The Economic Times

India's demographic and longevity dividends offer a unique window for growth, but require converting population numbers into skilled, healthy human capital. Addressing challenges like NCDs, malnutrition, mental health, and digital addiction through integrated healthcare and community participation is crucial for sustained prosperity.

India needs more private money for city climate resilience. Public funds are not enough. Cities must show strong finances and clear plans. This will attract investors. Reforms are happening, but cities need to act. Stronger city finances mean better resilience against climate shocks. This is key for future urban development.

Budget 2026: Reorienting the budget is politics, not economics. It calls for political courage, honesty of purpose, and articulate engagement with the public. Is that too much to expect?

India's fiscal and monetary policymakers face significant challenges. Upcoming revisions to GDP and inflation data will impact budget estimates and borrowing plans. The Reserve Bank of India's Monetary Policy Committee must navigate these uncertainties. Government borrowing projections are a key concern. These factors complicate the growth-inflation trade-off for the MPC's upcoming decisions.

India's tourism recovery lags globally, with foreign arrivals significantly below pre-pandemic levels. Despite government intent to boost the sector through heritage and medical tourism initiatives, the approach remains outdated. A decisive branding reset and creative marketing strategies are urgently needed to attract young, digital-native travelers and tap into India's tourism potential.

India's rapidly aging population presents a significant economic opportunity, with the senior-care sector poised for substantial growth. The recent budget emphasizes capacity building and workforce development, aligning with the 'longevity economy' concept. However, unlocking this potential requires a coordinated, services-led approach and a unified regulatory framework to address structural challenges and ensure quality care.

India and the United States have agreed to a trade deal. This agreement reduces tariffs on Indian goods to 18 percent. India will also stop purchasing Russian oil. The United States will reduce reciprocal tariffs. This development eases months of uncertainty and strained relations between the two nations. The deal signals a positive shift in bilateral ties.

China's export dominance continues despite tariffs. India faces a growing trade deficit. To compete, India must focus on scale, subsidies, and skills. This requires a policy shift from protection to promotion. Encouraging MSMEs to grow and promoting skilled labor are crucial steps. Faster clearances and societal approval for vocational skills will bolster manufacturing competitiveness on the global stage.

SpaceXs acquisition of xAI creates a $1.25-tn AIspace powerhouse, betting on orbital computing. The merger reshapes global tech power, raising opportunities and strategic challenges for India.

Budget 2026 reveals a subtle political strategy, focusing on infrastructure and development projects in poll-bound states. The government prioritizes centrally branded capital expenditure over direct fiscal transfers. This approach aims to showcase progress and claim credit, betting on long-term promises to influence voter perception. The budget emphasizes anticipation and symbolism, potentially leaving immediate economic relief for citizens unaddressed.

Cricket faced an unprecedented crisis in 2026 when Pakistan refused to play India in a World Cup match, a move triggered by BCCI's decision to pull a Bangladeshi player from the IPL. This action, may be driven by other motivations rather than cricketing ones, has led to widespread financial losses for multiple nations in the global cricket community.

Budget 2026 focuses on building essential public goods. It enhances macro credibility and coordination through increased capital expenditure. Reforms simplify tax structures and improve predictability. Climate preparedness sees a shift with carbon capture commitments. The budget emphasizes capability formation for better outcomes. This budget prioritizes execution over mere spending, aiming for durable improvements in state capacity.

The budget manages to deliver significant growth stimulus through targeted expenditure. Revenue expenditure growth is budgeted at 6.7% in FY27, moderating from 7.2% in FY26 revised estimates. By holding revenue expenditure growth down, GoI creates the fiscal headroom to push capex higher without breaching deficit targets. This approach of maintaining high capex while reducing the fiscal deficit demonstrates GoI's strategy of maximising growth multiplier effect of public spending.

Anachronistic statistical methods continue to obscure estimates of real GDP growth, while slowing nominal growth and 25 mths of falling core inflation (excluding gold) signal persistent, and possibly widening, excess capacity. Policymakers have responded by rationalising GST, implementing new labour codes and creating the framework for deregulation. While these reforms mark progress, their scale seems modest when set against the entrenched challenges faced by private consumption and investment.

India's new budget prioritizes long-term growth through investment in people. It emphasizes skills, education, and healthcare to boost productivity. Initiatives in biopharma manufacturing and clinical research aim to make India a global supplier. This approach builds a stronger economy and empowers citizens. The budget signals confidence in India's people to create value.

Government expenditure as a percentage of GDP has remained largely stagnant, hovering around 2016 levels despite a pandemic surge. This is driven by flat revenue receipts, with individuals now bearing a higher tax burden than corporations. While there are efforts to simplify taxation and offer tax holidays, the budget lacks a coherent strategy for growth, employment, and productivity.

India's 2026-27 budget reflects a bold stride towards economic robustness and equitable development. Focused on fostering domestic growth and self-reliance, it includes substantial investments in crucial sectors pivotal for the economy. The vision for urban evolution through City Economic Regions promises better infrastructure and opportunities for residents.

With a young and expanding workforce, India stands at a rare moment of opportunity. From 2017-18 to 2023-24, nearly 17 cr jobs have been added, reflecting robust employment generation. And yet, as Periodic Labour Force Survey (PLFS) data reveal, there is a vast scope for expanding the labour force by raising India's female labour force participation rate (FLFPR).

India's financial plan prioritizes stimulating internal consumption by increasing investments and strengthening export efficiency. It seeks to fortify supply chain durability and expedite necessary reforms. Although strategic in nature, the reform initiatives primarily focus on established processes.

The push for making India a bigger biopharmaceutical innovator and manufacturer, with emphasis on emerging disease patterns, as well as support for the beleaguered textiles industry are part of the 'Make in India' architecture. From toys and limited sporting equipment - Walmart now sources sports bicycles from India -the budget shows ambition to incubate a modern sports manufacturing industry.

Kalamkaval, a Malayalam film, draws inspiration from a real-life serial killer. The movie focuses heavily on its male lead, Mammootty. This approach neglects the victims' stories and the societal pressures they faced. In contrast, the Hindi series Dahaad explored these elements with depth. Kalamkaval offers a stylish showcase for Mammootty but lacks the insightful commentary of its counterpart.

From loud sloganeering to queue-jumping and selfie supremacy, the column skewers how normalised bad behaviour at home fuels the Ugly Indian abroadand why it shocks us only when it embarrasses us overseas.

The landscape of Indian publishing is evolving, with non-fiction sales experiencing a remarkable increase. Fiction, once the reigning genre, appears to be losing its foothold as readers gravitate towards narratives that spark critical thought. The once-celebrated literary fiction has seen a dip in relevance, with many current novels lacking the depth that stimulates meaningful discourse.

Being attracted to Western-themed goods and experiences can go to absurd lengths, but to truly make 'Mera Bharat Mahan', desi products and services should be winners purely on merit.