Ans: (b)
Sol: Social protection coverage in India was 24.4% in 2021.