Best of BS Opinion: Economic optimism amid an uncertain global order

Here are the best of Business Standard's opinion pieces for today

The Economic Survey 2025-26 signals a shift in how policymakers view the global economy. Prepared under Chief Economic Advisor V Anantha Nageswaran, it treats uncertainty as a persistent feature of the global economy rather than a passing phase. On growth, the Survey is notably upbeat. At the same time, the Survey warns that strong domestic fundamentals cannot fully offset global shocks, given India’s current account deficit, reliance on foreign capital, rupee pressures and volatile portfolio flows. It argues for lowering the cost of capital rather than raising trade protection, alongside sharper fiscal consolidation, especially at the state level. Read our first editorial for more. 

Meanwhile, our second editorial turns to geopolitics, examining the United States’ new National Defence Strategy under Donald Trump’s second term. The document signals a clear inward turn, asking allies to take primary responsibility for their own defence while narrowing US priorities to the Western Hemisphere. Its silence on Taiwan has unsettled east Asian partners, while European allies are accelerating defence spending amid expectations of reduced American engagement. 

Writing in her column, R Kavita Rao assesses the constraints facing the Budget for 2026-27. She writes that global trade risks persist despite India’s push for diversification through agreements such as the EU-India FTA, whose benefits will take time to materialise. Domestically, strong real GDP growth contrasts with weak nominal growth, limiting revenue mobilisation. An impending GDP series revision adds uncertainty to fiscal ratios, while the commitment to reduce debt to 50 per cent of GDP by 2030 sharply narrows fiscal space. 

Continuing around the same theme, Janak Raj argues that disinvestment must move to the centre of fiscal strategy. With the Centre’s debt ratio still elevated and public sector enterprises contributing little relative to GDP, privatisation of non-strategic firms offers a way to raise resources without damaging growth. Strong market valuations provide an opportunity, he argues, if proceeds are clearly linked to fiscal consolidation, social spending and selective bank recapitalisation. 

Finally, Gunjan Singh reviews Emily Feng’s Let Only Red Flowers Bloom, a book which examines how identity in contemporary China has been reshaped into an instrument of political control under Xi Jinping and loyalty to the Communist Party defines belonging across economic, digital and social life. Drawing on reporting from Xinjiang, Hong Kong and the diaspora, Feng shows how plural identities are steadily narrowed to fit a singular political vision. 

Stay tuned!