Independence Day resolve: India must work to strengthen its institutions

What India achieves in the coming years and decades will depend a lot on how its politics and governance evolve

Indian economy, Economy
Even in purely economic terms, India is today the fastest-growing large economy and one of the largest in the world. | Photo: Shutterstock
Business Standard Editorial Comment Mumbai
3 min read Last Updated : Aug 14 2025 | 10:05 PM IST
There is much to celebrate as India enters its 79th year of Independence today. It is no mean achievement that, despite enormous differences and diversity, India has remained united and grown from strength to strength over the decades. India’s national unity, for instance, was on full display during Operation Sindoor earlier this year, which was in response to a cowardly terrorist attack in Pahalgam, Jammu & Kashmir. Not only did the nation come together in grief after the attack but it also backed the government and the armed forces in the operation, first in destroying terrorist infrastructure deep in Pakistan, and then in retaliation to the Pakistan armed forces’ escalation. Indian forces inflicted severe damage on Pakistani military infrastructure. In the process, India also redefined red lines in terms of dealing with Pakistan-backed terrorism. 
Even in purely economic terms, India is today the fastest-growing large economy and one of the largest in the world. Relatively fast economic growth over the past decades has resulted in a substantial decline in poverty. While there is a lot to celebrate as a nation, and the list can go on, this day also provides an opportune moment to reflect on the shortcomings and future challenges. The government has set a target of making India a developed nation by 2047, the centenary year of Independence. This is undoubtedly a worthy goal, but it is worth debating whether India’s polity and policies are moving in the right direction to enable the nation to attain that goal. It is well accepted that India needs to grow at a much faster rate. However, the international environment has become far more challenging than at any time in the past few decades. 
The United States (US), India’s largest export market, has imposed prohibitive tariffs. Aside from the 25 per cent “reciprocal tariff”, the US has imposed another 25 per cent penalty for importing Russian oil. While it is hoped that the position will improve in the coming weeks, continuing with the present prospects will have a significant impact on export, growth, and employment creation. Given that ties with the US had been consistently improving, irrespective of changes in government on either side, it is worth discussing what went wrong and how India can regain its position. It is also a moment to reflect on the kind of economy that India needs to fulfil the aspirations of its youth and attain developmental goals. 
What India achieves in the coming years and decades will depend a lot on how its politics and governance evolve. An open, rule-based system that is backed by strong institutions will serve India better. However, some of the institutions at the core of India’s functioning have not performed in the way desired. In Parliament or state legislatures, for example, critical Bills are passed without much debate and engagement. The workings of the Election Commission of India (ECI) are being questioned by the collective Opposition with no parallel in recent history. Non-partisan functioning of the ECI is the bedrock of the Indian political system, on which everything else depends. The state of doubt and confusion, both in the minds of political workers and voters, cannot be allowed to persist, and the ECI must do whatever it takes to address every single question. Another institution that needs to be strengthened is the judiciary. Delays in courts often affect the quality of governance and economic decision-making. Thus, overall, while India has to deal with external economic challenges, how it progresses in the longer run will depend on the strength of its institutions.

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Topics :Independence DayBusiness Standard Editorial CommentEditorial CommentBS OpinionOperation Sindoor

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