India as economic power house lets celebrate 26 th January Republic Day

Economic powerhouse 

26th January is celebrated as Republic Day in India to commemorate the adoption of the Indian Constitution, which came into effect on this day in 1950. This marked the transition of India from a British Dominion to a fully sovereign republic. The date was chosen because it held historical significance: on 26th January 1930, the Indian National Congress had declared Purna Swaraj (complete independence) as its goal.

Key Points:

1. Foundation of the Republic:
• The day represents the establishment of India as a republic with its own constitution, replacing the Government of India Act 1935 as the governing document.
2. Celebration of Democratic Values:
• It highlights India’s commitment to democracy, justice, equality, and liberty, as enshrined in the Constitution.
3. National Pride and Unity:
• Republic Day brings the country together with grand celebrations, including the Republic Day Parade, showcasing India’s cultural diversity, military prowess, and achievements.
4. Empowering Citizens:
• The Constitution provided Indians with fundamental rights and duties, empowering them to participate in the democratic process.

 

Significance for the Financial Sector

1. Economic Policy Framework:
• The Constitution laid the foundation for a sovereign Indian economy. It defined property rights, taxation policies, and governance structures crucial for economic growth.
2. Stability and Confidence:
• Republic Day underscores the strength of India's democratic institutions, which is a cornerstone of financial and business stability. This attracts foreign investment and promotes economic growth.
3. Stock Market and National Sentiment:
• National holidays like Republic Day often inspire reflection on India’s progress, including its achievements in the financial and industrial sectors.
4. Milestone for Reforms:
• Republic Day is a reminder of India's commitment to economic reforms over the decades, which have been instrumental in making India a global economic player.
5. Boost to Tourism and Economy:
• The Republic Day celebrations attract visitors, enhancing sectors like tourism, hospitality, and related industries.

 

Economic Growth and Reforms

1. Demonetization (2016):
• India’s sudden demonetization of ₹500 and ₹1,000 notes aimed to combat black money and digitize the economy. Though controversial, it spurred digital payments growth.
2. GST Implementation (2017):
• The Goods and Services Tax (GST) replaced a complex web of indirect taxes with a unified tax regime, simplifying trade and boosting India's global competitiveness.
3. Post-COVID Recovery (2020–2023):
• India showed resilience during the pandemic with a rapid recovery driven by domestic consumption, government infrastructure spending, and tech-enabled sectors.
4. FDI and Ease of Doing Business:
• Initiatives like "Make in India" and improvements in ease of doing business rankings (India ranked 63rd in 2020, compared to 142nd in 2014) attracted foreign investments.

 

Technology and Innovation

1. Rise of the Digital Economy:
• The launch of the Digital India campaign in 2015 revolutionized digital infrastructure and internet access.
• UPI (Unified Payments Interface) became a global benchmark for digital payments, facilitating over $1 trillion in transactions by 2025.
2. Startup Ecosystem:
• India became the third-largest startup ecosystem globally, with over 100 unicorns (startups valued at $1 billion or more).
3. Space Achievements:
• In 2017, ISRO’s PSLV-C37 set a world record by launching 104 satellites in a single mission.
• Chandrayaan-3 (2023) and Gaganyaan (2024, manned space mission) showcased India's advancements in space exploration.

 

Geopolitical Influence

1. Global Partnerships:
• India strengthened ties with countries like the U.S., Japan, and Australia through initiatives like the QUAD alliance, aimed at ensuring a free and open Indo-Pacific.
2. Energy Security:
• Agreements with the U.S., Russia, and Gulf countries helped India secure energy supplies. India's focus on renewable energy also grew with initiatives like the International Solar Alliance (ISA).
3. Leadership at G20 and BRICS:
• India hosted the G20 Summit in 2023, focusing on inclusive development, digital transformation, and global climate action.

 

Defense and Strategic Power

1. Defense Modernization:
• Indigenous initiatives like Make in India (Defense) enhanced self-reliance in military production.
• The commissioning of INS Vikrant (2022), India's first indigenous aircraft carrier, highlighted naval strength.
2. Strategic Alliances:
• India’s active role in the Indo-Pacific region and collaborations with Western powers have solidified its global strategic importance.

 

Climate Leadership

1. Commitment to Renewable Energy:
• India set ambitious targets, including achieving 450 GW of renewable energy capacity by 2030.
• The Green Hydrogen Mission (2023) aims to position India as a global hub for hydrogen production.
2. Global Climate Diplomacy:
• India played a key role in the Paris Agreement and subsequent climate action platforms, showcasing leadership in sustainable development.

 

Social and Educational Reforms

1. Skill Development and Education:
• Programs like Skill India and the National Education Policy (NEP) 2020 emphasized skill-building and digital education, preparing the workforce for a global economy.
2. Healthcare Innovations:
• The launch of Ayushman Bharat (world’s largest health insurance scheme) improved healthcare access for millions.
• India’s leadership in vaccine production during COVID-19, particularly with the Covishield vaccine, underscored its role in global healthcare.

 

Cultural and Soft Power

1. Global Recognition of Indian Culture:
• Yoga was promoted globally, with International Yoga Day being celebrated worldwide.
• Bollywood and Indian OTT platforms gained international audiences, expanding India’s cultural influence.
2. Diaspora Engagement:
• The Indian diaspora, one of the largest globally, played a crucial role in enhancing India's influence in global policymaking, business

 

 

Jai Hind jai Bhart

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