Vice President C.P. Radhakrishnan launched the 5th Kautilya Economic Conclave, emphasizing the need for flexible economic policies to navigate global volatility. He highlighted India’s progress in financial inclusion and tax formalization, noting that 590 million Jan Dhan accounts and 16 million GST taxpayers now serve as the foundation for the nation’s long-term growth.
Vice President C.P. Radhakrishnan officially inaugurated the 5th Kautilya Economic Conclave (KEC 2026) in New Delhi on October 3, 2026. The three-day event, organized by the Institute of Economic Growth in partnership with the Union Ministry of Finance, brings together global policymakers, economists, and industry leaders under the theme of “Resilience in an Age of Flux.”
The Vice President’s address focused on the importance of adaptive government policies to maintain India’s economic momentum. He argued that in a world marked by geopolitical tensions, climate-related disruptions, and shifting trade patterns, rigidity in governance can become a significant challenge. By prioritizing policy agility, the government aims to build resilience against external shocks while maintaining the credibility of national institutions.
Digital Infrastructure and Formalization
Central to his assessment of India’s economic health is the ongoing structural formalization of the economy. The government has leveraged the JAM (Jan Dhan-Aadhaar-Mobile) trinity to create a digital public infrastructure that enhances efficiency and reduces systemic leakages. As of August 2026, the country reported over 590 million Jan Dhan accounts, facilitating direct benefit transfers that have surpassed ₹53.4 trillion.
This shift toward digital and formal systems extends beyond financial transfers into the tax base as well. The number of GST-registered taxpayers has grown from approximately 6 million in 2017 to over 16 million by May 2026. For investors and market participants, this expansion of the formal tax net typically signals a broader, more documented economic base, which can improve the transparency and predictability of the business environment over time.
Focus on Inclusive Growth
Beyond traditional metrics like GDP, the Vice President emphasized the importance of social upliftment as a gauge for true development. He highlighted the progress of the National Rural Livelihoods Mission, which has empowered over 100 million rural women through 9 million self-help groups. These groups are increasingly serving as local hubs for entrepreneurship, integrating rural economies into the broader national growth story.
He also noted that over 250 million people have moved out of extreme poverty in the last decade, a factor that continues to support domestic consumption demand. Moving forward, he stressed that sustaining this momentum will require a continued focus on research, innovation, and human capital development.
Next Steps for Policy and Markets
The Kautilya Economic Conclave is expected to host discussions on managing macroeconomic stability in a volatile global environment, including how central banks and governments can navigate inflation and capital flow risks. Investors should monitor outcomes from the conclave, as they often signal the government’s evolving stance on fiscal priorities, trade policies, and long-term structural reforms.