In a recent analytical report by Morgan Stanley, India’s extensive transformation since 2013 has become a central discourse in academic and financial circles. This period coincides with a shift in the country’s political landscape as the reins of the union government transitioned from the UPA to the NDA. The report highlights ten notable shifts, including supply-side policy reforms, formalization of the economy, and digitalization of social transfers, among others.
Critics may label the assessment as selective, but it is hard to dispute the comprehensive nature of the reforms undertaken in the last nine years. The government’s commitment to progress is palpable. Here are nine reform measures that India has systematically implemented, fortifying its economic resilience and elevating its global stature:
- Goods & Services Tax (GST): The introduction of GST in 2017 streamlined the indirect taxation system, enhancing market integration and enabling a seamless flow of information.
- Insolvency and Bankruptcy Code (IBC): The IBC ensures a well-functioning market system by promoting the unhindered exit of capital and effectively addressing non-performing assets.
- Rationalization of laws and statutes: The government has consistently revoked outdated laws, signaling a comprehensive legal reformation and promoting economic expansion.
- Decriminalizing redundant provisions: Over 39,000 compliances have been slashed, and more than 3,400 legal provisions decriminalized, reducing bureaucratic red tape and fostering a friendlier business environment.
- Focus on basic necessities: The government’s commitment to ensuring equitable access to fundamental necessities is evident through the Bare Necessities Index, which tracks progress in fulfilling basic needs.
- Reimagining welfare delivery: The JAM trinity (Aadhaar, Jan Dhan, and Mobile) has revolutionized service delivery, promoting financial inclusion and minimizing leaks in government benefits.
- Digital public infrastructure: India’s DPI and India Stack have reshaped transactions with advanced digital identity verification and frictionless payments, positioning India at the forefront of digital governance.
- Reforms in health and education: The National Education Policy 2020 has revamped India’s education system, while initiatives like Ayushman Bharat and Jan Aushadi Kendras have improved healthcare accessibility.
- Real Estate (Regulation and Development) Act (RERA): RERA has brought transparency, accountability, and buyer protection to the real estate sector, although implementation across states needs improvement.
These systematic and comprehensive reforms have strengthened India’s economic backbone and positioned it as a promising global economic powerhouse. The government’s commitment to transparency, inclusivity, and improvement has marked a pivotal era in India’s developmental narrative, reinforcing its global standing.
