On 6 June 2026, Prime Minister Narendra Modi met the members of the Economic Advisory Council (EAC). The agenda was to explore ideas and measures that could further boost India's economic growth in a period of global turmoil.
Key Developments
- Discussion of reforms aimed at improving ease of living and ease of doing business.
- Assessment of the impact of the ongoing West Asia conflict on India’s economy and the global market.
- Exchange of specific policy ideas to sustain growth despite external shocks.
Important Facts
The council members presented a collective view that the West Asia conflict could tighten commodity supplies and raise inflationary pressures. They emphasized that reforms in the areas of public service delivery, infrastructure, and regulatory simplification are essential to maintain investor confidence.
Relevance for UPSC
This meeting highlights the interplay between political leadership (GS2) and economic advisory mechanisms (GS3). Understanding the role of the EAC helps aspirants answer questions on policy‑making processes. The focus on ease of doing business aligns with ongoing government initiatives such as the Make in India programme and reforms in labour and tax laws.
Way Forward
To translate the discussed ideas into action, the government may:
- Launch targeted reforms that reduce red‑tape for small and medium enterprises.
- Strengthen supply‑chain resilience to mitigate the effects of the West Asia conflict.
- Monitor macro‑economic indicators closely and adjust fiscal and monetary policies as needed.