WHY INDIA MATTERS MORE THAN EVER TODAY

The global geopolitical landscape in present times is defined by instability-prolonged wars, fractured alliances, economic nationalism and ever escalating trade tensions. With prolonged Russia and Ukraine war, Israel and Hamas conflict to the tariff threats from US to sustain its supremacy, the world order has undergone a profound reset. Navigating through this VUCA set-up, India has showcased tremendous resilience by becoming a stabilizing force and strategic beneficiary, proving its growing supremacy and global presence. With imminent economist forecasting a 7.4% growth expansion for the fiscal year 2026, India has been sailing through this rough sea with anchored policies, strategic diplomacy and building global capacities.

India’s Diplomatic Strategy:

The greatest strength in the current crisis is India’s commitment to strategic autonomy. Rather than picking sides, India has maintained constructive relationships across blocks with strong defense and economic ties with US. Continuing its engagement with Russia on defense and energy and expanding partnerships with Europe, ASEAN and Global South. This balanced approach has enhanced India’s global credibility, enabling it to act a bridge between competing powers rather than a pawn in power rivalries.

Economic Resilience in Era of Slow Down:

With a GDP of 4.18 trillion USD India is the fourth largest economy in the world and soon to become a 5 trillion USD economy. As world looks for China +1, India has driven this opportunity to its advantage. Government schemes like Make in India, Start -up India and Production linked Incentives (PLI) schemes have lured many foreign investments towards domestic sectors. The growing middle class, digital economy, ease of doing business have led India become a promising global destination. India’s progress in indigenous defense manufacturing, space technology and digital public infrastructure and semiconductor sector has strengthened its position in long term supremacy.

India’s Oil and Energy Strategy:

Although India is the largest energy consumer in the world, importing about 85% of its requirement in oil and 50% in energy. India’s strategy to diversify its oil and energy sources instead of depending on one country has widely paid off. With Russia accounting as the major supplier providing oil at discounted price, the middle eastern countries (Iraq, Saudi Arabia and UAE) have been long strategic partners. In 2025, India has already achieved 51.5% electricity generation demand from its renewable energy source (The target -By 2030. India to have 50% of installed electric power capacity from non-fossil fuel sources.)  showing how fast the clean energy share is rising here. This would lead to more of sustainable self -reliance and less dependency on imports and non- renewable sources of energy. Such flexible and practical energy strategy has helped India to remain stable even during global wars and supply disruptions.

The Voice of Developing Economies and Global South:

India represents the voice of developing countries to organizations like IMF and World Bank in matters like economic growth, finance, trade and technology that advocate reforms to make the world more inclusive. India’s Global South Submit and its G20 presidency in 2023, strengthened its position as a leader and spokesperson for developing nations acting as a link between the two.

Conclusion

As the world navigates through uncertainty and realigns its economic and political priorities, India’s role as stabilizing force and global leader gains importance. India has positioned itself as a dependable and influential global actor through balanced diplomacy, diversified energy sourcing, strong economic performance and active leadership in several forums. These developments mark a significant phase in India’s journey toward evolving world order.

 


CA Ritu Dange
Assistant Professor

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