Bharat’s next-gen reform wave and the case for massive FDI inflows

The moment of inflection

On September 6, 2025, the high-level committee chaired by Rajiv Gauba, NITI Aayog member and former Cabinet Secretary, convenes with a singular mandate: dismantle the bottlenecks that stand between India and its destiny as a developed nation by 2047.

This is no routine administrative review. It is a structural turning point in India’s reform journey, signaled from the Red Fort itself by Prime Minister Narendra Modi. The mandate is clear:

• Redraft laws, rules, and processes for the 21st century.
• Slash compliance burdens that drain productivity.
• Unlock competitiveness for global markets.
• Propel Bharat into the league of the most attractive destinations for
capital and innovation.

Rewriting the grammar of regulation
Central to the committee’s deliberations is the question of Quality Control Orders (QCOs) administered by the Bureau of Indian Standards (BIS). While QCOs ensure consumer protection and product quality, industry has long flagged the certification hurdles that slow down production, delay imports, and increase costs.

By addressing these pain points, India signals to domestic and foreign enterprises that it is committed not to lowering standards but to raising efficiency and trust. Regulation must serve as a springboard, not a stumbling block.

This initiative complements earlier work by the Task Force on Deregulation and Compliance Reduction led by K. K. Pathak under Cabinet Secretary Dr. T. V. Somanathan. Together, these panels represent India’s most ambitious regulatory overhaul in decades.

Fast-Paced reforms beyond standards
The Gauba Committee is one pillar of a wider reform edifice that is rising at breathtaking pace:

1. Taxation Simplification
• GST rationalisation is reducing litigation, easing compliance, and
creating a trust-based tax culture.
• Corporate tax reforms have brought India’s rates among the most
competitive globally.• Direct tax code reforms are in the pipeline, aiming to cut complexity and boost investor confidence.

2. Digital governance
• India’s Digital Public Infrastructure (DPI) is already the envy of the
world, from Aadhaar to UPI.
• The government is now integrating AI-driven compliance systems—
making approvals faster, transparent, and fraud-free.

3. Infrastructure acceleration
• The PPP model is being revamped to attract global capital.
• Infrastructure contracts are being designed to de-risk investors and align with global best practices.
• Sectors like green energy, transport corridors, logistics hubs, and digital connectivity are opening unprecedented opportunities.

4. Ease of doing business & living
• One-stop digital clearances are replacing legacy approvals.
• State and central rules are being harmonised.
• Citizen-facing reforms reduce friction in services, freeing households and enterprises alike from bureaucratic drag.

The FDI case: Why global capital will flow
With reforms in regulation, taxation, and governance converging, India is not just inviting capital—it is building a fortress of credibility for capital.

Six compelling reasons for FDI surge
1. Policy Stability: A majority government with a long-term reform mandate offers predictability rare in emerging markets.
2. Demographic Dividend: A youthful, skilled population eager for
opportunity fuels both consumption and innovation.
3. Global Supply Chain Diversification: Post-pandemic and post-tariff
realignments push global firms to seek China+1, India+Next strategies.
4. Green Transition: India’s commitment to Net Zero by 2070, accelerated by 2035 in many sectors, makes it the future hub of sustainable investment.
5. Tax & Compliance Ease: Simplification of GST, direct tax reforms, and DPI-based compliance slash costs and time-to-market.
6. Infrastructure Opportunity: Roads, ports, renewable grids, digital
corridors—India’s PPP framework is being readied as the largest investment opportunity of the next two decades.

Global capital as partner in Bharat’s rise
The vision is unmistakable. By 2047, Bharat aims to be a developed nation: prosperous, sustainable, and innovation-led. This ambition cannot be financed by domestic savings alone. Global capital must partner Bharat in building its future.

The Gauba Committee’s work on easing QCO certification, the tax reforms, and the compliance reduction initiatives are not technocratic tweaks. They are the signal to the world that Bharat is serious about becoming the most investment-friendly, future-ready economy on the planet.

Closing call
Prime Minister Modi has set the tone: rules, laws, and policies must be redrafted to suit the global environment and the aspirations of a developed Bharat.

The world should hear in this not just an administrative agenda, but a call to action:
• To investors—to seize opportunities before they compound.
• To entrepreneurs—to innovate on the wings of reform.
• To Boards—to lead with foresight and courage.

India is not merely easing the way for business. It is creating the conditions for an unstoppable flow of FDI into its industries, infrastructure, and ideas.

The reform wave is here. The capital will follow. And together, they will power Bharat to its rightful place among the world’s developed nations by 2047.

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