Several significant developments have emerged concerning the Government of India

Economic Initiatives and Appointments

• Appointment of Shaktikanta Das as Principal Secretary: On February 24, 2025, the Indian government appointed former Reserve Bank of India Governor Shaktikanta Das as the second principal secretary to Prime Minister Narendra Modi. This move underscores the administration’s focus on economic matters, leveraging Das’s extensive experience in financial governance to navigate domestic and international economic challenges.

• Minority Stake Sales in State-Run Banks: The government has initiated the process of appointing merchant bankers and legal advisers to facilitate the sale of its minority stakes in select public sector banks and financial institutions. This strategy aims to comply with public shareholding norms and enhance capital infusion in the banking sector.

International Relations and Defense

• U.S.-India Defense Relations: In a significant development, President Donald Trump has offered to share Lockheed Martin’s F-35 stealth fighter technology with India. This proposal indicates a strengthening of defense ties between the two nations, reflecting a mutual interest in countering regional security challenges.

• Resumption of UK-India Trade Talks: The United Kingdom and India have relaunched negotiations for a bilateral trade agreement, aiming to enhance investment opportunities and strengthen economic ties. This initiative follows a hiatus due to elections in both countries and signifies a renewed commitment to deepening trade relations.

Energy and Infrastructure

• Sustained Reliance on Coal: Despite substantial investments in renewable energy, India continues to expand its coal-fired power capacity. With nearly 56,000 megawatts of clean energy projects underway, the country is also developing 30,000 megawatts of new coal-fired capacity, highlighting coal’s enduring role in India’s energy landscape.

• Mandating Locally-Made Solar Cells: Effective June 2026, the Indian government will require clean energy firms to utilize solar photovoltaic modules manufactured from domestically produced cells. This policy aims to reduce dependence on imports, particularly from China, and bolster local manufacturing in the renewable energy sector.

These developments reflect the Government of India’s multifaceted approach to economic management, international collaboration, and energy policy, addressing both immediate and long-term national interests.