The Hindu Gist - 20th October, 2026
The Hindu was not Published on Account of Vijaya Dashami.
The Indian Express Gist - 20th October, 2026
1 . Bending Towards Bold Reform: IDBI Stake Sale and the 26-Year Arc of Governance
The proposed IDBI Bank stake sale to Fairfax reflects the broader evolution of India’s financial-sector governance, aimed at improving financial intermediation, reducing the cost of capital and strengthening economic competitiveness. India’s cost of capital remains higher than that of its ASEAN peers, affecting the competitiveness of Indian enterprises.
Evolution of Financial-Sector Reforms
- Bank nationalisation: The nationalisation of 14 banks in 1969 and six more in 1980 brought 91% of banking under public control. However, politically directed lending and recurring bad-loan crises exposed weaknesses in this model.
- Post-1991 reforms: Economic reforms transformed several sectors, but reforms in the factors of production — land, labour and capital — progressed more slowly.
- Changing ownership model: The proposed IDBI divestment represents a shift from nationalising private banks to privatising a national bank, with the objective of improving financial efficiency and capital allocation.
- Structural reform constraints: The four labour codes and land and agricultural reforms have encountered political resistance, highlighting the challenges of implementing structural changes.
- Long-term objective: Financial-sector reforms seek to improve capital allocation, strengthen banking competition and create a financial system capable of supporting globally competitive enterprises.
The Six Cs of Governance: Consistency, Continuity, Creativity, Consensus, Commitment and Calibration
- Consistency: An enabling, investor-oriented administration, reflected in Vibrant Gujarat (2003) and initiatives such as GST, DBT and PRAGATI, seeks to improve investment and administrative efficiency.
- Continuity: Sustaining and strengthening existing institutions is essential. Aadhaar’s expansion as digital public infrastructure and VB-G RAM G’s extension of the employment guarantee from 100 to 125 days illustrate institutional continuity.
- Creativity: Technology-led coordination through PRAGATI helps resolve stalled projects by connecting senior officials and improving implementation monitoring.
- Consensus: Behavioural economics and nudge theory inform public initiatives, while the GST Council and Finance Commission facilitate cooperative federalism and resource-sharing. Decisiveness must not become authoritarianism.
- Commitment: Fiscal consolidation, declining gross NPAs, infrastructure investment, the PLI scheme and the Semiconductor Mission reflect efforts towards macroeconomic stability and structural transformation.
- Calibration: Nine FTAs covering 38 countries, alongside India’s G20 and BRICS presidencies, illustrate adaptation to a global order increasingly shaped by transactional partnerships and plurilateral arrangements.
Five Priorities for Viksit Bharat and the Challenge of Financial Intermediation
- Faster economic growth: Improve productivity and competitiveness while adhering to the fiscal glide path.
- Factor-market reform: Complete reforms in land, labour and capital markets, while improving financial intermediation so that India’s cost of capital approaches international levels.
- Modern legal architecture: Enable faster dispute resolution, stronger contract enforcement and better protection for investors.
- Manufacturing beyond assembly: Strengthen domestic manufacturing through reliable power, efficient logistics and urban infrastructure.
- Quality employment and innovation: Expand quality jobs, skilling and research and development while balancing AI adoption with employment creation.
2. Internet Access as a Fundamental Right for Children
The Supreme Court, on October 15, held that the right to access and use the internet is a fundamental right of every individual, including children. The ruling arose from proceedings concerning compliance with the Supreme Court’s 2024 directions on child sexual exploitation and abuse material (CSEAM) online. While strengthening measures against such content, the Court also recognised children’s fundamental right to access and use the internet.
Constitutional Basis and Judicial Reasoning
- Right to internet access: The Court recognised that children enjoy the same fundamental right to access and use the internet, irrespective of age.
- Article 21: The right to digital access is linked to life and personal liberty. In Pragya Prasun v. Union of India (2025), the Court held that excluding persons with disabilities from digital KYC violated Article 21 and recognised digital access as an intrinsic component of the right to life.
- Article 19(1)(a): In Anuradha Bhasin v. Union of India (2020), the Court recognised that freedom of speech and expression is protected when exercised through the internet.
- Right to receive information: In the Cricket Association of Bengal case (1995), the Court recognised that Article 19(1)(a) includes the right to know, receive and impart information and ideas.
- Background of the dispute: The proceedings followed a 2024 Supreme Court decision concerning the POCSO Act and online child sexual exploitation material. The Court had earlier raised concerns about platforms failing to comply with directions and the promotion of harmful material through redirect links.
Child Safety, Proportionate Restrictions and Platform Accountability
- Three-part proportionality test: Any restriction on a fundamental right must satisfy three requirements: it must have a legal basis, pursue a legitimate State interest, and be proportionate to the objective. Restrictions must be tailored to the harm they seek to prevent.
- Parental controls: The Court suggested greater emphasis on parental consent, guidance and oversight, including child-mode accounts with private settings by default, to provide children with safer online environments.
- Targeting harmful content: The Union should identify categories of content inherently harmful to children, including CSEAM, and establish appropriate safeguards rather than imposing blanket restrictions on internet access.
- Removal of CSEAM: Platforms should strengthen mechanisms to identify and remove child sexual exploitation and abuse material. The Court also emphasised prompt action on reported material and accountability for intermediaries that fail to comply.
- Financial accountability: The Court asked the Union to consider exemplary monetary penalties for persistent intermediary failures and directed that profits earned from CSEAM offered through paywalls or subscriptions be forfeited and disgorged.
- Risks of age verification: Mandatory age-based restrictions may require continuous collection of sensitive personal information, increasing the risks of surveillance and misuse of children’s data.
- Judicial caution: The Court did not rule out safeguards. Instead, it emphasised that restrictions must be proportionate and should not deprive children of educational, informational and developmental opportunities.
