Strengthening India's Economy: A Vision of Self-Reliance
As the world faces economic uncertainty, India under Prime Minister Narendra Modi is focusing on harnessing its inner strength and potential to thrive. This strategy is symbolized by the story of Hanuman in the Ramayana, whose leap across the ocean was fueled by self-belief rather than miraculous intervention.
Global Economic Climate
- Protectionism and Tariffs: The United States has imposed a $1,00,000 fee on new H-1B visa petitions and a 100% tariff on branded pharmaceutical imports, reflecting a global trend of protectionism.
- India's Response: Strengthening the pillars of scale, skill, and self-reliance, India is positioning itself as a major player in the global economy.
India's Demographic Advantage
- Youthful Population: With two-thirds of the population below 35, India has a significant demographic advantage, unlike China, which has an aging population.
- Role in Global Growth: Contributing more than 16% of global growth last year, India’s economic reforms have been pivotal.
Economic Indicators
- GDP and Growth: RBI forecasts a GDP growth of 6.8% for FY26. GST collections in September were over Rs 1.89 lakh crore.
- Forex Reserves: Foreign-exchange reserves are at $700 billion, sufficient to cover almost 11 months of imports.
- Manufacturing and Services PMI: PMI scores show strong growth in manufacturing (57.7) and services (60.9).
Consumer Confidence
- Retail and E-commerce: Dussehra sales reached Rs 3.7 lakh crore, a 15% increase from last year. Online sales hit Rs 90,000 crore.
- Diwali Projections: Expected to break previous sales records, indicating robust consumer confidence.
Economic Foundations
- Growth and Resilience: India's GDP is on track to surpass Germany. Exports reached about $825 billion in 2024-25.
- Renewable Energy: Capacity has exceeded 220 GW, reinforcing energy independence.
Self-Reliance and Global Engagement
- Atmanirbhar Bharat: Focuses on strength that enables global engagement on equal terms, not isolation.
- Production-Linked Incentives: Driving investment in sectors like mobiles, defense, and solar modules.
Technological Leadership
- Digital Infrastructure: UPI handles over 650 million transactions daily, surpassing Visa.
- Global Partnerships: Collaborations with countries like Singapore and UAE demonstrate India's technological prowess.
Human Capital
- Indian Diaspora: Over 32 million strong, contributing significantly to global enterprises.
- Remittances: $135 billion in 2024, showcasing trust in India's economic prospects.
Conclusion
Prime Minister Modi’s governance philosophy seeks to awaken India's potential through infrastructure development, digital transformation, and global partnerships. The analogy of Hanuman’s leap illustrates India’s journey from doubting its capabilities to embracing its strengths and leaping forward, turning challenges into opportunities for growth and prosperity.