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As India continues to be one of the fastest growing economies in the world, the Center for Strategic and International Studies (CSIS) said that domestic economic reforms aimed at improving the business environment are key to further accelerate growth and strengthen India’s competitiveness vis-à-vis other global players.
In its India Reforms Scorecard 3.0, CSIS says some reforms can impact multiple sectors at once, while others are more targeted but focus on sectors vital for job creation and long-term growth. The dashboard presents a wish list of 30 reforms that the government should implement.
“Domestic economic reforms aimed at improving the business environment are essential to further accelerate India’s economic growth and make the country competitive with other global players,” CSIS said in its assessment.
He added that while no list of reforms can ever be definitive, the exercise aims to help the public understand the choices proposed and keep pace with progress on different reform elements.
Providing an overview of the situation, Richard Rossow, chair of the Economics of India and Emerging Asia at CSIS, said: “Of the 30 reforms we started tracking since June 24, one is complete and one is partially completed. There is a lot to do in 2026. Perhaps the next best goal: using the Union budget to reduce duty inversion.
According to the dashboard, the rationalization of GST slabs into merit, demerit and exemption categories has been marked as ‘completed’. The “regulatory impact assessment” (RIA) mandate given to government agencies when developing legislation, policies, decrees or regulatory instruments remains “incomplete”.
One of the most important is addressing discrepancies resulting from the inverted tariff structure, in which intermediate products are subject to higher tariffs than finished products. The think tank noted that this structure encourages imports of finished goods and harms the competitiveness of the domestic manufacturing sector, particularly in the context of free trade agreements.
Other reforms marked as not started include resolving multiplicity of GST audits for taxpayers registered in different states; the establishment of a single portal integrating customs, the General Directorate of Foreign Trade, ports, banks and shipping companies; and end the practice of forcing banks to lend to priority sectors.
The wishlist also calls for the publication of an annual report detailing the origins and destinations of all inbound foreign direct investment; reduce restrictions on foreign investment in multi-brand retail; reduce the deadlines for resolving bankruptcy cases to one year; raise the ceiling on foreign institutional investments in Indian companies; and offering central government permits to business owners in 10 days or less.
The CSIS further highlighted the need to bring electricity, oil and gas, real estate and alcohol under GST. establish a ten-year plan to privatize all central public sector enterprises; deregulate natural gas prices; and create a bankruptcy resolution process for financial companies.
In the labor and capital markets, proposed reforms include amending the Industrial Relations Code to allow the dismissal of up to 1,000 workers without prior government approval; allow more than 50% of foreign investment in direct retail e-commerce; promulgate rules allowing Indian companies to list in foreign markets; and the introduction of general legislation on online dispute resolution with a national ODR platform.
The dashboard also shows the passage of the Jan Vishwas Bill 2.0; promulgate the Direct Tax Code; allowing asset reconstruction companies to purchase distressed assets from mutual funds and alternative investment funds; promulgate laws on the modernization of agriculture; rationalize land acquisition; repeal the Factories Act of 1948 and replace it with comprehensive laws supporting the employment of industrial labor; create dedicated customs clearance lanes for e-commerce exports; reduce state ownership in public sector banks to 33%; create a one-stop compliance mechanism for MSME licenses and registrations; free up unproductive railway land; and opening legal services to foreign direct investment.
