‭Index of Chapters from Economic Survey 2023-24‬ ‭Page No.

‭1. State of the Economy: Steady As She Goes‬ ‭1-2‬

‭ . Monetary Management and Financial Intermediation: Stability is the‬

2
‭3-4‬
‭Watchword‬

‭3. Prices and Inflation: Under Control‬ ‭5-6‬

‭4. External Sector: Stability Amid Plenty‬ ‭7-8‬

‭5. Medium Term Outlook: A Growth Vision for New India‬ ‭9-11‬

‭6. Climate Change and Energy Transition: Dealing with Trade-offs‬ ‭12-13‬

‭7. Social Sector: Benefits That Empower‬ ‭14-15‬

‭8. Employment and Skill Development: Towards Quality‬ ‭16-17‬

‭9. Agriculture and Food Management: Plenty of Upside Left if We Get It Right‬ ‭18-19‬

‭10. Industry: Small and Medium Matters‬ ‭20-21‬

‭11. Services: Fuelling Growth Opportunities‬ ‭22-23‬

‭12. Prices and Inflation: Under Control‬ ‭24-25‬

‭13. External Sector: Stability Amid Plenty‬ ‭26-27‬

 ‭CHAPTER - 1‬
‭"State of the Economy: Steady As She Goes" ‬

‭Introduction:‬

‭●‬ T ‭ he Indian economy has shown resilience and recovery post-pandemic, marked by strong growth in‬
‭GDP and substantial investments in infrastructure.‬
‭●‬ ‭The chapter outlines the government's response to the pandemic through public spending,‬
‭digitalization, and structural reforms under the Atmanirbhar Bharat Abhiyan.‬

‭Key Components of Economic Response:‬

‭1.‬ ‭Public Spending on Infrastructure:‬

‭○‬ ‭Focused on creating demand for jobs and industrial output.‬
‭○‬ ‭Led to a significant private investment response, supported by stronger financial and‬
‭non-financial sector balance sheets.‬
‭2.‬ ‭Digitalization of Service Delivery:‬
‭○‬ ‭Accelerated during the pandemic, transforming service delivery and public administration.‬
‭○‬ ‭Supported by public policy initiatives in digital technology.‬
‭3.‬ ‭Atmanirbhar Bharat Abhiyan:‬
‭○‬ ‭Provided targeted relief to various sectors and population groups.‬
‭○‬ ‭Implemented structural reforms to enhance medium-term growth potential.‬

‭Management of Inflation and Fiscal Balance:‬

‭●‬ I‭nflationary pressures due to global disruptions and monsoon variability were managed through‬
‭administrative and monetary policies.‬
‭●‬ ‭Fiscal balances improved despite increased public investment, aided by tax compliance reforms and‬
‭digitalization.‬

‭External Balance and Global Context:‬

‭●‬ T ‭ he external sector faced challenges from subdued global demand for goods but benefited from‬
‭strong services exports.‬
‭●‬ ‭Global economic conditions have shown improvement, with shrinking inflationary pressures and‬
‭recovering trade, barring further geopolitical disruptions.‬

‭Economic Performance and Growth:‬

‭ ‬ I‭ndia's real GDP in FY24 was 20% higher than in FY20, showcasing significant recovery.‬
●
‭●‬ ‭Growth was inclusive, with reductions in unemployment and multi-dimensional poverty, and‬
‭increased labor force participation.‬
‭●‬ ‭The economy is poised for robust growth in FY25 and beyond.‬

Page 1
‭Sectoral Performance:‬

‭●‬ ‭Manufacturing Sector:‬

‭○‬ ‭Rebounded with a 9.9% growth in FY24, driven by reduced input prices and stable domestic‬
‭demand.‬
‭○‬ ‭Benefited from a decrease in the Wholesale Price Index (WPI) inflation.‬
‭●‬ ‭Construction and Services Sectors:‬
‭○‬ ‭Construction grew due to infrastructure development and real estate demand.‬
‭○‬ ‭Services sector growth was bolstered by trade, transport, real estate, and technology‬
‭integration.‬
‭○‬ ‭Financial and professional services emerged as major growth drivers post-pandemic.‬

‭Consumption and Investment:‬

‭●‬ P ‭ rivate consumption remained a crucial driver of GDP growth, with strong urban demand and‬
‭improving rural consumption.‬
‭●‬ ‭Gross Fixed Capital Formation (GFCF) increased, indicating a private capex upcycle aided by‬
‭government capital expenditure.‬

‭F inancial Sector Resilience:‬

‭●‬ T ‭ he banking and financial sector maintained stability with improved asset quality and adequate‬
‭capital buffers.‬
‭●‬ ‭Credit disbursal to MSMEs, housing, and services grew in double digits, supporting investment‬
‭demand.‬
‭●‬ ‭Corporate bond market activities increased, reflecting strong corporate financial health.‬

‭Outlook for FY25:‬

‭●‬ T ‭ he economy is expected to continue its growth trajectory, supported by domestic growth drivers‬
‭and improved global economic conditions.‬
‭●‬ ‭Potential risks include geopolitical conflicts, inflationary pressures, and supply chain disruptions.‬

‭Conclusion:‬

‭ ‬ I‭ndia's economic recovery post-pandemic has been orderly and robust.‬

●
‭●‬ ‭The government’s focus on macroeconomic stability, public investment, digitalization, and structural‬
‭reforms has positioned the economy for sustained growth.‬

Page 2
 ‭CHAPTER - 2‬
‭"Monetary Management and Financial Intermediation: Stability is the‬
‭Watchword"‬

‭Introduction:‬

‭●‬ ‭The Indian banking and financial sectors demonstrated exceptional performance in FY24, marked by‬
‭significant growth in bank credit, reduced non-performing assets (NPAs), and improved asset‬
‭quality.‬
‭●‬ ‭Capital markets expanded, with the Nifty 50 index rising by 26.8%, and the insurance sector‬
‭expected to grow rapidly over the next five years.‬

‭Monetary Developments:‬

‭1.‬ ‭Monetary Policy Stance:‬

‭○‬ ‭The Monetary Policy Committee (MPC) maintained the policy repo rate at 6.5%, focusing on‬
‭inflation control and growth support.‬
‭○‬ ‭The repo rate remained unchanged since February 2023, after a cumulative hike of 250 basis‬
‭points between May 2022 and February 2023.‬
‭2.‬ ‭Liquidity Conditions:‬
‭○‬ ‭Liquidity conditions were influenced by the withdrawal of ₹2,000 banknotes and the merger of‬
‭HDFC with HDFC Bank.‬
‭○‬ ‭The RBI conducted various liquidity operations, including Variable Rate Reverse Repo (VRRR)‬
‭and Variable Rate Repo (VRR) auctions.‬
‭3.‬ ‭Credit and Deposit Rates:‬
‭○‬ ‭Lending and deposit rates increased, reflecting policy rate hikes and moderated surplus‬
‭liquidity.‬
‭○‬ ‭The weighted average lending rate (WALR) and weighted average domestic term deposit rate‬
‭(WADTDR) for fresh and outstanding rupee loans and deposits showed a significant rise.‬

‭F inancial Intermediation:‬

‭1.‬ ‭Banking Sector Performance:‬

‭○‬ ‭The banking sector displayed resilience with improved asset quality, capital adequacy, and‬
‭profitability.‬
‭○‬ ‭Credit growth was driven by lending to services and personal loans, with accelerated deposit‬
‭growth due to higher term deposit rates.‬
‭2.‬ ‭Dealing with Distressed Assets:‬

Page 3
 ‭○‬ ‭The government implemented measures to resolve stressed assets, including strengthening‬
‭banking regulations and enacting insolvency and bankruptcy legislation.‬
‭○‬ ‭The Gross NPA (GNPA) ratio of public sector banks reduced significantly from 14.5% in March‬
‭2016 to 2.8% in March 2024.‬
‭3.‬ ‭F inancial Inclusion:‬
‭○‬ ‭Financial inclusion improved with the involvement of microfinance institutions (MFIs) and the‬
‭expansion of digital financial services.‬
‭○‬ ‭The insurance and pension sectors also saw growth, with increased coverage and subscriber‬
‭base.‬
‭4.‬ ‭Capital Markets:‬
‭○‬ ‭Capital markets played a crucial role in resource mobilization for the corporate sector and the‬
‭government.‬
‭○‬ ‭The market capitalization of the Indian stock market rose significantly, and India's stock markets‬
‭remained stable despite global uncertainties.‬
‭5.‬ ‭Regulatory Coordination and Financial Stability:‬
‭○‬ ‭The Financial Stability and Development Council (FSDC) ensured regulatory coordination and‬
‭overall financial stability.‬
‭○‬ ‭The RBI's bi-annual Financial Stability Report assessed the risks to financial stability and the‬
‭resilience of the financial system.‬

‭Outlook for the Financial Sector:‬

‭●‬ ‭The financial sector is poised for growth, with a focus on digital financial inclusion, AI/ML,‬
‭decentralized finance, and IoT.‬
‭●‬ ‭The vision of a "fintech nation" with high fintech adoption is being pursued.‬
‭●‬ ‭Regulatory and government policy measures will continue to support financial stability and promote‬
‭capital formation, trade, and investments.‬

‭Conclusion:‬

‭●‬ ‭The Indian financial sector has made significant strides in improving asset quality, capital adequacy,‬
‭and profitability.‬
‭●‬ ‭As India aims to become a developed country by 2047, the financial sector must support economic‬
‭growth by providing efficient financial services, promoting trade and investments, and ensuring‬
‭financial inclusion.‬
‭●‬ ‭The sector must prepare for potential vulnerabilities and continue regulatory improvements to align‬
‭with global best practices.‬
‭●‬ ‭The next steps involve embracing technologies like AI/ML and decentralized finance to enhance the‬
‭digital payments ecosystem and financial services.‬

Page 4
 ‭CHAPTER - 3‬
‭"Prices and Inflation: Under Control"‬

‭Introduction:‬

‭●‬ ‭Managing low and stable inflation is crucial for sustaining economic growth. The Reserve Bank of‬
‭India (RBI) and the Central Government have worked together to maintain retail inflation at 5.4% in‬
‭FY24, the lowest since the COVID-19 pandemic.‬
‭●‬ ‭The chapter discusses the impact of the pandemic, geopolitical tensions, and global economic‬
‭conditions on inflation in India, alongside the measures taken to control it.‬

‭Global and Domestic Inflation Dynamics:‬

‭1.‬ ‭Global Context:‬

‭○‬ ‭The global economy experienced significant inflationary pressures due to supply chain‬
‭disruptions and geopolitical tensions, notably the Russia-Ukraine war.‬
‭○‬ ‭Coordinated monetary tightening by major economies led to a decline in global inflation,‬
‭particularly in energy prices.‬
‭2.‬ ‭Domestic Inflation Trends:‬
‭○‬ ‭India's retail inflation remained lower than the global and EMDE (Emerging Markets and‬
‭Developing Economies) averages.‬
‭○‬ ‭Retail inflation in India was primarily driven by food inflation, with core inflation remaining‬
‭moderate due to monetary policy measures.‬

‭Monetary Policy and Inflation Control:‬

‭1.‬ ‭Monetary Policy Stance:‬

‭○‬ ‭The RBI increased the policy repo rate by 250 basis points from May 2022 to February 2023,‬
‭focusing on absorbing excess liquidity and aligning inflation with the target.‬
‭○‬ ‭The policy rate was kept unchanged thereafter, with a focus on the gradual withdrawal of‬
‭accommodation.‬
‭2.‬ ‭Core Inflation Dynamics:‬
‭○‬ ‭Core inflation, which excludes food and energy items, reached a four-year low in FY24. This‬
‭decline was driven by a reduction in both core goods and services inflation.‬

Page 5
‭Sectoral Analysis of Inflation:‬

‭1.‬ ‭Fuel and Energy:‬

‭○‬ ‭Retail fuel inflation stayed low due to the decline in global energy prices and domestic price‬
‭cuts for LPG, petrol, and diesel.‬
‭○‬ ‭The global energy price index experienced a sharp decline in FY24, contributing to lower fuel‬
‭inflation in India.‬
‭2.‬ ‭Food Inflation:‬
‭○‬ ‭Food inflation has been influenced by adverse weather conditions and global supply chain‬
‭disruptions. In FY23 and FY24, food inflation increased due to the impact of extreme weather‬
‭events on agricultural output.‬
‭○‬ ‭The Consumer Food Price Index (CFPI) showed elevated inflation rates for vegetables,‬
‭pulses, and spices.‬
‭3.‬ ‭Consumer Durables and Non-Durables:‬
‭○‬ ‭Inflation in consumer durables, driven by high gold and clothing prices, showed a decline in‬
‭FY24 as supply conditions improved.‬
‭○‬ ‭Core non-durables inflation also eased due to declining transport costs and other factors.‬

‭Administrative and Policy Measures:‬

‭1.‬ ‭Government Actions:‬

‭○‬ ‭The government implemented various measures to manage inflation, including trade‬
‭policies, stock management, and open market operations.‬
‭○‬ ‭Specific actions, such as export restrictions on sugar and price monitoring, helped stabilize‬
‭domestic prices.‬
‭2.‬ ‭Future Outlook:‬
‭○‬ ‭The RBI and IMF project that India's consumer price inflation will align towards the target in‬
‭the coming years, assuming normal monsoon conditions and no major external shocks.‬
‭○‬ ‭The focus will be on improving storage facilities, enhancing the production of essential food‬
‭items, and refining the price monitoring and indexing systems.‬

‭Conclusion:‬

‭●‬ ‭Indian economy has successfully managed inflation through prudent monetary policies and‬
‭administrative measures.‬
‭●‬ ‭The outlook for inflation remains positive, with projections indicating a gradual alignment towards‬
‭the inflation target.‬
‭●‬ ‭Continued efforts to enhance domestic production, improve storage facilities, and refine policy‬
‭frameworks are essential for maintaining long-term price stability.‬

Page 6
 ‭CHAPTER - 4‬
‭"External Sector: Stability Amid Plenty"‬

‭Introduction:‬

‭●‬ ‭The Indian external sector remained robust despite global geopolitical headwinds and inflationary‬
‭pressures.‬
‭●‬ ‭While merchandise exports faced challenges due to lower demand from key trading partners, the‬
‭services exports performed well, helping to reduce the overall trade deficit from USD 121.6 billion‬
‭in FY23 to USD 78.1 billion in FY24.‬

‭Global and Domestic Dynamics:‬

‭1.‬ ‭Global Context:‬

‭○‬ ‭The global economy experienced multiple shocks post-COVID-19, including the Russia-Ukraine‬
‭conflict, developments in the Middle East, and the Red Sea crisis, impacting global trade and‬
‭inflation.‬
‭○‬ ‭Foreign investments declined due to global uncertainties, higher interest rates in developed‬
‭economies, and active industrial policies.‬
‭2.‬ ‭India’s Trade Performance:‬
‭○‬ ‭Despite a moderation in merchandise exports, India’s services exports continued to grow, driven‬
‭by software/IT services and business services.‬
‭○‬ ‭India’s current account deficit (CAD) improved due to lower commodity prices and rising‬
‭services exports, reaching a surplus in the last quarter of FY24.‬

‭Sectoral Analysis:‬

‭1.‬ ‭Merchandise Trade:‬

‭○‬ ‭Merchandise exports declined due to subdued global demand but were offset by a sharper‬
‭decline in merchandise imports.‬
‭○‬ ‭The reduction in the import bill was aided by lower prices of imported commodities, including‬
‭crude oil.‬
‭2.‬ ‭Services Exports:‬
‭○‬ ‭Services exports, particularly in software/IT and business services, showed robust growth,‬
‭supported by India’s emergence as a hub for Global Capability Centres (GCCs).‬
‭3.‬ ‭Global Value Chains (GVCs):‬
‭○‬ ‭India’s participation in global value chains increased, with GVC-related trade rising to 40.3% of‬
‭gross trade in 2022 from 35.1% in 2019.‬

Page 7
 ‭○‬ ‭Government measures in trade facilitation and logistics cost reduction improved India’s rank in‬
‭the World Bank’s Logistics Performance Index.‬

‭Capital Flows and Exchange Rate Stability:‬

‭1.‬ ‭Foreign Portfolio Investment (FPI):‬

‭○‬ ‭India witnessed positive net FPI inflows of USD 44.1 billion in FY24, driven by strong economic‬
‭growth and investor confidence.‬
‭○‬ ‭The Indian Rupee remained stable, with the least volatility among emerging market currencies.‬
‭2.‬ ‭Foreign Direct Investment (FDI):‬
‭○‬ ‭Despite a decline in net FDI inflows from USD 42.0 billion in FY23 to USD 26.5 billion in FY24,‬
‭gross FDI inflows remained relatively stable.‬

‭Balance of Payments (BoP) and Foreign Exchange Reserves:‬

‭●‬ ‭The balance of payments situation improved with a lower CAD and robust capital inflows.‬
‭●‬ ‭India’s foreign exchange reserves remained ample, covering 11 months of projected imports and‬
‭more than 100% of total external debt.‬

‭External Debt Management:‬

‭●‬ ‭India’s external debt remained sustainable, with a decline in the external debt to GDP ratio to 18.7%‬
‭in March 2024 from 19.0% in March 2023.‬
‭●‬ ‭The ratio of foreign exchange reserves to total debt stood at 97.4%, indicating strong external‬
‭sector resilience.‬

‭Conclusion and Outlook:‬

‭●‬ ‭The Indian external sector has been managed effectively amid global uncertainties, with stable‬
‭forex reserves and a manageable exchange rate.‬
‭●‬ ‭Future challenges include geopolitical tensions, policy uncertainties, and potential protectionist‬
‭measures from major trading partners.‬
‭●‬ ‭India’s rise as a global supplier of goods and services will be supported by a stable policy‬
‭environment, improved trade infrastructure, and enhanced quality standards in the private sector.‬

Page 8
 ‭CHAPTER - 5‬
‭"Medium Term Outlook: A Growth Vision for New India"‬

‭Introduction:‬

‭●‬ ‭The Indian economy has demonstrated resilience over the past decade due to structural reforms‬
‭since 2014, positioning it on a robust growth path.‬
‭●‬ ‭The chapter sets out a vision for achieving sustained economic growth of 7% or more, building on‬
‭past reforms and focusing on new strategic areas for development.‬

‭Setting the Context:‬

‭1.‬ ‭Economic Growth:‬

‭○‬ ‭From a valuation of less than USD 300 billion in 1993 to an estimated USD 3.6 trillion in 2024,‬
‭the Indian economy has grown 12-fold despite rupee depreciation.‬
‭○‬ ‭India's per capita GDP has increased from USD 301.5 in 1993 to USD 2,484.8 in 2023,‬
‭improving the standard of living significantly.‬
‭2.‬ ‭Global and Domestic Challenges:‬
‭○‬ ‭The world is now more multipolar, with geopolitical conflicts likely to continue.‬
‭○‬ ‭India's goal of becoming a developed nation by 2047 requires navigating through global and‬
‭domestic challenges, including climate change, technological disruptions, and national security‬
‭concerns.‬

‭Key Areas of Policy Focus in the Short to Medium Term:‬

‭1.‬ ‭Economic Efficiency and Resilience:‬

‭○‬ ‭Increasing geoeconomic fragmentation necessitates a balance between efficiency and‬
‭resilience, with a shift from "just in time" to "just in case" supply chains.‬
‭2.‬ ‭Self-reliance and Strategic Protection:‬
‭○‬ ‭The global trust deficit prompts countries to pursue self-reliance, particularly in strategic‬
‭sectors, balancing inward and outward-looking policies.‬
‭3.‬ ‭Climate Change and Development:‬
‭○‬ ‭Integrating climate change strategies into national development policy is crucial for‬
‭socio-economic stability and public health, balancing adaptation and mitigation.‬
‭4.‬ ‭Technological Advancements:‬
‭○‬ ‭Technology, especially AI, is a key differentiator for economic prosperity but poses challenges‬
‭like labour market disruptions and income inequality.‬

Page 9
 ‭5.‬ ‭Policy Space and Trade-offs:‬
‭○‬ ‭Limited policy space requires policymakers to recognize and accept trade-offs, with a focus on‬
‭bottom-up reforms for sustained growth.‬
‭6.‬ ‭Structural Reforms:‬
‭○‬ ‭Continued focus on implementing structural reforms, with an emphasis on engaging state‬
‭governments, the private sector, and civil society.‬

‭Growth Strategy for Amrit Kaal: Strong, Sustainable, and Inclusive:‬

‭1.‬ ‭Capital Formation:‬

‭○‬ ‭Ensuring organic and steady growth in private sector capital formation for job creation and fair‬
‭income distribution.‬
‭2.‬ ‭F inancing Green Transition:‬
‭○‬ ‭Innovative financing instruments and public-private partnerships to support India’s green‬
‭transition efforts.‬
‭3.‬ ‭MSME Sector:‬
‭○‬ ‭Bridging the credit gap, enhancing connectivity, and developing an export strategy for MSMEs‬
‭to scale up and broaden market exposure.‬
‭4.‬ ‭Agriculture Sector:‬
‭○‬ ‭Intelligent, farmer-friendly policies to exploit the potential of agriculture for growth and‬
‭development, focusing on sustainability.‬
‭5.‬ ‭Education and Skills:‬
‭○‬ ‭Aligning education and skill policies with a focus on learning outcomes and preparing youth for‬
‭emerging technologies and job markets.‬
‭6.‬ ‭State Capacity and Capability:‬
‭○‬ ‭Enhancing state capacity and capability to ensure effective implementation of growth‬
‭strategies, with investments in technology and infrastructure.‬

‭Outlook in the Medium Term:‬

‭●‬ ‭India’s economy is on track to become the third-largest globally, supported by strong domestic‬
‭demand and a rising working-age population.‬
‭●‬ ‭Sustaining high growth rates requires addressing evolving challenges, leveraging structural reforms,‬
‭and fostering inclusive development.‬

Page 10
‭Conclusion:‬

‭●‬ ‭The Indian growth story is one of resilience, with structural reforms paving the way for sustained‬
‭growth.‬
‭●‬ ‭The focus must now shift to bottom-up reforms and strengthening governance to realize the vision‬
‭of a "Viksit Bharat" by 2047.‬

Page 11
 ‭CHAPTER - 6‬
‭"Climate Change and Energy Transition: Dealing with Trade-offs"‬

‭Introduction:‬

‭●‬ ‭India, despite being one of the fastest-growing economies, has a per capita carbon emission that is‬
‭about one-third of the global average. The country aims for a "Viksit Bharat" (Developed India) by‬
‭2047 and Net Zero carbon emissions by 2070, emphasizing inclusive and environmentally‬
‭sustainable growth.‬
‭●‬ ‭The challenge is to balance development needs with a low-carbon pathway, requiring viable battery‬
‭storage technologies and access to critical minerals for stable energy supplies.‬

‭Global and Domestic Climate Change Challenges:‬

‭1.‬ ‭Global Context:‬

‭○‬ ‭Developed nations are grappling with the trade-offs involved in transitioning to alternative‬
‭energy sources. For instance, the UK postponed banning petrol and diesel vehicles, and‬
‭Germany diluted fossil fuel boiler bans due to public resistance and rising energy costs.‬
‭○‬ ‭Fiscal constraints post-pandemic and reliance on fossil fuel taxes complicate the transition to‬
‭renewable energy.‬
‭2.‬ ‭Domestic Context:‬
‭○‬ ‭India’s climate action is guided by the National Action Plan on Climate Change (NAPCC),‬
‭encompassing nine national missions focusing on solar energy, water, energy efficiency, and‬
‭sustainable agriculture.‬
‭○‬ ‭Significant progress includes achieving a 40% non-fossil fuel-based power capacity ahead of‬
‭the 2030 target and reducing the emissions intensity of GDP.‬

‭Energy Composition and Efficiency:‬

‭1.‬ ‭Current Energy Mix:‬

‭○‬ ‭As of 2022-23, 84% of India’s primary energy mix is derived from fossil fuels. However, the‬
‭electricity sector has seen a significant shift towards non-fossil sources, reaching 45.4%‬
‭non-fossil power capacity by May 2024.‬
‭2.‬ ‭Renewable Energy Initiatives:‬
‭○‬ ‭The PM-Surya Ghar Yojana aims to add 30 GW of solar capacity, reduce CO2 emissions by 720‬
‭million tonnes, and create 17 lakh jobs.‬

Page 12
 ‭○‬ ‭Offshore wind energy policies and the Green Hydrogen Mission targeting 5 MMT of green‬
‭hydrogen by 2030 are key initiatives.‬

‭Challenges in Energy Transition:‬

‭1.‬ ‭Intermittency and Grid Stability:‬

‭○‬ ‭Renewable energy sources face issues with supply intermittency and grid integration. Battery‬
‭storage solutions and diversified energy sources are essential to address these challenges.‬
‭2.‬ ‭F inancial and Technological Constraints:‬
‭○‬ ‭The cost of renewable energy production and the need for financial resources from developed‬
‭countries pose significant challenges. International cooperation in R&D and innovative financing‬
‭mechanisms are crucial.‬

‭Policy Measures and Programs:‬

‭1.‬ ‭Demand Side Management (DSM):‬

‭○‬ ‭DSM interventions have led to significant energy savings, reducing peak electricity demands‬
‭and deferring high investments in generation, transmission, and distribution networks.‬
‭○‬ ‭The Perform, Achieve, and Trade (PAT) scheme and Standards & Labelling (S&L) program have‬
‭resulted in substantial energy and cost savings.‬
‭2.‬ ‭Lifestyle for Environment (LiFE):‬
‭○‬ ‭The LiFE initiative encourages sustainable lifestyles, aiming for behavioral changes that‬
‭promote energy efficiency and reduce emissions. It aligns with India’s energy transition strategy‬
‭and supports individual and industrial shifts towards sustainable consumption patterns.‬

‭Conclusion:‬

‭●‬ ‭India’s energy transition is progressing with significant strides in renewable energy and efficiency‬
‭improvements. However, challenges related to intermittency, financial constraints, and technological‬
‭gaps remain.‬
‭●‬ ‭A balanced approach, recognizing trade-offs and focusing on both climate and development goals,‬
‭is essential for achieving sustainable growth and energy security.‬

Page 13
 ‭CHAPTER - 7‬
‭"Social Sector: Benefits That Empower" ‬

‭Introduction:‬

‭●‬ ‭India is progressing towards becoming a developed nation by 2047, focusing on economic, social,‬
‭technological, and institutional advancements.‬
‭●‬ ‭The welfare approach has transformed to be more efficient and empowering, aiming for universal‬
‭access to basic amenities as a foundation for inclusive growth.‬

‭Economic and Social Development‬‭:‬

‭1.‬ ‭Public Policy and Human Development:‬

‭○‬ ‭Effective public policy implementation is crucial for translating economic growth into‬
‭broad-based human development.‬
‭○‬ ‭India's social infrastructure needs to reach a diverse population across different geographies‬
‭and cultures.‬
‭2.‬ ‭Social Services Expenditure:‬
‭○‬ ‭Government expenditure on social services has been rising, with a significant focus on‬
‭education, health, and other social well-being aspects.‬
‭○‬ ‭Between FY18 and FY24, welfare expenditure grew at a CAGR of 12.8%, outpacing the‬
‭nominal GDP growth rate.‬

‭Health and Education:‬

‭1.‬ ‭Healthcare Initiatives:‬

‭○‬ ‭Mission Indradhanush has improved child immunization rates, and the Ayushman Bharat‬
‭scheme is enhancing access to healthcare.‬
‭○‬ ‭The percentage of fully vaccinated children increased from 77.9% in 2015-16 to 83.8% during‬
‭2019-21.‬
‭2.‬ ‭Education Initiatives:‬
‭○‬ ‭The National Education Policy (NEP) 2020 is driving transformations in education, aiming for‬
‭foundational literacy and numeracy for all children.‬
‭○‬ ‭Addressing learning losses due to COVID-19 is a priority, alongside improving overall learning‬
‭outcomes.‬

Page 14
‭Women-led Development:‬

‭1.‬ ‭Empowerment Programs:‬

‭○‬ ‭Various government schemes are promoting women-led development through socio-economic‬
‭and political empowerment.‬
‭○‬ ‭Programs like PM Mudra Yojana and Stand-Up India are facilitating loans and support for‬
‭women entrepreneurs.‬
‭2.‬ ‭Self-Help Groups (SHGs):‬
‭○‬ ‭SHGs have been instrumental in women’s empowerment, providing financial support, skill‬
‭development, and access to government schemes.‬
‭○‬ ‭Successful SHG models include Kudumbashree in Kerala and Jeevika in Bihar.‬

‭Rural Development and Governance:‬

‭1.‬ ‭Rural Entrepreneurship:‬

‭○‬ ‭Schemes like the Deendayal Antyodaya Yojana-National Rural Livelihood Mission (DAY-NRLM)‬
‭are fostering rural entrepreneurship.‬
‭○‬ ‭Initiatives focus on seamless access to affordable finance and lucrative market opportunities for‬
‭rural entrepreneurs.‬
‭2.‬ ‭Digital Governance:‬
‭○‬ ‭Digital transformation initiatives in rural governance, such as the e-Panchayat Mission Mode‬
‭Project, are improving efficiency and transparency.‬
‭○‬ ‭Rural internet subscriptions have significantly increased, facilitating better connectivity and‬
‭governance.‬

‭F inancial Inclusion:‬

‭●‬ ‭The Pradhan Mantri Jan Dhan Yojana has improved financial inclusion, with 52.3 crore bank accounts‬
‭opened, 55.6% of which are for women.‬
‭●‬ ‭Microfinance initiatives under DAY-NRLM have empowered women through self-help groups and‬
‭community resource persons.‬

‭Conclusion:‬

‭●‬ ‭India's approach to welfare is now more empowering and efficient, emphasizing digitalization,‬
‭transparency, and community participation.‬
‭●‬ ‭Continued focus on improving education, healthcare, and women’s empowerment is crucial for‬
‭achieving the vision of a developed India by 2047.‬
‭●‬ ‭Effective implementation and governance at all levels are essential to maximize the impact of‬
‭welfare programs and ensure sustainable development.‬

Page 15
 ‭CHAPTER - 8‬
‭"Employment and Skill Development: Towards Quality" ‬
‭ ‬

‭Introduction:‬

‭●‬ ‭Employment is the critical link between economic growth and improved quality of life. India’s goal is‬
‭to generate suitable employment opportunities to harness its demographic dividend and ensure‬
‭prosperity.‬

‭Current Employment Scenario:‬

‭1.‬ ‭Unemployment and Participation Rates:‬

‭○‬ ‭India's unemployment rate declined to 3.2% in 2022-23, with rising labor force participation‬
‭rates (LFPR) and worker-to-population ratios (WPR).‬
‭○‬ ‭Both rural and urban employment recovered post-pandemic, with urban unemployment rates‬
‭decreasing significantly.‬
‭2.‬ ‭Youth and Female Employment:‬
‭○‬ ‭Youth and female participation in the workforce has increased, presenting an opportunity to‬
‭leverage demographic and gender dividends.‬
‭3.‬ ‭Formal Employment Growth:‬
‭○‬ ‭Formal employment has grown, with net payroll additions under EPFO doubling in the past five‬
‭years, signaling healthy employment trends.‬

‭Skilling Initiatives:‬

‭1.‬ ‭Skill Development Programs:‬

‭○‬ ‭Government initiatives like Pradhan Mantri Kaushal Vikas Yojana (PMKVY) have trained over‬
‭142 million individuals since 2015, focusing on industry-relevant skills.‬
‭○‬ ‭The National Apprenticeship Promotion Scheme (NAPS) has engaged 32.38 lakh apprentices,‬
‭enhancing employability through hands-on training.‬
‭2.‬ ‭Skill India Digital Platform:‬
‭○‬ ‭Launched in August 2023, this platform integrates skilling schemes, online courses, and other‬
‭resources to facilitate easy access to skill development opportunities.‬
‭3.‬ ‭International Collaborations:‬
‭○‬ ‭Government-to-Government (G2G) MoUs with countries like Australia, Germany, and the UK‬
‭aim to improve skill standards and mutual recognition of qualifications.‬

Page 16
‭Sectoral Employment Opportunities:‬

‭1.‬ ‭Agro-processing Sector:‬

‭○‬ ‭Identified as a potential area for large-scale job creation, especially for rural youth and women,‬
‭with schemes focusing on skill development and employment generation.‬
‭2.‬ ‭Care Economy:‬
‭○‬ ‭Emphasized as a critical sector to support workforce participation by women and cater to an‬
‭aging population, with initiatives for childcare and eldercare services.‬
‭3.‬ ‭Artificial Intelligence and Gig Economy:‬
‭○‬ ‭The rise of AI and the gig economy is reshaping the employment landscape, requiring‬
‭adaptation and upskilling to meet new job demands.‬

‭Policy Measures and Recommendations:‬

‭1.‬ ‭Apprenticeship Framework:‬

‭○‬ ‭Recalibrating the apprenticeship framework to provide flexibility and align with industry needs,‬
‭promoting smoother transitions from education to employment.‬
‭2.‬ ‭Regulatory Clean-ups:‬
‭○‬ ‭Simplifying state-level laws related to land use, sector restrictions, and apprenticeship‬
‭promotion to facilitate employment generation.‬
‭3.‬ ‭Convergence of Skilling and Employment Programs:‬
‭○‬ ‭Linking skill development with high-growth sectors like apparel, tourism, and logistics to‬
‭enhance job opportunities as industries move up the value chain.‬

‭Conclusion:‬

‭●‬ ‭India's employment landscape has improved significantly over the past decade, with strides in‬
‭formalization, skill development, and inclusive growth.‬
‭●‬ ‭Continued efforts in regulatory reforms, industry collaboration, and skilling initiatives are essential‬
‭for sustainable employment creation and economic resilience.‬

Page 17
 ‭CHAPTER - 9‬
‭"Agriculture and Food Management: Plenty of Upside Left if We Get It Right"‬

‭Introduction:‬

‭●‬ ‭The agriculture sector is vital for India's economy, providing livelihood to 42.3% of the population‬
‭and contributing 18.2% to the GDP.‬
‭●‬ ‭The sector has shown resilience and consistent growth, with an average annual growth rate of‬
‭4.18% over the past five years.‬

‭Key Achievements and Challenges:‬

‭1.‬ ‭Growth and Productivity:‬

‭○‬ ‭India has a comfortable stock of food grains, with significant exports and substantial‬
‭distribution under welfare schemes like the PM Gareeb Kalyan Yojana (PMGKAY) and National‬
‭Food Security Act (NFSA).‬
‭○‬ ‭Despite growth, challenges such as low productivity, weather variability, fragmented land‬
‭holdings, and inadequate marketing infrastructure persist.‬
‭2.‬ ‭Government Initiatives:‬
‭○‬ ‭The government has introduced various interventions to enhance investment and productivity,‬
‭provide reasonable returns through the Minimum Support Price (MSP), improve access to‬
‭quality inputs, and enable better extension services.‬
‭○‬ ‭Significant initiatives include the PM-KISAN scheme, which provides direct income support to‬
‭farmers.‬

‭Sectoral Analysis:‬

‭1.‬ ‭Crop Sector:‬

‭○‬ ‭The focus is on crop diversification, promoting sustainable practices, and improving productivity‬
‭through mechanization and digitalization.‬
‭○‬ ‭The National Food Security Mission (NFSM) and MSP have played crucial roles in incentivizing‬
‭crop diversification and ensuring remunerative prices for farmers.‬
‭2.‬ ‭Livestock, Animal Husbandry, and Fisheries:‬
‭○‬ ‭These allied sectors are gaining prominence in enhancing farmers' income, with initiatives to‬
‭boost production and value addition.‬
‭○‬ ‭Promoting high-value agriculture such as fruits, vegetables, fisheries, poultry, and dairy is‬
‭essential for increasing smallholder farmers' incomes.‬

Page 18
‭Digitalization and Innovation:‬

‭1.‬ ‭Digital Initiatives:‬

‭○‬ ‭Digitalization in agriculture aims to empower farmers with better decision-making tools,‬
‭improve market access, and enhance productivity.‬
‭○‬ ‭Initiatives like the e-NAM (National Agriculture Market) and digital platforms for crop insurance‬
‭and market information are noteworthy.‬
‭2.‬ ‭Research and Development:‬
‭○‬ ‭The Indian Council on Agricultural Research (ICAR) leads in agricultural research, focusing on‬
‭crop production, bio-fortified varieties, agricultural mechanization, and post-harvest‬
‭management.‬
‭○‬ ‭Investments in agricultural research yield high returns, emphasizing the need to reinforce the‬
‭research ecosystem.‬

‭Food Processing and Supply Chain:‬

‭1.‬ ‭Food Processing Industry:‬

‭○‬ ‭The food processing sector is crucial for reducing post-harvest losses, enhancing shelf life, and‬
‭adding value to agricultural produce.‬
‭○‬ ‭The Production Linked Incentive Scheme for the Food Processing Industry (PLISFPI) and the PM‬
‭Formalization of Micro Food Processing Enterprises (PMFME) scheme support this sector.‬
‭2.‬ ‭Supply Chain Management:‬
‭○‬ ‭Initiatives to improve supply chain management from farm gates to retail outlets aim to reduce‬
‭wastage and ensure better prices for farmers.‬
‭○‬ ‭The Operation Green scheme, initially covering tomatoes, onions, and potatoes, has been‬
‭expanded to include 22 perishable crops to stabilize prices and enhance value realization.‬

‭Conclusion:‬

‭●‬ ‭The agriculture sector's performance is critical for economic growth, with significant potential in‬
‭allied sectors and high-value agriculture.‬
‭●‬ ‭Continued focus on policy reforms, digitalization, investment in infrastructure, and sustainable‬
‭practices is essential to unlock the sector's full potential and ensure food and nutritional security for‬
‭the nation.‬

Page 19
 ‭CHAPTER - 10‬
‭"Industry: Small and Medium Matters"‬

‭Introduction:‬

‭●‬ ‭Industrial growth in FY24 accelerated, with significant contributions from manufacturing and‬
‭construction. Industrial Gross Value Added (GVA) at constant prices was 25% higher than‬
‭pre-COVID FY20 levels, indicating broad-based recovery supported by credit offtake, capital‬
‭formation, and a supportive policy framework.‬

‭Sectoral Composition and Changes:‬

‭1.‬ ‭Sectoral Gains and Declines:‬

‭○‬ ‭Consumer-oriented industries like automobiles, wood products, furniture, and pharmaceuticals‬
‭have seen large gains in output share.‬
‭○‬ ‭Production-oriented sectors like machinery, chemicals, non-metallic minerals, and rubber and‬
‭plastic products have also gained share.‬
‭○‬ ‭Sectors such as petroleum products, textiles, beverages, and tobacco have witnessed a gradual‬
‭decline in output share.‬
‭2.‬ ‭Industrial Efficiency and Growth:‬
‭○‬ ‭Enhancing efficiencies, skills, and dynamics in labor-intensive segments like textiles, food‬
‭processing, and MSMEs is critical for balanced industrial expansion.‬
‭○‬ ‭Investment in R&D, formalization of smaller manufacturers, alleviation of supply chain‬
‭bottlenecks, market access, and improved finance access are necessary for fostering‬
‭industrialization.‬

‭Performance of Key Sectors:‬

‭1.‬ ‭Cement Industry:‬

‭○‬ ‭The cement industry, a significant contributor to construction, has progressed significantly in‬
‭capacity and process technology.‬
‭○‬ ‭India, the second-largest cement producer globally, has adequate capacity to meet domestic‬
‭demand, with minimal imports.‬
‭○‬ ‭Focus on green initiatives to reduce CO2 emissions and drive sustainable practices.‬
‭2.‬ ‭Cross-Cutting Themes:‬
‭○‬ ‭The Production Linked Incentive (PLI) Scheme for 14 key sectors has attracted significant‬
‭investments, boosting production, exports, and job creation.‬

Page 20
 ‭○‬ ‭Investment in white goods (ACs and LEDs) under the PLI scheme has generated significant‬
‭sales and employment.‬

‭MSME Sector:‬

‭1.‬ ‭Significance and Challenges:‬

‭○‬ ‭MSMEs contribute significantly to India's manufacturing output and exports. Formalization,‬
‭financial access, market reach, technology adoption, and skill development remain key‬
‭challenges.‬
‭○‬ ‭Initiatives like Udyam Registration, Credit Guarantee Fund Trust for Micro and Small Enterprises‬
‭(CGTMSE), and various portals for grievance redressal and procurement monitoring support‬
‭MSMEs.‬
‭2.‬ ‭Policy Recommendations:‬
‭○‬ ‭Enhancing support systems for MSME project development and financing, facilitating market‬
‭access, reducing compliance burdens, and government-industry-academia collaboration for‬
‭upskilling.‬

‭Conclusion and Outlook:‬

‭●‬ ‭The medium-term outlook for industrial growth is positive, supported by strong domestic demand‬
‭and capital formation.‬
‭●‬ ‭Continued deregulation, R&D incentivization, skill development, and addressing supply chain‬
‭constraints are essential for sustained industrial growth.‬
‭●‬ ‭Government initiatives to improve ease of doing business, reduce compliance burdens, and alleviate‬
‭logistical bottlenecks are critical for fostering a conducive environment for industrial expansion.‬

Page 21
 ‭CHAPTER - 11‬
‭"Services: Fuelling Growth Opportunities"‬

‭Introduction:‬

‭●‬ ‭The services sector has been a significant contributor to India's economic growth, accounting for‬
‭about 55% of the economy in FY24.‬
‭●‬ ‭The sector includes a wide range of activities such as trade, hospitality, transport, real estate,‬
‭finance, IT, professional services, public administration, and defence.‬
‭●‬ ‭Post-pandemic, there has been a notable transformation towards digital services like online‬
‭payments, e-commerce, and entertainment platforms.‬

‭Sectoral Performance and Trends:‬

‭1.‬ ‭Growth Dynamics:‬

‭○‬ ‭The services sector witnessed robust growth with a real growth rate exceeding 6% annually‬
‭over the last decade, except during the pandemic-affected FY21.‬
‭○‬ ‭In FY24, the sector grew by 7.6%, supported by strong domestic demand for education,‬
‭healthcare, finance, tourism, and entertainment.‬
‭2.‬ ‭Digital Transformation:‬
‭○‬ ‭The rapid adoption of digital services has driven growth in e-commerce, online payments, and‬
‭digital entertainment.‬
‭○‬ ‭Initiatives like the Digital India campaign have fostered the growth of digital services, while‬
‭export promotion schemes have boosted services exports.‬
‭3.‬ ‭Information Technology Services:‬
‭○‬ ‭IT services have seen significant growth, contributing to the country's external balance through‬
‭export earnings.‬
‭○‬ ‭The sector has supported the expansion of Global Capability Centres (GCCs) and the tech‬
‭start-up ecosystem in India.‬

‭Major Services: Sector-wise Performance:‬

‭1.‬ ‭Physical Connectivity-Based Services:‬

‭○‬ ‭Transportation services, including roadways, railways, waterways, and airways, play a crucial‬
‭role in the seamless movement of goods and people.‬
‭○‬ ‭Toll digitisation and initiatives like the PM Gati Shakti National Master Plan have improved‬
‭logistics efficiency.‬

Page 22
 ‭2.‬ ‭Tourism:‬
‭○‬ ‭The tourism sector is rapidly expanding, with a significant increase in foreign tourist arrivals and‬
‭foreign exchange earnings.‬
‭○‬ ‭India ranks 39th in the World Economic Forum's Travel and Tourism Development Index 2024,‬
‭reflecting the sector's positive post-pandemic revival.‬
‭3.‬ ‭Aviation:‬
‭○‬ ‭The aviation sector is poised for growth, supported by liberalised regulations and incentives for‬
‭the drone industry and aircraft leasing.‬
‭○‬ ‭The promotion of the International Financial Services Centre (IFSC) at GIFT City has facilitated‬
‭aviation leasing and financing.‬

‭Challenges and Opportunities:‬

‭1.‬ ‭Skill Development:‬

‭○‬ ‭There is a gap in the availability of workers with relevant digital and high-tech skills,‬
‭necessitating upskilling initiatives through programs like Skill India and the National Education‬
‭Policy.‬
‭○‬ ‭Collaboration between government initiatives and industry can help India emerge as a‬
‭high-value partner in areas such as cybersecurity and financial risk management.‬
‭2.‬ ‭Logistics and Infrastructure:‬
‭○‬ ‭Enhancing logistics and transport services, leveraging the extensive coastline and river‬
‭network, can streamline transportation routes and improve efficiency.‬
‭○‬ ‭Initiatives to ease infrastructure bottlenecks and reduce regulatory compliances are crucial.‬
‭3.‬ ‭Access to Finance:‬
‭○‬ ‭Credit accessibility remains a challenge for small and medium enterprises in the services sector.‬
‭○‬ ‭Streamlining loan processes, expanding credit guarantee schemes, and adopting alternative‬
‭credit appraisal methods can enhance credit flow to the sector.‬

‭Conclusion and Way Forward:‬

‭●‬ ‭The services sector continues to drive India's economic growth, with significant contributions from‬
‭digital services, IT, tourism, and aviation.‬
‭●‬ ‭Addressing challenges related to skill development, logistics, and finance is essential for sustaining‬
‭growth and leveraging the full potential of the services sector.‬
‭●‬ ‭Government initiatives and policies will play a critical role in fostering an enabling environment,‬
‭promoting investment, and enhancing competitiveness in the services sector.‬

Page 23
 ‭CHAPTER - 12‬
‭"Infrastructure: Lifting Potential Growth"‬

‭Introduction:‬

‭●‬ ‭The Union Government's significant increase in capital expenditure has been central to overcoming‬
‭the pandemic-driven economic slowdown, focusing on creating high-quality physical and social‬
‭infrastructure.‬
‭●‬ ‭Over the last five years, capital expenditure has nearly tripled, with substantial investments in‬
‭foundational assets such as roads and railways.‬

‭Key Developments in Infrastructure:‬

‭1.‬ ‭Public Investment and Reforms:‬

‭○‬ ‭Public investment has been complemented by institutional and procedural reforms facilitating‬
‭project execution and issue resolution.‬
‭○‬ ‭Initiatives to enhance private sector participation through Public-Private Partnerships (PPPs),‬
‭the National Infrastructure Pipeline, Project Monitoring Group, PM-GatiShakti, and instruments‬
‭like REITs and InvITs have eased long-term financing constraints.‬
‭2.‬ ‭Expansion in Connectivity and Social Infrastructure:‬
‭○‬ ‭Significant expansion in physical and digital connectivity, including sanitation and water supply,‬
‭has improved the quality of life.‬
‭○‬ ‭The government aims for a higher private sector contribution to infrastructure development,‬
‭given fiscal constraints.‬

‭Sectoral Developments and Challenges:‬

‭1.‬ ‭Physical Connectivity:‬

‭○‬ ‭Road Transport:‬‭Strategic planning and increased public investment have upgraded the road‬
‭network. Capital investment in road transport rose to about 1.0% of GDP in FY24. Initiatives‬
‭like Bharatmala Pariyojana expanded the national highway network significantly.‬
‭○‬ ‭Aviation:‬‭Approval and operationalization of new greenfield airports and terminal buildings‬
‭have increased passenger handling capacity. The UDAN Regional Connectivity Scheme has‬
‭operationalized numerous routes, enhancing connectivity.‬
‭○‬ ‭Railways:‬‭Expansion of railway infrastructure has improved logistics and passenger services,‬
‭contributing to economic growth.‬
‭2.‬ ‭Energy Infrastructure:‬

Page 24
 ‭○‬ ‭Power Sector:‬‭India’s unified electricity grid has expanded, with significant increases in‬
‭transmission capacity. Renewable energy resources have seen the highest growth in‬
‭electricity generation.‬
‭○‬ ‭Revamped Distribution Sector Scheme (RDSS):‬‭Launched to improve operational‬
‭efficiencies and financial sustainability of distribution companies, RDSS aims to reduce‬
‭technical and commercial losses and improve power supply quality.‬
‭3.‬ ‭Water and Sanitation:‬
‭○‬ ‭Improvements in sanitation and water supply infrastructure have enhanced living conditions,‬
‭supported by government programs focusing on these essential services.‬

‭Innovations and Future Outlook:‬

‭1.‬ ‭Digital and Green Initiatives:‬

‭○‬ ‭Efforts to integrate digital solutions in logistics and infrastructure development have improved‬
‭efficiency and tracking.‬
‭○‬ ‭The focus on renewable energy and sustainable practices is central to India’s infrastructure‬
‭growth, with ambitious targets for non-fossil fuel-based power generation.‬
‭2.‬ ‭Public-Private Partnerships and Funding:‬
‭○‬ ‭The National Monetisation Pipeline (NMP) aims to leverage private sector investment for new‬
‭infrastructure creation. Ministries have been proactive in developing pipelines and completing‬
‭transactions under the NMP.‬
‭○‬ ‭The need for innovative financing mechanisms and private sector participation remains critical‬
‭for sustaining infrastructure growth.‬

‭Conclusion:‬

‭●‬ ‭The infrastructure landscape in India has transformed significantly, driven by public investment and‬
‭supportive policies.‬
‭●‬ ‭To maintain this momentum, a higher level of private sector financing and resource mobilization‬
‭from new sources is essential.‬
‭●‬ ‭Continuous improvement in data capture, project execution, and utilization assessment is necessary‬
‭for effective infrastructure development and addressing gaps.‬

Page 25
 ‭CHAPTER - 13‬
‭"Climate Change and India: Why We Must Look at the Problem Through Our‬
‭Lens"‬

‭Introduction:‬

‭●‬ ‭Climate change is a global priority, with nations worldwide urged to mitigate its effects. Despite‬
‭making significant strides, India is often criticized as one of the largest polluters, overlooking the‬
‭need to balance economic development with meaningful climate action.‬
‭●‬ ‭India's traditional sustainable living ethos contrasts with the overconsumption prevalent in‬
‭developed countries. Solutions often substitute means to achieve overconsumption rather than‬
‭addressing it directly.‬

‭Key Points of Discussion:‬

‭1.‬ ‭India's Climate Action Approach:‬

‭○‬ ‭India has committed to reducing its emission intensity and increasing its non-fossil fuel power‬
‭capacity, achieving these targets ahead of schedule.‬
‭○‬ ‭The National Action Plan on Climate Change (NAPCC) outlines strategies across nine missions,‬
‭emphasizing adaptation and mitigation.‬
‭2.‬ ‭Mission LiFE (Lifestyle for Environment):‬
‭○‬ ‭Launched by Prime Minister Modi at the 2021 UN Climate Change Conference, Mission LiFE‬
‭emphasizes individual responsibility in combating climate change.‬
‭○‬ ‭It encourages pro-planet choices, rooted in ancient Indian philosophy, promoting sustainability‬
‭without compromising quality of life.‬
‭3.‬ ‭Challenges with Global Climate Strategy:‬
‭○‬ ‭Current global strategies often ignore the interconnected nature of life and the trade-offs‬
‭involved in climate action.‬
‭○‬ ‭Developed countries' consumption patterns significantly impact climate change, yet these‬
‭practices are rarely addressed in global strategies.‬

‭India's Unique Position and Achievements:‬

‭1.‬ ‭Energy and Emission Targets:‬

‭○‬ ‭India has reduced its emission intensity by 33% between 2005 and 2019, and 40% of its‬
‭electric installed capacity is from non-fossil fuel sources.‬
‭○‬ ‭International contributions include the International Solar Alliance (ISA) and Coalition for‬
‭Disaster Resilient Infrastructure (CDRI).‬

Page 26
 ‭2.‬ ‭Adaptation and Resilience:‬
‭○‬ ‭India focuses on adaptation strategies, particularly in agriculture, through initiatives like the‬
‭Pradhan Mantri Krishi Sinchayee Yojana (PMKSY) and National Innovations on Climate Resilient‬
‭Agriculture (NICRA).‬
‭○‬ ‭Programs like Swachh Bharat Mission and Pradhan Mantri Awas Yojana integrate climate‬
‭resilience into development plans.‬

‭Critical Reflections on Global Climate Policy:‬

‭1.‬ ‭Market Economy vs. Market Society:‬

‭○‬ ‭India's economic strategy prioritizes an efficient market economy while avoiding the pitfalls of a‬
‭market society, where all aspects of life are commodified.‬
‭○‬ ‭The need for locally adapted, sustainable practices is emphasized over universally applied‬
‭market solutions.‬
‭2.‬ ‭Addressing Overconsumption:‬
‭○‬ ‭The focus should shift from merely substituting energy sources to reducing overall‬
‭consumption, especially in developed nations.‬
‭○‬ ‭Sustainable practices and lifestyles should be integrated into daily life, not just as labels but as‬
‭genuine efforts to reduce environmental impact.‬

‭Conclusion:‬

‭●‬ ‭India's approach to climate change balances economic development with sustainable practices,‬
‭drawing from its traditional ethos of harmonious living with nature.‬
‭●‬ ‭The focus on individual responsibility through Mission LiFE and adaptation strategies tailored to‬
‭local needs underscores India's commitment to addressing climate change while pursuing economic‬
‭growth.‬

Page 27