7 Priorities for India's Government in 2025 | Vantage with Palki Sharma

Summary

As we enter 2025, India must focus on seven key priorities to ensure future growth and security. These include normalizing cryptocurrency with a dedicated regulator, enhancing national security through improved air defense systems and a clear national security doctrine, upgrading sports infrastructure for the 2036 Olympics, revamping the education system to prepare for future job demands, strengthening relations with Africa, and providing tax relief to the middle class. By addressing these areas, India can pave the way for a more prosperous and secure future, positioning itself as a global leader.

Takeaways

• 😀 Normalizing cryptocurrency is crucial for India in 2025. The current 30% tax on crypto profits is too high, and a dedicated regulator is needed to manage this growing sector effectively.
• 😀 India needs to invest in more air defense systems, particularly against drones. Smart, cost-effective solutions should be prioritized, given the rise of cheap drone warfare.
• 😀 A National Security Doctrine should be codified for India to guide cohesive and strategic decision-making in national security, reducing confusion between ministries.
• 😀 For India to win the bid for the 2036 Olympics, the country must upgrade its sports infrastructure, ensuring facilities meet international standards and focusing on multi-purpose venues.
• 😀 The Indian education system must be revamped. This includes increasing spending on education, improving the quality of schools, and revamping the syllabus to include modern technologies like AI and 6G.
• 😀 India should focus on building stronger relations with Africa, both economically and diplomatically, by offering digital governance expertise and improving healthcare collaboration.
• 😀 A tax cut for India's salaried middle class is necessary to stimulate consumer spending, as they bear the majority of the tax burden while large corporations pay comparatively little.
• 😀 India’s defense needs a strategic approach in buying and deploying air defense systems. Bulk purchasing and cost-effective solutions are vital given the country's defense budget constraints.
• 😀 The government should focus on increasing the availability and accessibility of education loans for higher education, as only 4% of students currently avail them.
• 😀 India must actively engage with Africa, not just financially, but by offering strategic partnerships in areas like healthcare, digital economy, and governance to strengthen ties.

Q & A

Why should India normalize cryptocurrency in 2025?

India should normalize cryptocurrency to create a clearer regulatory framework that would boost investor confidence. Cryptocurrency has become an accepted form of investment, and a dedicated regulator would provide the necessary oversight.

How does India's current approach to cryptocurrency regulation compare with other countries?

India currently taxes crypto profits at 30%, which is higher than stock investments. Many countries, such as the US, are embracing crypto, with President Donald Trump aiming to turn the US into the world's crypto capital. India needs to catch up and adopt a more positive stance toward cryptocurrency.

What is the importance of building up air defenses in India?

With aerial threats like drones becoming more common, India must strengthen its air defense systems. The country faces a variety of low-cost aerial threats, so it’s essential to have effective and bulk air defense systems to handle large-scale attacks.

What air defense systems is India currently investing in?

India has started purchasing air defense systems from outside, such as the Barak and Spider from Israel, and the S400 from Russia. Additionally, India is developing domestic systems like Akash and Prithvi.

Why is a National Security Doctrine necessary for India?

A National Security Doctrine would provide a clear, written policy for India’s security interests, threats, and partnerships. It would help avoid confusion and ensure consistency in decision-making across different government agencies.

What are the current gaps in India’s national security approach?

India does not currently have an official National Security Doctrine, resulting in confusion and lack of coherence in policy, as seen in contradictory statements by the finance and defense ministries regarding Chinese investments and technology.

What needs to be done to improve India's sports infrastructure ahead of the 2036 Olympics bid?

India must significantly upgrade its sports infrastructure to meet Olympic standards. This includes improving facilities and ensuring a world-class sporting environment. India should also focus on showcasing its cultural heritage and grassroots sports investment.

How does India’s education system need to evolve to capitalize on its demographic dividend?

India needs to increase its education spending to around 6% of GDP, improve school infrastructure, hire more teachers, and revamp the curriculum to focus on new technologies and skills for future jobs. This will help reduce the unemployment rate among graduates.

What role can India play in Africa’s development?

India can strengthen ties with Africa by focusing on strategic areas like resource extraction, healthcare, and digital economy initiatives. India’s experience in areas like electronic payments and government services could offer valuable lessons to African countries.

Why is a tax cut important for India in 2025?

A tax cut is necessary to stimulate consumer spending, as the middle class bears a disproportionate tax burden. Lower taxes could boost disposable income and kickstart economic growth, especially after the decline in consumer spending post-pandemic.