From a largely agrarian economy struggling with poverty, low literacy and weak infrastructure in 1947 to a nearly $4 trillion economy powered by services, technology, digital payments and a growing manufacturing base, India has undergone a dramatic economic transformation over the past 79 years.

When the country gained independence on August 15, 1947, its economy was still shaped by the impact of colonial rule. Industrial capacity was limited, electricity access was poor and foreign exchange resources were largely held in sterling balances. Today, India has become one of the world's largest economies, with a rapidly expanding digital ecosystem and significantly stronger external finances.

Economy Nears $4 Trillion

According to World Bank estimates cited in recent data, India's nominal GDP reached around $3.96 trillion in 2025, compared with $3.91 trillion in 2024. GDP per capita stood at approximately $2,702.5.

India's latest official estimates also put real GDP growth at 7.7 per cent in FY2025-26, underlining the country's relatively strong expansion despite global economic uncertainties.

Historical comparisons, however, need caution. The frequently cited figure of around Rs 2.7-2.9 lakh crore for India's economy at Independence comes from historical reconstructions and is not directly comparable with today's GDP because national accounting methods, prices and exchange rates have changed considerably.

Liberalisation Changed Course

India's economic policy in the early decades after Independence was dominated by state-led industrialisation, import substitution and extensive government controls.

The 1991 balance-of-payments crisis became a major turning point. Economic reforms reduced licensing restrictions, opened several sectors to private investment and increased India's integration with the global economy.

The decades that followed witnessed rapid expansion in information technology, telecommunications, financial services and other sectors. India's services industry gradually became one of the country's biggest engines of growth and foreign exchange earnings.

Forex Reserves Cross $700 Billion

India's external financial position has also changed substantially.

The country entered Independence with limited access to freely usable foreign currency and remained closely linked to the sterling system. That situation was starkly different from the position in August 2026, when India's foreign exchange reserves crossed $700 billion.

RBI data showed reserves at around $707 billion in the week ended August 7, 2026, providing the country with a sizeable buffer against external shocks.

The contrast is particularly significant when compared with the 1991 crisis, when India faced severe pressure on its balance of payments and was forced to seek emergency external assistance.

Trade Basket Expands

India's merchandise exports were worth only around Rs 403 crore in 1947-48. The country's export basket has since expanded far beyond agricultural commodities and traditional textiles.

Engineering products, petroleum products, pharmaceuticals, chemicals, automobiles, electronics and other manufactured goods now form an important part of India's merchandise exports, while IT and professional services have emerged as major export earners.

In July 2026, merchandise exports reportedly touched a record $44.24 billion. However, imports rose faster, taking the merchandise trade deficit to around $31.98 billion.

The figures highlight both India's growing presence in global trade and the continuing challenge of improving manufacturing competitiveness.

Literacy and Life Expectancy Rise

Economic development has been accompanied by major social changes.

India's literacy rate was only 18.33 per cent in 1951, with female literacy at 8.86 per cent. Recent estimates put literacy among people aged seven and above at around 80.9 per cent.

Life expectancy has also increased sharply. From roughly 31-32 years around Independence, it has risen to around 72 years, reflecting improvements in healthcare, vaccination, sanitation, nutrition and disease control.

Yet regional differences in education and healthcare remain significant.

Digital Revolution Reshapes Economy

Perhaps no transformation has been as rapid as India's digital expansion.

India had no internet users in 1947. By March 2026, TRAI data showed more than 1.09 billion internet subscribers, including over 1.06 billion broadband connections.

The launch of UPI in 2016 accelerated the digital payments revolution. During FY2025-26, UPI processed more than 24,000 crore transactions, worth over Rs 314 lakh crore.

Alongside Aadhaar, Jan Dhan accounts and widespread mobile connectivity, UPI has become a key component of India's digital public infrastructure.

Electricity Capacity Soars

India's power infrastructure has also expanded dramatically. Electricity-generating capacity stood at only 1,362 MWaround Independence.

By March 2025, installed generation capacity had reached nearly 557 GW. Per-capita electricity consumption has also risen sharply, reflecting the expansion of households, industries, transport and digital infrastructure.

A Larger, Younger Economy

India's population has increased from around 36 crore in 1951 to nearly 146 crore, according to recent estimates.

The size of the population provides a major economic opportunity through consumption and labour supply. But the demographic advantage will depend heavily on employment, skills, productivity, healthcare and education.

Manufacturing has therefore returned to the centre of economic policy, with initiatives such as production-linked incentives aimed at attracting investment and integrating India into global supply chains.

The Road to 2047

India's transformation since Independence is substantial, but the next phase presents a different set of challenges.

Creating enough quality jobs, improving productivity, reducing regional disparities, strengthening manufacturing, managing urbanisation and addressing climate-related risks will be crucial.

The country's ambition of becoming a developed economy by 2047 will require sustained growth as well as broader improvements in human capital and living standards.

From a constrained post-colonial economy to a globally integrated, digitally connected and increasingly diversified economic powerhouse, India's journey over 79 years has been significant.

The bigger question now is not simply how large the Indian economy can become, but whether its next phase of growth can translate into higher incomes, better jobs and more inclusive prosperity for its vast population.

Parliament on Monday passed the Taxation and Other Laws (Amendment) Bill, 2026, with Finance Minister Nirmala Sitharaman making it clear that the legislation does not impose any tax or transaction charge on consumers using the Unified Payments Interface (UPI).

The Bill, which had already been passed by the Lok Sabha, was returned by the Rajya Sabha through a voice vote after a brief discussion and the Finance Minister's reply.

Addressing concerns over the proposed changes, Sitharaman said UPI would continue to be free for consumers.

“Will consumer pay any UPI charge - No. UPI has remained free for consumers since its launch and every Indian will continue to make this instant digital without paying any transaction charge,” she said.

No UPI Transaction Tax

The Finance Minister said the legislation does not introduce a tax on UPI transactions.

At present, consumers generally do not pay a transaction fee when making payments through UPI. The government has also maintained a zero-MDR framework for UPI and RuPay debit card transactions.

The Bill does not change the consumer-facing position announced by the government, Sitharaman said.

However, it gives the Centre greater legal flexibility to determine which electronic payment transactions or payment modes should remain free through government notification.

What the Bill Changes

One of the key provisions seeks to remove the existing linkage between the Payment and Settlement Systems Act and the Income Tax Act.

The legislation also provides legal backing for the government to modify the framework governing merchant discount rate (MDR) for UPI and RuPay transactions.

Under the existing system, banks and payment system providers cannot directly or indirectly charge users for transactions made through UPI and RuPay debit cards.

The new provisions would allow the central government to specify through notification which electronic payment modes or transactions must continue to be provided without charges.

Focus on Digital Payments

The clarification comes amid concerns that changes to the legal framework could eventually lead to charges being imposed on UPI transactions.

Sitharaman's statement specifically addressed consumers, making clear that the Bill does not impose a transaction fee on individuals using UPI.

The government has continued to promote digital payments as an important part of India's financial infrastructure, with UPI becoming one of the country's most widely used payment systems.

Foreign Investment Push

The Taxation and Other Laws (Amendment) Bill also contains provisions aimed at improving India's attractiveness to foreign investors and businesses.

The government has sought to make it easier for Foreign Portfolio Investors (FPIs) to invest in Indian government securities by providing tax-related clarity.

The legislation replaces an ordinance issued on June 5, which provided income-tax exemption on interest income and capital gains earned by FPIs from investments in government securities.

Easier Relocation for Funds

Another provision seeks to simplify the conditions that fund managers must meet when relocating their operations to India.

The changes reduce the number of conditions that certain investment funds need to satisfy to ensure that their global income is not taxed in India.

The government has positioned the measure as part of a broader effort to attract international financial activity and encourage fund managers to establish operations in the country.

Electronics and Data Centres

The Bill also seeks to support India's domestic electronics manufacturing sector and make it easier for foreign cloud service providers to use Indian data centres.

The government has described the proposed measures as providing greater process certainty for businesses operating in these sectors.

The broader objective is to attract foreign capital while strengthening India's position as a manufacturing and digital infrastructure hub.

UPI Remains Free

For ordinary consumers, the key takeaway from the parliamentary debate is that UPI payments will remain free under the legislation.

Sitharaman's assurance came as Parliament completed the legislative process for the Taxation and Other Laws (Amendment) Bill, 2026.

While the legislation gives the government greater flexibility over the regulatory framework for electronic payments, the Finance Minister ruled out any consumer transaction charge on UPI under the Bill.

The Lok Sabha has passed the Taxation and Other Laws (Amendment) Bill, 2026, paving the way for the government to introduce charges on certain digital payment modes, including the Unified Payments Interface (UPI), in the future. However, the amendment does not impose any immediate fee on UPI transactions.

The legislative change gives the Centre the authority to notify specific electronic payment systems where transaction charges may be levied at a later stage. Any decision on the nature, rate and applicability of such charges will require a separate government notification.

No Immediate Charges on UPI

The biggest takeaway for consumers is that UPI transactions remain free for now. The amendment only creates a legal framework that allows the government to introduce charges in the future if considered necessary.

Users can continue making UPI payments without paying any transaction fee, while the existing payment experience remains unchanged.

What Has Changed in the Law?

The amendment revises provisions of the Payment and Settlement Systems Act, 2007, removing the earlier legal restriction that prevented banks and payment service providers from charging a Merchant Discount Rate (MDR) on specified electronic payment modes.

Previously, Section 10A of the Act barred banks and payment operators from levying charges on electronic payment modes prescribed under Section 269SU of the Income Tax Act.

With the revised law, the government now has the flexibility to notify one or more digital payment modes where charges could be introduced in the future.

Who Could Pay the Charges?

Industry discussions have largely centred on the Merchant Discount Rate (MDR), a fee that merchants pay to banks and payment companies for processing digital transactions.

Experts believe that if charges are introduced, they are more likely to apply to merchant transactions rather than routine person-to-person UPI transfers.

However, the government has not announced any framework specifying who would bear the cost or what the charges could be.

Why Is the Change Being Considered?

UPI has become one of the world's largest real-time payment networks, handling billions of transactions every month. While the platform has significantly expanded digital payments and financial inclusion, banks and fintech companies have argued that maintaining the infrastructure involves substantial expenditure.

Payment service providers continue to invest heavily in cybersecurity, fraud prevention, technology upgrades and transaction processing systems. Industry stakeholders have repeatedly called for a sustainable revenue model to support the growing digital payments ecosystem.

Reserve Bank of India Governor Sanjay Malhotra has also recently observed that maintaining payment infrastructure requires continued investment and that a long-term funding mechanism would eventually be necessary.

Will Everyday Users Be Affected?

At present, there is no indication that ordinary UPI users making daily peer-to-peer transactions will be charged.

The government will decide in the future whether any category of digital payments should attract fees and, if so, under what conditions.

UPI's rapid success has largely been driven by its simple, free-to-use model. Analysts believe any future charging mechanism is likely to be carefully designed to avoid discouraging digital payment adoption, particularly among small merchants and individual consumers.

For now, the amendment primarily gives policymakers the flexibility to design a sustainable funding model for India's rapidly expanding digital payments infrastructure without immediately changing how consumers use UPI.

India witnessed several major developments across the consumer goods, technology and financial sectors on Tuesday, with the Food Safety and Standards Authority of India (FSSAI) halting the sale of several Dabur products over "100% pure" claims, the Centre summoning Meta's global team over content moderation issues, and fresh proposals reviving the debate on Merchant Discount Rate (MDR) for UPI payments.

Here are the top business stories of the day.

FSSAI Stops Sale of Dabur's '100% Pure' Products

The FSSAI has directed Dabur to stop selling several products, including honey and cow ghee, that were marketed with claims of being "100% pure."

According to the food regulator, the purity claims could mislead consumers. The authority has sought a detailed compliance report from the company within 15 days while reviewing the product claims under food safety and labelling regulations.

The move comes amid increasing regulatory scrutiny over advertising claims made by food and FMCG companies.

Thousands of WhatsApp Accounts Placed Under Review

WhatsApp users in India and several other countries reported that their accounts were suddenly placed under review, temporarily restricting messaging and calling services.

Affected users received notifications stating that their accounts were "Under Review," with platform access suspended for up to 24 hours.

Meta acknowledged the issue, saying automated systems can occasionally make mistakes and that affected accounts would be restored after verification where appropriate.

Government Summons Meta's Global Team

The Central Government has summoned representatives of Meta for meetings scheduled on August 5 and 6 over concerns related to content moderation and platform governance.

Officials are expected to discuss issues including the handling of child sexual abuse material (CSAM), synthetic AI-generated content and alleged wrongful action against verified accounts of public representatives and other prominent users.

The meeting follows growing regulatory scrutiny of digital platforms operating in India.

UPI MDR Proposal Back in Discussion

The Ministry of Finance has proposed amendments to payment-related laws that could pave the way for the return of the Merchant Discount Rate (MDR) on UPI transactions.

MDR is the fee paid by merchants to banks and payment service providers for processing digital payments. The charge was removed for UPI transactions in 2020 to promote digital payments.

The proposal has reopened discussions over the long-term sustainability of India's digital payment ecosystem, although no final decision has been announced.

WhatsApp Testing Age Verification Feature

WhatsApp has begun testing an age verification feature with a limited group of users in India.

Some users have reported prompts asking them to enter their date of birth as the platform prepares for compliance with India's Digital Personal Data Protection (DPDP) Act.

The feature is currently in the testing phase and is expected to be expanded gradually if implemented.

Markets Extend Late-Session Rally

Indian equity markets witnessed a sharp rise during the final minutes of trading for the second consecutive session.

Market participants attributed the movement to changes in settlement and trading mechanisms following recent regulatory measures introduced by the Securities and Exchange Board of India (SEBI).

The unusual late-session rally has drawn attention from retail investors and analysts monitoring market behaviour.

Gold and Silver Prices Continue to Rise

Precious metals extended their gains on Tuesday.

According to the India Bullion and Jewellers Association (IBJA), silver prices climbed by ₹1,348 to around ₹2.19 lakh per kilogram, while 24-carat gold rose ₹309, taking the price of 10 grams to approximately ₹1.43 lakh.

Gold prices have increased by nearly ₹10,000 so far this year amid strong global demand and geopolitical uncertainty.

RBI Issues New FD Guidelines

The Reserve Bank of India has introduced new guidelines for Small Finance Banks (SFBs) regarding fixed deposits.

Under the revised framework, banks will be required to disclose interest rates and other key deposit terms more transparently before customers invest in fixed deposits, improving consumer awareness and protection.

Telegram Restored on Apple's App Store

Messaging platform Telegram has returned to Apple's App Store after briefly becoming unavailable to users.

The company confirmed that the service had been restored but did not specify the reason behind its temporary removal.

Government Plans LIC Stake Sale

The Centre has announced plans to sell up to 6.5% of its stake in Life Insurance Corporation of India (LIC) through an Offer for Sale (OFS).

The floor price has been fixed at ₹382 per share, while retail investors will receive a ₹15 per share discount.

The disinvestment aims to help the government meet SEBI's minimum public shareholding norms before the May 2027 deadline.

India's digital transformation has become one of the country's biggest success stories. From UPI payments and online banking to e-governance, digital health records, and paperless public services, technology has fundamentally changed the way millions of Indians live and work. Every day, billions of digital transactions take place with remarkable speed and convenience, making India a global leader in digital public infrastructure.

However, beneath this remarkable progress lies a growing crisis that receives far less attention—the rapid expansion of cybercrime targeting ordinary citizens.

Every week brings reports of people losing their life savings to investment scams, fake customer care numbers, phishing links, impersonation calls, digital arrest frauds, and malicious mobile applications. Victims are no longer limited to elderly individuals unfamiliar with technology. Students, professionals, entrepreneurs, government employees, and even tech-savvy users are increasingly becoming targets of organised cybercriminal networks.

The problem is no longer confined to isolated frauds. Cybercrime has evolved into a sophisticated industry operated by well-organised criminal syndicates that exploit technology, social engineering, artificial intelligence, and leaked personal data. These groups function like professional enterprises, complete with call centres, technical experts, money mules, and international networks capable of moving stolen funds across multiple jurisdictions within minutes.

India's expanding digital footprint has created enormous opportunities—but it has also widened the attack surface for criminals.

One of the biggest concerns is the gap between digital adoption and digital awareness. Millions of first-time internet users entered the digital ecosystem through smartphones and instant payment platforms without receiving adequate education about online safety. While governments and financial institutions have promoted digital transactions extensively, awareness campaigns on cyber hygiene have not expanded at the same pace.

Another challenge lies in the speed of technological innovation. Fraud techniques are evolving faster than public awareness and regulatory responses. Artificial intelligence can now generate convincing voice clones, fake videos, fraudulent documents, and highly personalised phishing messages. As these technologies become cheaper and more accessible, distinguishing between genuine and fraudulent communication becomes increasingly difficult.

Law enforcement agencies have strengthened cyber policing in recent years through dedicated cybercrime portals, specialised investigation units, and inter-agency coordination. Yet the sheer scale of cyber offences continues to overwhelm available resources. Many victims still struggle with delayed investigations, difficulties in recovering stolen funds, and limited awareness of reporting mechanisms.

Banks, fintech companies, telecom operators, and digital platforms also share responsibility. Stronger fraud detection systems, real-time transaction monitoring, improved customer verification, and quicker response mechanisms can significantly reduce financial losses. Investments in cybersecurity should be viewed not merely as regulatory compliance but as an essential public service.

Equally important is personal responsibility. Simple precautions—verifying unknown callers, avoiding suspicious links, enabling two-factor authentication, updating passwords regularly, and never sharing OTPs or banking credentials—remain among the most effective safeguards. Digital literacy today is as essential as financial literacy.

Cybersecurity must also become a national policy priority beyond technology alone. Educational institutions should introduce cyber awareness programmes from an early stage. Regular public campaigns through television, radio, social media, and regional languages can help build a culture of digital caution. Collaboration between government agencies, technology companies, banks, and civil society will be critical to creating a safer digital ecosystem.

India's digital revolution has empowered millions, improved financial inclusion, and transformed governance. These achievements deserve recognition. But sustained success will depend not only on expanding digital services but also on ensuring that every citizen can use them safely.

The true measure of Digital India will not be the number of online transactions alone. It will be the confidence with which every citizen—from a metropolitan professional to a rural first-time smartphone user—can participate in the digital economy without fear of becoming the next victim of cyber fraud.

Prime Minister Narendra Modi has appointed Infosys co-founder Nandan Nilekani to head a high-powered task force on examination reforms, entrusting one of India's foremost technology architects with the responsibility of rebuilding confidence in the country's testing system following recent controversies over examination irregularities.

The announcement came a day after Dharmendra Pradhan resigned as Union Education Minister, with the Centre signalling a major overhaul of the examination framework through greater use of technology and institutional reforms.

Sharing the decision, Prime Minister Modi said the government is committed to making India's examination system more reliable, transparent and technology-driven, adding that the committee's recommendations would be implemented at the earliest.

Who Is Nandan Nilekani?

Nandan Nilekani is widely regarded as one of India's leading technology entrepreneurs. After co-founding Infosys in 1981 alongside N.R. Narayana Murthy and other partners, he served as the company's Chief Executive Officer before moving into public policy.

In 2009, Nilekani became the founding Chairman of the Unique Identification Authority of India (UIDAI), where he led the creation and rollout of Aadhaar, now the world's largest digital identity programme.

Driving India's Digital Transformation

Beyond Aadhaar, Nilekani has played a central role in several landmark digital governance initiatives. He contributed to the framework that enabled the development of the Unified Payments Interface (UPI), chaired the Reserve Bank of India's Committee on Deepening Digital Payments, and has been associated with technology-driven reforms in taxation, governance and public service delivery.

He has also served on the G20 Task Force on Digital Public Infrastructure, the Supreme Court's Artificial Intelligence Committee, and the India Energy Stack Task Force, reflecting his long-standing involvement in public technology initiatives across successive governments.

Why He Was Selected

Government officials believe Nilekani's experience in implementing large-scale digital systems makes him well suited to address challenges facing India's examination ecosystem.

Unlike conventional administrative reforms, the proposed changes are expected to involve advanced technology, stronger accountability mechanisms, enhanced cybersecurity and secure digital infrastructure aimed at preventing paper leaks and examination malpractice.

Nilekani also brings prior experience in examination reforms. He previously served on a Supreme Court-appointed committee that examined irregularities in the Staff Selection Commission (SSC) CGL and CHSL examinations.

Expert Panel to Recommend Reforms

The task force includes several prominent experts alongside Nilekani, including former ISRO Chairman S. Somanath, former Intelligence Bureau Director Tapan Deka, IIT Madras Director V. Kamakoti, former Education Secretary Anita Karwal, and logistics expert Amrit Lal Meena.

According to the government, the panel will recommend immediate measures to secure upcoming examinations while preparing a long-term roadmap to make India's national examination system transparent, secure and resistant to leaks and malpractice.

The Employees' Provident Fund Organisation (EPFO) has started depositing 8.25% annual interest into Provident Fund (PF) accounts for the financial year 2025-26. Several EPF subscribers have already received SMS notifications confirming that the interest amount has been credited, while the process continues for millions of other account holders.

If you have not yet received a message from EPFO, there is no need to worry. The interest crediting process is being carried out in phases, and your account may be updated soon.

Instead of waiting for an SMS, subscribers can check their updated PF balance through multiple official channels.

4 Ways to Check Your PF Balance

EPFO offers four convenient methods to verify your PF balance and confirm whether the annual interest has been credited.

1. Check PF Balance on the EPFO Member Passbook Portal

The easiest way to check your balance is through the EPFO's online passbook service.

Steps:

• Visit the EPFO Member Passbook portal.
• Log in using your Universal Account Number (UAN) and password.
• Select your Member ID.
• Your updated passbook, including the credited interest (if processed), will be displayed.

2. Check Through the UMANG App

Subscribers can also use the government's UMANG (Unified Mobile Application for New-age Governance) app.

Steps:

• Download or open the UMANG app.
• Select EPFO Services.
• Log in using your UAN and OTP.
• Tap View Passbook to check your latest PF balance.

3. Check via SMS

Registered users can receive their PF account details through SMS.

How to use:

• Send an SMS in the format:

EPFOHO UAN

to 7738299899

The message can also include a preferred language code if required.

The service is available only if your UAN is activated and linked with your Aadhaar, PAN, and bank account.

4. Check Through a Missed Call

Subscribers can also obtain their PF balance by giving a missed call.

Missed Call Number: 9966044425

The call must be made from the mobile number registered with your UAN.

After disconnecting automatically, EPFO sends an SMS containing your current PF balance and recent contribution details.

EPFO Introduces New PF Withdrawal Rule

EPFO has recently revised the rules governing partial withdrawals from PF accounts.

Under the new guidelines, members must maintain at least 25% of their Eligible Member Balance in their PF account.

For example:

• Eligible PF Balance: ₹1,00,000
• Minimum amount to remain in account: ₹25,000
• Maximum amount available for withdrawal: ₹75,000

This change aims to ensure that employees retain a portion of their retirement savings while still allowing access to funds during emergencies.

PF Withdrawals Through UPI and ATM Coming Soon

EPFO is also preparing to introduce UPI and ATM-based PF withdrawals under its upcoming EPFO 3.0 initiative.

Once implemented, nearly 7.8 crore subscribers will be able to withdraw eligible PF funds instantly without extensive paperwork.

The upgraded system is expected to include:

• Instant PF withdrawals through UPI
• ATM-based fund access
• Faster auto-claim settlements
• Direct transfer of funds to subscribers' preferred bank accounts
• Simplified and paperless services

The initiative is aimed at making PF services faster, more transparent, and user-friendly.

Interest Crediting Still in Progress

EPFO has clarified that interest is being credited gradually across millions of accounts. Subscribers who have not yet seen the updated balance are advised to wait for the ongoing process to be completed and periodically check their accounts through the official channels.

Prime Minister Narendra Modi concluded his landmark three-day visit to Seychelles on Monday after holding a series of high-level engagements aimed at deepening bilateral ties. Before departing for New Delhi, the Prime Minister met members of the Indian community in Victoria, offered prayers at the Arul Mihu Navashakti Vinayagar Temple, and paid floral tributes to Mahatma Gandhi's statue at Peace Park.

During his interaction with the Indian diaspora, Prime Minister Modi acknowledged the community's contribution to strengthening India-Seychelles relations. He also posed for photographs with community members before leaving for India, bringing to a close a visit marked by significant diplomatic, economic, and strategic outcomes.

The visit assumed special significance as it coincided with the 50th anniversary of diplomatic relations between India and Seychelles, as well as the island nation's Golden Jubilee of Independence. Prime Minister Modi attended the National Day celebrations as the chief guest, becoming the first Indian Prime Minister to participate in Seychelles' Independence Day celebrations.

One of the major highlights of the visit was the announcement of 19 agreements and development initiatives covering a wide range of sectors. The two countries agreed to strengthen cooperation in cyber security, artificial intelligence, healthcare, education, agriculture, maritime security, space technology and capacity building.

India also announced the launch of its Unified Payments Interface (UPI)-based digital payment system in Seychelles, marking another step in expanding India's digital public infrastructure globally. In addition, New Delhi extended a ₹1,250 crore Line of Credit to support Seychelles' infrastructure and development priorities.

Further reinforcing bilateral cooperation, India handed over a Fast Patrol Vessel to Seychelles to enhance its maritime surveillance capabilities. The assistance package also included 10 utility vehicles, five boats, six ambulances, 500 metric tonnes of rice and 8,500 metric tonnes of cement. These initiatives are expected to strengthen Seychelles' disaster response, transportation and maritime security infrastructure.

On Sunday, Prime Minister Modi participated in the Golden Jubilee National Day parade, where contingents of the Assam Rifles, the Indian Navy and the Indian Navy's marching band took part alongside Seychelles' security forces. Indian naval ships INS Tarkash and INS Ikshak also arrived at Port Victoria to mark the historic occasion, reflecting the growing maritime partnership between the two nations.

During the visit, Prime Minister Modi was conferred with Seychelles' highest civilian honour, the Guardian of the Blue Horizon, in recognition of his contribution to strengthening bilateral relations and promoting cooperation in the Indian Ocean region. With this recognition, he has now received the highest civilian honours from 34 countries.

The Prime Minister also planted a sapling of the rare Coco de Mer tree, a species found naturally only in Seychelles. Known for producing the world's largest seed, the iconic tree symbolises the island nation's unique biodiversity and long-standing environmental heritage.

India's announcement of a broader economic assistance package worth approximately 175 million US dollars (around ₹1,651 crore), along with new agreements including an extradition treaty and expanded cooperation in strategic sectors, further underlined New Delhi's commitment to its maritime partner in the Indian Ocean.

The visit reaffirmed India's vision of strengthening partnerships with island nations under its Indo-Pacific strategy while expanding cooperation in trade, technology, connectivity, defence and sustainable development. Analysts believe the agreements signed during the visit will further elevate India-Seychelles relations and contribute to regional security and economic growth in the Indian Ocean.

Modi warns of “decade of crises”, urges global action during Hague address

Prime Minister Narendra Modi said the world risks sliding into poverty if COVID, war and energy shocks persist.

The Hague — Prime Minister Narendra Modi on Saturday warned that the world is entering a “decade of crises” and urged collective global action to prevent large-scale reversals in development, during an address to the Indian community in The Hague as part of his Netherlands visit.

A stark opening

Speaking before a packed community event in the early afternoon, Mr Modi said the sequence of shocks — the COVID-19 pandemic, subsequent wars and now an energy crisis — has created conditions that could push millions back into poverty if not checked. According to officials, he used the phrase “decade of disasters” to underscore the scale of the challenge.

He delivered the warning roughly three hours after landing in the Netherlands late Friday night and ahead of scheduled bilateral meetings with King Willem-Alexander, Queen Máxima and Dutch leaders. Local sources said the address lasted over 40 minutes and drew applause and chants from the diaspora.

Key policy points

Modi highlighted India's domestic achievements as part of his argument for resilience. He noted that India recorded more than 20 billion UPI transactions in a year and touted the country’s rapid startup growth, saying the nation now hosts over 200,000 startups and 125 unicorns. He also referred to advances in semiconductor manufacturing, saying work is underway on 12 plants, with two already producing chips.

“Chips will also be Made in India,” he said, according to an official readout, linking economic self-reliance to broader global stability.

Cultural outreach and community ties

The Prime Minister praised the Indian diaspora in the Netherlands as a “trusted bridge” for Indian businesses seeking entry into Europe and highlighted the Surinamese-Indian community’s role in preserving Indian culture. Around 200,000 people of Surinamese-Hindustani origin live in the Netherlands; many trace their roots to Bihar, Uttar Pradesh and Bengal and speak Sarnami, a language linked to Bhojpuri and Awadhi.

Ground reports from The Hague described a warm reception: Dutch musicians performed a rendition based on raga Durga, Indian classical instruments were played, and cultural dances such as Kathak and Garba featured in the programme. A young Dutch-Indian presented the Prime Minister with a painting of the Ram Temple, attendees said.

Historic restitution announced

In another notable development during the visit, the Dutch government returned the 11th-century Anaimangalam copper plates — known in the Netherlands as the Leiden Plates — to India. Officials said the plates, thought to date from Raja Raja Chola I’s reign, contain inscriptions about land and tax grants to a Buddhist monastery in Nagapattinam and weigh about 30 kg in total. The return was described in New Delhi as an important cultural moment in bilateral ties.

Diplomacy and next steps

Mr Modi held talks with Dutch officials upon arrival and is slated for further discussions with Prime Minister Dick Schoof, focusing on supply chains, green energy cooperation and joint international projects. In his speech he described the Netherlands as a “natural gateway” for Indian firms entering Europe and compared India–Netherlands ties to a lotus and a tulip — rooted differently but growing strong when supported.

Local authorities confirmed the Prime Minister’s schedule includes a state-level reception and meetings on trade and technology. Sources familiar with the delegation said climate-resilient infrastructure and semiconductor cooperation will be priorities in formal talks.

Impact and public relevance

Analysts say Modi’s emphasis on the risk of global impoverishment frames India’s development push as not just national but globally stabilising. “The pitch is two-fold: showcase India’s resilience and mobilise partners to prevent a global backslide,” said a policy analyst in New Delhi who declined to be named. For diaspora audiences, the visit reinforced cultural connections at a time of wider geopolitical uncertainty.

What to watch

Observers will be watching for joint statements after Modi’s meetings with Dutch leadership and for any new agreements on energy, semiconductors or cultural restitution beyond the copper plates. Back in India, officials will closely monitor whether the visit yields concrete trade and technology commitments that can be translated into on-ground projects.

PhonePe IPO Roadshow: A $15 Billion Gamble on India's Fintech Future

Walmart, the largest shareholder, will sell about 9% of its stake, while early backers Microsoft and Tiger Global will cash out completely.  

Image: A visual representation of a smartphone with the PhonePe logo, with financial growth charts and the Indian stock exchange index in the background.

PhonePe, India's undisputed leader in digital payments, has officially fired the starting gun on its journey to the stock market. With a fresh regulatory green light in hand, the company has filed updated papers for what is poised to be one of the country's most significant fintech listings, targeting a blockbuster valuation of around $15 billion. This PhonePe IPO is more than just a listing; it's a major liquidity event for its powerful backers and a critical test of investor appetite for a high-growth, yet loss-making, consumer tech champion.

 The Investor Exit Strategy: Who's Cashing Out?

The structure of the offering tells a clear story. The PhonePe IPO is a pure Offer for Sale (OFS) of up to 5.06 crore shares. This means the company itself will not raise any fresh capital. Instead, the entire ₹12,000 crore (approx. $1.35 billion) proceeds will go directly to the selling shareholders.

   Walmart's Strategic Trim: Through its entity WM Digital Commerce Holdings, the US retail giant is the promoter and will remain the dominant force, selling 4.59 crore shares (about 9% of its holding). Post-IPO, Walmart will retain a controlling stake of over 62%.

   Complete Exits for Early Backers: In a clean break, both Microsoft and Tiger Global are selling their entire holdings in the company through the offer. This marks the full exit of these early investors via the public market.

The Financial Contradiction: Soaring Revenue Meets Mounting Losses

Ahead of its debut, PhonePe presents a financial picture of powerful growth shadowed by significant losses.

Recent Financial Performance at a Glance:

| Period | Revenue from Operations | Year-on-Year Growth | Reported Net Loss |

| Full Year FY25 | ₹7,114.8 crore | 40.5% | ₹1,727.4 crore |

| First Half of FY26 | ₹3,918.5 crore | 22.2% | ₹1,444.4 crore |

While the company highlights strong adjusted profitability (Profit After Tax excluding ESOP costs tripled to ₹630 crore in FY25), the reported bottom line is deep in the red. A major factor is the massive ₹2,357 crore in non-cash, share-based payment expenses incurred in FY25, which are a recurring cost linked to employee retention.

 The Core Engine: Unrivaled Market Dominance

The cornerstone of PhonePe's valuation is its formidable position in India's digital payments ecosystem. It is the UPI market leader, commanding a dominant share of nearly 50% by transaction value. The platform boasts staggering scale:

   Over 650 million registered users.

   Nearly 50 million merchant partners.

   Processes billions of transactions monthly, with a remarkably high user retention rate of 99.23%.

 Beyond Payments & Looming Risks

PhonePe is aggressively diversifying its revenue streams beyond payment processing. Its new business segments, like the stockbroking platform Share.Market and the Indus Appstore, are gaining traction but remain heavily loss-making, funded by the cash flows from the core payments business.

However, a significant regulatory cloud hangs over its main business. The National Payments Corporation of India (NPCI) has proposed a 30% volume cap for third-party UPI apps. PhonePe's current ~50% share far exceeds this threshold. While enforcement is deferred until December 2026, this rule remains a key risk factor disclosed in its prospectus.

 Key Takeaways for the Market

1.  A Benchmark for Fintech: As the largest pure-play payments IPO since Paytm, PhonePe's listing will set a crucial valuation benchmark for India's fintech sector.

2.  Investor Confidence Test: The market's reception will test confidence in a "growth-over-profits" narrative, especially as losses continue to widen in the short term.

3.  Regulatory Watch: All eyes will be on how PhonePe navigates the looming UPI market share cap, which could force a fundamental shift in its growth strategy.

With leading global banks like Morgan Stanley, Goldman Sachs, and JP Morgan managing the issue, the PhonePe IPO is set to be a defining moment for India's public markets in 2026. It presents a high-stakes bet on whether India's most-used payments app can translate its massive user base into sustainable profitability for public shareholders.