Digital Transformation in the Cooperative Sector
Science & Technology
- PYQs8
- Articles1
Background
Digitalization can enhance the efficiency, transparency, and outreach of cooperatives, contributing to financial inclusion, rural development, and economic growth. It aligns with government initiatives for 'Digital India' and 'Ease of Doing Business' within a crucial sector.
Cooperatives are voluntary associations of individuals working together for common economic, social, and cultural needs. Digital transformation involves integrating digital technology into all areas of an organization, fundamentally changing how it operates and delivers value.
Facts & tables
- Promotion of AI and digital platforms
- AI and digital platforms are progressively promoted across cooperative training institutions.
- Adoption of technology-driven pedagogy
- Includes smart classrooms, interactive digital boards, e-content, online classes, and Learning Management Systems (LMS).
- Faculty training
- Training of faculty in ICT tools and digital pedagogy is a key measure.
- Areas of focus
- Covers digital banking, digital transformation, cooperative management, banking, finance, and governance.
| Type | Reference |
|---|---|
| Conceptual area | Indian Economy |
| Conceptual area | Digital Financial Infrastructure |
| Body | Role |
|---|---|
| Ministry of Cooperation | Promotes and oversees |
Prelims angle
Prelims angle: Statement-based questions
Prelims angle: Policy measures
- AI and digital platforms promoted in cooperative training institutions.
- Includes smart classrooms, e-content, LMS for blended learning.
- Faculty training in ICT tools and digital pedagogy.
- Capacity building covers digital banking, governance, management.
- Aims to modernize cooperatives and enhance their effectiveness.
| Year | Framing tags |
|---|---|
| 2026 | Multi-statement analysis, Factual recall |
| 2026 | Multi-statement analysis, Conceptual understanding |
| 2026 | Multi-statement analysis, Conceptual understanding |
| 2025 | Statement-based questions, Factual recall |
| 2022 | Multi-statement analysis, Factual recall |
| 2018 | Multi-statement analysis, Policy measures |
| 2018 | Conceptual understanding, Terminology-based question |
| 2017 | Statement-based questions, Policy measures |
Timeline
-
Indian Economy
Conceptual area
-
Digital Financial Infrastructure
Conceptual area
-
Prelims 2017
Statement-based questions, Policy measures
-
Prelims 2018
Multi-statement analysis, Policy measures
-
Prelims 2018
Conceptual understanding, Terminology-based question
-
Prelims 2022
Multi-statement analysis, Factual recall
-
Prelims 2025
Statement-based questions, Factual recall
-
Prelims 2026
Multi-statement analysis, Factual recall
-
Prelims 2026
Multi-statement analysis, Conceptual understanding
-
Prelims 2026
Multi-statement analysis, Conceptual understanding
-
Promotion of AI and digital platforms in cooperatives
The government is promoting digital transformation in the cooperative sector through AI, digital platforms, and e-learning in training institutions, aiming to modernize operations and enhance capacity.
See also
Past papers
2017–2026 · 8 questions
In the news
Promotion of AI and digital platforms in cooperatives
The government is promoting digital transformation in the cooperative sector through AI, digital platforms, and e-learning in training institutions, aiming to modernize operations and enhance capacity.
Try these PYQs
Which of the following statements is/are correct regarding Smart India Hackathon 2017?
1. It is a centrally sponsored scheme for developing every city of our country into Smart Cities in a decade.
2. It is an initiative to identify new digital technology innovations for solving the many problems faced by our country.
3. It is a programme aimed at making all the financial transactions in our country completely digital in a decade.
Select the correct answer using the code given below :
Statement 1 is incorrect: The Smart India Hackathon (SIH) is not a scheme for developing Smart Cities. Instead, it is a nationwide initiative aimed at identifying innovative digital technology solutions to solve real-world challenges across various sectors. Statement 2 is correct: The Government of India launched the Smart India Hackathon to encourage students and professionals to develop innovative digital solutions for challenges in agriculture, health, education, energy, environment, and other domains. It serves as a platform for young minds to engage in problem-solving and contribute to technological advancements. Statement 3 is incorrect: While the hackathon focuses on digital technology innovations, it is not specifically centered on digital financial transactions. Instead, it covers a wide range of sectors where technology can drive efficiency and innovation. Hence, correct answer is option (B).
Consider the following statements regarding AI Action Summit held in Grand Palais, Paris in February 2025:
I. Co-chaired with India, the event builds on the advances made at the Bletchley Park Summit held in 2023 and the Seoul Summit held in 2024.
II. Along with other countries, US and UK also signed the declaration on inclusive and sustainable AI.
Which of the statements given above is/are correct?
✅ Statement I: Correct
*India co-chaired the AI Action Summit in Paris (Feb 2025), continuing efforts from the Bletchley Park (UK, 2023) and Seoul (South Korea, 2024) Summits on AI governance.* ❌ Statement II: Incorrect
*The joint statement on ‘Inclusive and Sustainable AI’ was signed by 58 countries including India and China, but the US and UK did not sign due to concerns about overregulation.* Correct Answer: Only Statement I is correct.
When the alarm of your smartphone rings in the morning, you wake up and tap it to stop the alarm which causes your geyser to be switched on automatically. The smart mirror in your bathroom shows the day's weather and also indicates the level of water in your overhead tank. After you take some groceries from your refrigerator for making breakfast, it recognises the shortage of stock in it and places an order for the supply of fresh grocery items. When you step out of your house and lock the door, all lights, fans, geysers and AC machines get switched off automatically. On your way to the office, your car warns you about traffic congestion ahead and suggests an alternative route, and if you are late for a meeting, it sends a- message to your office accordingly.
In the context of emerging communication technologies, which one of the following term best applies to the above scenario?
The scenario described involves various devices (smartphone, geyser, smart mirror, refrigerator, car, etc.) communicating with each other and with the user, and automatically performing tasks based on certain triggers. This is characteristic of the Internet of Things (IoT). Option B is correct: Internet of Things (IoT) is a system of interrelated computing devices, mechanical and digital machines, objects, animals or people that are provided with unique identifiers (UIDs) and the ability to transfer data over a network without requiring human-to-human or human-to-computer interaction. Option A is incorrect: Border Gateway Protocol is a protocol used to exchange routing information across the internet and is not relevant to the scenario described. Option C is incorrect: Internet Protocol is a set of rules for sending and receiving messages at the Internet address level, but it doesn't cover the broad range of device intercommunication described in the scenario. Option D is incorrect: A Virtual Private Network is a technology for using the internet or another intermediate network to connect computers to isolated remote computer networks that would otherwise be inaccessible, which also doesn't fit the scenario.
Consider the following
1. Aarogya Setu
2. CoWIN
3. Digi Locker
4. DIKSHA
Which of the above are built on top of open-source digital platforms?
An open-source digital platform is essentially a software platform where the underlying code is freely available for anyone to see, modify, and distribute. This openness fosters collaboration, transparency, and innovation in software development. All of the above (1. Aarogya Setu, 2. CoWIN, 3. Digi Locker, 4. DIKSHA) are built on top of open-source digital platforms. - Aarogya Setu initially wasn't open-source, but the Indian government later made its source code available. - CoWIN leverages open-source software for its development. - DigiLocker utilizes an open-source platform called Digital Locker System.
- DIKSHA is built on the open-source platform Sunbird.
Which of the following statements about Real-World Assets (RWA) Tokenization are correct?
1. Tokenization is the process of turning real world assets into digital tokens using blockchain technology.
2. Tokenization of real world assets offers 24x7 access, promoting financial inclusion.
3. Tokenization of real world assets will allow the access to high growth investment opportunities for individuals in India.
Select the answer using the code given below:
Statement 1 is Correct: Real-World Asset (RWA) Tokenization is the process of converting the ownership rights of physical or traditional financial assets (such as real estate, gold, commodities, or bonds) into digital tokens on a distributed ledger or blockchain. Each token represents a proportional share or claim on the underlying asset. Statement 2 is Correct: Unlike traditional financial markets and real estate registries that have fixed operating hours, geographic limitations, and settlement delays, blockchain-based tokenized assets can be traded globally, 24 hours a day, 7 days a week, with near-instant settlement. Additionally, tokenization allows high-value, traditionally illiquid assets to be divided into smaller, affordable fractions. This lowers the barrier to entry, enabling retail investors and underserved populations to participate in wealth-building markets, thereby directly promoting financial inclusion. Statement 3 is Correct: In the Indian context, RWA tokenization democratizes access to high-growth, capital-intensive sectors (like commercial real estate, agricultural land, and infrastructure projects). Regulatory bodies like the IFSCA (in GIFT City) have already begun approving tokenization platforms under regulatory sandboxes to unlock these previously inaccessible investment opportunities for everyday Indian retail investors. Therefore, all three statements are correct, making the correct option A.
Show 3 more PYQs
Which of the following is/are the aim/aims of "Digital India" Plan of the Government of India?
1. Formation of India's own Internet companies like China did.
2. Establish a policy framework to encourage overseas multinational corporations that collect Big Data to build their large data centres within our national geographical boundaries.
3. Connect many of our villages to the Internet and bring Wi-Fi to many of our school, public places and major tourist centres
Select the correct answer using the code given below
* Statement 1 is not correct: The formation of India’s own internet companies, similar to China’s approach, is not an aim of the Digital India programme. The initiative focuses on creating digital infrastructure, providing digital services, and promoting digital literacy — not establishing government-backed internet firms. * Statement 2 is not correct: The Digital India plan does not include any policy framework to attract foreign multinational corporations to build data centres in India. While data localisation and data centre policies have emerged later under different frameworks, they are not part of the original Digital India objectives. * Statement 3 is correct: One of the key aims of Digital India is to connect villages through broadband and to provide Wi-Fi access in schools, public places, and tourist centres. This is part of its core pillars like Broadband Highways, Public Internet Access Programme, and Early Harvest Programmes.
Consider the following statements with reference to the Sagarmala Programme of the Government of India :
I. The Sagarmala Programme seeks to achieve port-led economic growth through cost-effective and sustainable coastal infrastructure.
II. The success of the Sagarmala Programme is reflected in significant growth in coastal and inland waterway shipping, along with improved global port rankings.
III. Sagarmala 2.0 aims to position India as a global maritime innovation hub aligned with Atmanirbhar Bharat and Viksit Bharat 2047 visions.
Which of the following relationships among the above statements is/are correct ?
1. Statement II validates the effectiveness of the strategies envisioned in statement I.
2. Statement III extends the objectives of statement I by embedding them into a future-oriented innovation framework.
3. Statement I contradicts statement III by focusing only on traditional infrastructure instead of modern innovation.
Select the answer using the code given below :
Relationship 1 is Correct: Statement I outlines the core objective of the Sagarmala Programme, launched in 2015, which is port-led economic development through cost-effective and sustainable coastal infrastructure. Statement II provides empirical evidence of its success, such as the 118% growth in coastal shipping, a 700% surge in inland waterway cargo movement, and improved global port rankings (with nine Indian ports now in the global top 100). Thus, the tangible achievements in Statement II directly validate the effectiveness of the foundational strategies mentioned in Statement I. Relationship 2 is Correct: Statement III highlights the goals of Sagarmala 2.0, which focuses on smart ports, green shipping, and positioning India as a global maritime innovation hub aligned with the Viksit Bharat 2047 and Atmanirbhar Bharat visions. This acts as an evolutionary extension of the foundational infrastructure goals in Statement I, embedding them into a broader, future-oriented innovation framework rather than replacing them. Relationship 3 is Incorrect: Statement I does not contradict Statement III. The initial focus on traditional and sustainable coastal infrastructure in the original Sagarmala Programme serves as the necessary physical base upon which the modern innovation and technology-driven goals of Sagarmala 2.0 are built. The two phases are complementary and represent a progressive policy evolution, not a contradiction. Therefore, relationships 1 and 2 are correct, making Option B the correct choice.
Which of the following statements with regard to the National Quantum Mission (NQM) is/are correct?
1. It aims at developing intermediate-scale quantum computers with 50-1000 physical qubits.
2. Its implementation includes setting up of four Thematic Hubs (T-Hubs) in academic and national R&D institutes across India.
Select the answer using the code given below:
Statement 1 is Correct: The National Quantum Mission (NQM) aims to develop intermediate-scale quantum computers with 50 to 1000 physical qubits within 8 years. Specifically, it targets 50–100 physical qubits in 5 years and scales up to 50–1000 physical qubits in 8 years using platforms like superconducting and photonic technology. Statement 2 is Correct: The implementation of the mission explicitly includes the establishment of four Thematic Hubs (T-Hubs) in top academic and national R&D institutes across India. These hubs focus on distinct technology verticals: Quantum Computing (led by IISc Bengaluru), Quantum Communication (led by IIT Madras), Quantum Sensing & Metrology (led by IIT Bombay), and Quantum Materials & Devices (led by IIT Delhi). Therefore, both statements are correct.