Prime Minister Narendra Modi on Tuesday described 2025 as a landmark year for India, saying the country has “boarded the Reform Express” with a series of reforms across taxation, labour, trade, energy, education, and rural employment. In a post on X, he wrote,
“India has boarded the Reform Express! 2025 witnessed pathbreaking reforms across various sectors which have added momentum to our growth journey. They will also enhance our efforts to build a Viksit Bharat.”
In a detailed LinkedIn post, the Prime Minister emphasised that reforms were pursued as a continuous national mission, building on the progress of the last 11 years. “We modernised institutions, simplified governance, and strengthened the foundations for long-term, inclusive growth,” he wrote.
Major tax and business reforms
Among the key measures highlighted were changes to the Goods and Services Tax (GST), introducing a simplified two-slab structure of 5% and 18% to reduce disputes and improve compliance. Middle-class taxpayers received relief with no income tax for individuals earning up to Rs 12 lakh annually, while the outdated Income Tax Act of 1961 was replaced with the Income Tax Act, 2025.
Small and medium businesses also benefited as the definition of small companies was expanded to include firms with turnovers up to Rs 100 crore, easing compliance and reducing costs.
Financial and insurance sector reforms
The government permitted 100% foreign direct investment in insurance, aiming to increase competition and improve services. In capital markets, the Securities Market Code Bill was introduced to strengthen investor protection, enhance governance, and simplify compliance through technology-driven systems.
Maritime, labour, and legal changes
Five new maritime laws were passed, modernising logistics and reducing costs. Under the Jan Vishwas initiative, 71 outdated laws were repealed to eliminate unnecessary criminalisation. Labour reforms merged 29 outdated laws into four modern labour codes, expanding social security, safeguarding workers’ rights, and encouraging female workforce participation.
Global trade and energy initiatives
India signed trade deals with New Zealand, Oman, and Britain, and operationalised an FTA with the European Free Trade Association, enhancing market access and investment opportunities. The SHANTI Act was introduced to responsibly expand nuclear energy, encourage private participation, and meet the growing clean energy needs of the nation.
Rural employment and education overhaul
Rural employment guarantees under the G RAM G Act, 2025 were increased from 100 to 125 days to strengthen village infrastructure and livelihoods. In education, a single higher education regulator is being planned to replace multiple bodies like UGC, AICTE, and NCTE, boosting institutional autonomy, research, and innovation.
Vision for a viksit Bharat
Highlighting the philosophy behind the reforms, PM Modi said, “These reforms were designed with empathy, recognising the realities of small businesses, young professionals, farmers, workers and the middle class… They add momentum to our decade-long efforts to move away from a control-based economy to one that operates within a framework of trust, keeping the citizen at its core.”
