India’s $4.1-trillion economy in 2025, now the world’s fourth largest, runs on Reform Express 2025. Trade pacts like the India–UK CETA, lower compliance burdens, new labour and market laws, and reforms such as the Indian Ports Act and SHANTI Bill aim to de-risk investment and convert reform momentum into sustained high growth.
Click to View MoreThe manufacturing sector plays a crucial role in India’s economic development by generating large-scale employment, boosting GDP growth, and driving structural transformation from agriculture to industry. However, its performance has remained below potential, with the sector contributing only about 15–17% of GDP and around 11–12% of total employment. Constraints such as high logistics costs, infrastructure gaps, low R&D spending, skill mismatches, regulatory complexity, and dominance of informal enterprises have slowed progress. Government initiatives including Make in India, Production Linked Incentive schemes, PM Gati Shakti, Atmanirbhar Bharat, and Skill India aim to raise competitiveness, enhance domestic value addition, and integrate India more deeply into global value chains. Overall, manufacturing remains central to India’s growth strategy, but sustained reforms and investment are needed to fully realise its potential.
Click to View MoreThe replacement of MGNREGA with the Viksit Bharat Guarantee for Rozgar and Ajeevika Mission (Gramin) marks a major shift in India’s rural employment policy. While MGNREGA functioned as a universal, demand-driven and rights-based employment guarantee that supported vulnerable rural households, the new framework emphasises fiscal discipline, centralised planning and productivity-linked employment. The transition reflects the government’s intent to reform rural welfare delivery, but it also raises concerns about dilution of the right to work, increased burden on states, and potential exclusion of marginalised communities.
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The Sabka Bima, Sabki Raksha Bill, 2025, raises FDI in insurance to 100 percent to boost penetration and capital. It strengthens IRDAI’s powers and eases business norms. Gains include competition and innovation, but data privacy, profit outflows, and pressure on public insurers demand strong regulatory oversight.
Click to View MoreGlobal Capability Centres have become a cornerstone of India’s modern growth strategy, evolving from low-cost support units into global hubs for innovation, engineering, and strategic functions. Supported by skilled talent, strong digital infrastructure, and enabling government policies, GCCs contribute significantly to high-value exports, quality employment, and technological advancement. Their expansion is deepening India’s integration into global value chains and reinforcing its position as a leading knowledge and innovation-driven economy.
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MGNREGA, renamed Pujya Bapu Gramin Rozgar Yojana, expands workdays to 125 and raises wages to boost rural livelihoods. While reforms promise stronger asset creation and women’s empowerment, delays in payments, employment gaps and administrative inefficiencies persist. Effective planning, transparency and accountability remain crucial for impact.
Click to View MoreA weaker rupee may boost export prices in the short run, but India’s long-term trade gains depend more on productivity, innovation, infrastructure and skilled labour. While depreciation can temporarily ease the trade gap, it also raises import costs, fuels inflation and risks capital flight in an import-dependent economy. Sustainable competitiveness therefore lies in strengthening real economic capabilities, supported by targeted policy measures such as incentives for exporters, attracting dollar inflows and stabilising forex markets.
Click to View MoreIndia’s Q2 FY26 GDP growth of 8.2% reflects strong momentum in manufacturing, services and corporate profitability, supported by policy-driven public investment. However, the weak nominal GDP growth, low GDP deflator, slowing agriculture, soft rural demand and subdued private investment reveal underlying structural pressures. These trends raise concerns about fiscal space, data reliability and the durability of the recovery, highlighting the need for broader demand strengthening, rural income support, and revival of private capital formation to ensure sustainable and inclusive growth.
Click to View MoreWomaniya, launched on GeM in 2019, supports women entrepreneurs and SHGs by allowing them to sell goods and services directly to government buyers. It promotes market access, fair pricing, and economic independence by integrating women-led enterprises into the formal public procurement system.
Click to View Morereduction in United States interest rates reshapes global capital movements and directly influences India’s financial landscape. Lower United States yields make emerging markets more attractive, potentially boosting foreign investment, easing borrowing conditions, and supporting growth through cheaper imports and improved liquidity. However, these benefits come with risks such as currency volatility, uncertain capital flows, export pressures, and inflationary spillovers. India must balance global monetary easing with domestic priorities—maintaining financial stability, strengthening structural reforms, and ensuring prudent macroeconomic management—to fully leverage opportunities while mitigating vulnerabilities.
Click to View MoreThe deletion of 2.7 million MGNREGS workers, linked to mandatory Aadhaar-based payments, has raised concerns of wrongful exclusion and erosion of the Act’s demand-driven rights. Critics argue technical errors removed genuine workers and call for optional technology, stronger audits and an inclusive, worker-centric approach.
Click to View MoreIndian federalism is competitive, with states vying for investment through reforms encouraged by NITI Aayog indices. This boosts innovation but risks regional inequality and unsustainable incentives. A balanced cooperative-competitive model is needed to pair healthy rivalry with equitable, sustainable national development.
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