Posted on by Sandeep

Rupees, the India’s Currency is powerful not weak.

The Paradox of the “Poor” Currency

A Strategic Lever for Self-Reliance

When outsiders observe the Indian Rupee’s nominal exchange rate against the US Dollar, often hovering around ₹86-87 per USD as of mid-2025, it is commonly dismissed as a “poor” currency indicative of economic weakness. Yet this perception is a classic example of chirag tale andhera — “darkness under the lamp” — obscuring a profound truth about India’s underlying economic resilience. The Rupee, far from being a liability, paradoxically serves as a strategic asset, a unique “yellow rose” that has helped India chart a path towards self-reliant growth.

To understand this paradox, one must consider the broader global financial architecture. Many national currencies are, implicitly or explicitly, maintained at lower nominal values relative to the US Dollar—a reflection of the Dollar’s “exorbitant privilege” as the world’s primary reserve and trade currency. This dominant status allows the US to finance large consumption and deficits by issuing treasury bills widely accepted worldwide. Such a structure creates an asymmetry where other currencies often appear undervalued against the Dollar in nominal terms.

However, when we assess India by Purchasing Power Parity (PPP)—an economic measure adjusting for relative price levels—the story changes significantly. India ranks as the world’s third-largest economy by PPP, highlighting the vast disparity between nominal exchange rates and actual domestic buying power. PPP effectively measures what a unit of currency can purchase within the local economy, clarifying why a “low” nominal rate does not imply economic weakness.

falling rupee

For India, this nominal undervaluation confers a remarkable competitive advantage. A weaker Rupee makes manufacturing within India much more affordable in dollar terms, as costs for labor, land, and inputs are comparatively low. This intrinsic cost advantage acts as a powerful magnet for both foreign direct investment (FDI) and domestic firms targeting export markets, helping to expand India’s role in global supply chains.

This economic reality underpins initiatives such as “Make in India,” especially in sectors like defense manufacturing, where import substitution is not only a matter of national pride but an economic imperative. With a weaker currency, importing high-value goods becomes significantly costlier, straining foreign exchange reserves and worsening trade deficits. Without aggressive localization efforts, India risked greater fiscal vulnerabilities. Thus, the Rupee’s “poor” status ironically propels the nation toward greater self-reliance and economic robustness.

In addition, the weakened nominal exchange rate translates into an exceptionally high domestic purchasing power for many Indians. Despite a seemingly low nominal income, the cost of essentials—like meals or daily goods—is remarkably affordable. For example, a wholesome meal for three persons or heavy snacks for six from a reputable Indian establishment can cost around ₹197 (approximately US$2.29), even including perks such as near-free delivery for premium loyalty members. This means that modest nominal incomes often yield quality living standards within India. As the saying goes, one can “earn little and live like kings.”

SWIFT and SEPA

Nonetheless, it is important to recognize that currency valuation is not governed by economic fundamentals alone. Global financial infrastructure platforms like SWIFT (Society for Worldwide Interbank Financial Telecommunication) and the Single Euro Payments Area (SEPA) serve as critical arteries for cross-border currency flows. While fundamentally designed as neutral payment messaging systems, their operational control and accessibility can be leveraged geopolitically. For instance, the exclusion of certain nations from SWIFT has effectively restricted their international capital flows. Such restrictions can limit demand or supply of affected currencies, thereby exerting indirect, artificial pressure on their valuations. Although these systems do not directly set exchange rates, control over transaction flows and access to global liquidity markets arguably allow influential powers to mold valuation dynamics beyond pure market fundamentals.

Of course, a nominally weaker Rupee does carry some risks, such as raising the cost of imported capital goods or inflationary pressures from expensive external inputs. The Reserve Bank of India (RBI) continually adjusts monetary policy to balance these effects and maintain inflation within targeted ranges, preserving currency stability and protecting domestic purchasing power.

Conclusion:

In conclusion, the Indian Rupee, despite its low nominal exchange rate, is far from “poor” in strategic utility or domestic strength. It acts as a critical lever incentivizing domestic production, reducing costly imports, nurturing self-reliance, and delivering quality of life benefits for its citizens. This paradox is a core pillar of India’s multifaceted economic strategy—a “poor” currency that paradoxically empowers a rich and resilient economy.

Posted on by Sandeep

India’s autonomy in food for its citizens.

The Breadbasket of Resilience

India’s Unmatched Food Sovereignty

In the intricate tapestry of a nation’s “richness,” few threads are as vital and as often overlooked as the ability to feed one’s own people. For India, this capacity for food self-sufficiency is,” a testament to its profound resilience and a strategic asset that many economically stronger nations paradoxically lack. This fundamental independence from global food markets, achieved through decades of agricultural innovation and policy focus, is a bedrock of national security and true prosperity.

Since the Green Revolution of the 1960s, India has not only achieved but consistently sustained self-sufficiency in its food grain production. This milestone was solidified by July 2025, with India maintaining its ability to nourish its vast population of over 1.4 billion people primarily from its own soil. The nation consistently ranks among the world’s top producers of major food grains, including rice (first globally, with an estimated production of 130 million tonnes in 2024-25) and wheat (second globally, with approximately 112 million tonnes in the same period). In recent agricultural cycles, particularly in the 2023-24 and 2024-25 crop years, India has achieved record-breaking food grain harvests, exceeding 330 million tonnes annually, according to the Ministry of Agriculture and Farmers Welfare. This consistent output ensures a robust domestic supply, insulating the nation from the volatility of international food prices and disruptions in global supply chains, such as those caused by the Russia-Ukraine conflict in 2022 or climate-driven shortages in other exporting nations.

Universal basic pay

Beyond mere production, India has demonstrated an unparalleled capacity for equitable distribution, effectively implementing a form of universal basic pay through its food security initiatives. The Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY), launched in March 2020 during the COVID-19 pandemic and extended through December 2025, stands as a monumental example of this groundbreaking economic shift. By providing free food grains—5 kg per person per month—to approximately 800 million (80 crore) people, PMGKAY represents one of the largest food security programs globally and a de facto universal basic income mechanism. This transformative policy ensures that two-thirds of India’s population, particularly the most vulnerable, receive guaranteed sustenance, effectively functioning as a non-monetary income support system. Supported by the Food Corporation of India (FCI) and an extensive network of over 5.4 lakh fair price shops, this initiative has redefined economic security by prioritizing access to food as a universal right. Remarkably, this bold step toward universal basic pay has gone largely unnoticed globally, despite its profound implications for economic stability and social equity during crises like the 2020-21 global lockdowns and subsequent economic disruptions.

This position sharply contrasts with that of many other countries, including several developed economies like Japan, South Korea, and the United Kingdom, which are net food importers. These nations, despite their high GDPs, remain fundamentally vulnerable to external factors. For instance, during the 2022 global food price surge, triggered by supply chain disruptions and geopolitical tensions, countries reliant on imports faced food inflation rates as high as 15-20%, according to World Bank data. Such food-dependent nations are at the mercy of global commodity price shocks, geopolitical tensions (e.g., disruptions in Black Sea grain exports), and natural disasters in major exporting regions, such as Australia’s 2023-24 drought. For these nations, ensuring their citizens are fed often translates into massive foreign exchange outlays, domestic inflation, or even social unrest during periods of scarcity, as seen in some Middle Eastern countries during the 2022 food crisis. Their “wealth” becomes contingent on the stability and generosity of global markets.

Food Security Challenges

Despite progress, India faces several persistent issues:

Malnutrition and Hunger: One-third of the world’s malnourished children live in India. Child undernutrition, with stunting (35.5%), underweight, and wasting, remains high

Regional Disparities: States like Madhya Pradesh, Jharkhand, Bihar, and Chhattisgarh consistently rank low on hunger and nutrition indices due to poverty and weak food infrastructure

Inadequate Storage and Infrastructure: Poor storage and transport facilities lead to significant food wastage

Supply-Chains and Distribution: Leakages, exclusion/inclusion errors, and corruption plague the PDS, reducing its effectiveness and the Government is working to provide ATM like food grain vending machines to remove the bottle neck of middle men.

Import Dependency: India remains heavily dependent on imports for pulses and edible oils, which exposes food security to international market shocks and price volatility

Climate Change: Unpredictable weather events affect crop yields and production, intensifying risks to food supply but some how food production in India is rising every year.

Population Pressure: Rapid population growth makes it challenging to ensure food and nutritional sufficiency for all but rise in food production so far has met this challenge.

Recent Initiatives & Innovations

Major expansions in digital technology for identifying beneficiaries and improving PDS transparency are underway. Increased budget allocations and new farmer support programs, such as direct benefit transfers, are meant to strengthen rural livelihoods and food security. Ongoing research and promotion of climate-resilient crop varieties, better irrigation, and post-harvest facilities aim to reduce losses and improve productivity. India has made substantial strides in food production and distribution, but ensuring comprehensive food and nutritional security for all remains a complex, multifaceted challenge—linked to infrastructure, poverty, nutrition, and climate resilience. Yet it has successfully launched its ‘Universal Basic Pay’ through free food grain distribution to people.

Conclusion

In conclusion, India’s profound food self-sufficiency, achieved through decades of strategic agricultural advancements and reinforced by policies like PMGKAY, is far more than an agricultural statistic; it is a core pillar of its enduring “richness.” As of July 2025, India’s ability to produce and distribute food on an unprecedented scale, while pioneering a form of universal basic pay through free food grain distribution, protects its population from external vulnerabilities, upholds its sovereignty, and sets it apart from many nations, regardless of their economic ranking. This resilience, coupled with an innovative approach to economic security, is a powerful testament to India’s deep-seated strength, agricultural innovation, and unique pathway to prosperity.

Posted on by Sandeep

Tariff and tariff everywhere yet no solace for Trump.

🏛️ Trumpian Tarrifficcing: The Coliseum of Strategic Absurdity

Opening Ceremony: Pandemonium, Escorted

Welcome to the Coliseum of Strategic Absurdity, where the crowds roar—not in applause, but over delayed shipments and contradictory tweets. Glitz, ego, and a Jumbotron featuring Donald Trump’s “Tarrif Tracker” meet bureaucratic inertia from India’s world-class Ministry of Paperwork. Bets are placed not on who wins, but on whose customs queue collapses last.

A lone announcer bellows:

“Tonight: The art of the deal meets the paperwork of denial. Let the games begin!”

Act I: The Basmati and Mango Blockade

Cast: Trump (The Tariff Titan), India (The Silent Scribe), Chai-Sipping Customs Officer

The curtain rises on a refrigerated dock somewhere in Mundra port. Pallets of basmati rice and Alphonso mangoes huddle together for warmth as customs officers practice the ancient Indian sport of “routine inspection.” Hours pass. Then days. Local pigeons organize a sit-in demanding “free trade for all feathery stakeholders.”

Trump, noticing a dip in New Jersey mango supply, erupts: “Obnoxious!” He schedules a 3AM Truth Social post. But in Delhi, officialdom simply shrugs. “Routine inspection,” a ministry statement says, sipping masala chai in full Lotus Pose, while the containers bloom a secondary crop of moss.

Media Chyron: US outraged. India: Only the paperwork has moved.

Rumors of a secret “Basmati Withdrawal Agreement” swirl. Analysts on both sides debate if “green channel” in Indian ports refers to customs or actual plant growth on stuck rice sacks.

Act II: Oil Promises Evaporate

Cast: Oil Barrels, Indian Procurement Committee, Trump (Voice-only, on speakerphone)

Once, there was a handshake deal. America ships oil, India keeps tweeting about “strategic partnership.” Then, Trump live-tweets the entire negotiation, ranking Indian negotiators by “likeability.” Within hours, a procurement memo floats through Indian ministries:

“Due to evolving global circumstances, alternate suppliers are being considered.”

New map: Angolan and Abu Dhabi tankers cheerfully wave from Gujarat’s coast. “We’re reviewing our procurement strategy,” intone officials—diplomatese for, “Congratulations, you’ve just been left on read.”

Meanwhile, Trump’s team triangulates between blaming Canada and threatening to convert the Statue of Liberty into a refinery.

An intern whispers: “Sir, India says they’re focusing on renewables…” Trump, confused, asks if “renewables” is a golf resort in Goa.

Act III: Defence Deals on Ice

Cast: HAL, DRDO, Adani Defence, Enigmatic US Weapons Salesman, Trump (in full camo)

Gone are the days of glitzy contracts and F-16 flypasts. Now, Hindustan Aeronautics Ltd. and DRDO rediscover patriotism in their HR mission statements. Boards meeting in windowless rooms—PowerPoint slides emerge: “Freedom Through Indigenous Procurement” and “Atmanirbhar: Because Imports Fluctuate, Bureaucracy Endures”.

Across the table, the US arms salesman, jacket adorned with tiny eagles, offers a commemorative pin. “We can throw in a Trump-autographed missile shell.” HAL’s chief demurs, referencing the great Dreamliner Malfunction of Ahmadabad as proof that “true sovereignty is manufactured in Peenya.”

Air India, sensing the mood, pauses the Boeing deal with a press release citing “unexpected turbulence in the supply chain of optimism and landing gears.”

The Pentagon receives a gesture from New Delhi: “We value the partnership—please enjoy our new line of khadi uniforms.”

Silence, somewhere, from the Dead Economy Chamber.

Act IV: Quad Goes VC

Cast: Quad Nations, Silicon Valley Tech Bros, Trump (with parade baton)

The defence summit? India is “on mute”—literally. Instead, Modi joins a Zoom breakout room, replete with family photos and a VPN. The Quad, erstwhile security pact, is now a Silicon Valley pitchfest. Australia pushes lithium. Japan flashes a rare earth mining JV. The US ambassador tries to share a blockchain presentation, but the connection lags just enough to prevent policy disaster.

Trump, expecting a tank parade, is offered a filtered cat avatar and a politely worded 15-minute slot to “promote synergies in battery storage.” He asks Melania if this counts as “strategic.”

Meanwhile, India quietly invests in a meme coin dedicated to Indo-Pacific resilience and marks the calendar: “Next face-to-face, 2050?”

Act V: Stadium Diplomacy Collapses

Cast: Motera Stadium (furloughed), Cricket Board, Trump (misreading GPS), Lahore Dignitaries

The famed “Namaste Trump” moment at Motera is now a legend—a Wikipedia page flagged for possible exaggeration. Stadium lights flicker, then fade. Cricket diplomats declare retirement. “All stadiums are on a fact-finding mission to nowhere,” says a press release.

Trump, redirected by an optimistic GPS, arrives in Lahore’s Gaddafi Stadium. Instead of rallying fans, he finds himself greeted by a panel including Golani, ex-terrorist-turned-festival-organizer, and General Asim Muneer, RSVP’ing on behalf of “deep state multilateralism.”

A new event is born: the “Strategic Ambiguity Cup.” The only rule is there are no rules, and every commentator disagrees about who is winning. The crowd, unsure if booing is safe, checks for drones.

Rumors swirl that Trump vows to return with a baseball bat and a 12-part docuseries: “America’s Greatest Trade Showdowns.”

Finale: The Tarrifficcing Weather Forecast

  • 🌾 Basmati: Cloudy with a chance of customs, rice grain futures settle on “mostly ambiguous.”
  • 🛢️ Oil: Evaporating promises, scattered rerouting, sunny in Angola, stormy in Houston.
  • 🛡️ Defence: Frozen with indigenous flurries; occasional gusts of press releases.
  • 📞 Quad: Dial-in diplomacy, no handshakes; Zoom storms expected.
  • 🏟️ Stadiums: Closed for renovation, open for satire, seating limited to nerve.

“India doesn’t retaliate loudly. It retaliates bureaucratically. Trump calls it obstruction; Indians call it tradition; the world calls it yoga for diplomats. Only the paperwork wins in the end.”

— End Scene. No mangoes were cleared during the making of this performance.

Posted on by Sandeep

USA Economy and solution for its revival

USA getting rid of its debt

How USA Can Get Rid of Its Debt Without Crashing Its Economy?

The United States (USA) currently faces an unprecedented fiscal challenge. The national debt of USA has has soared to historic highs, now hovering around $38 trillion and projected to rise further, casting shadows over the nation’s financial health and long-term economic prosperity. In a decade it would be around 70 Trillion USD. This precariously places USA, the most developed country alongside the bankrupt country like Pakistan.

Conventional policy debates focus largely on tax increases, spending cuts, and economic reforms, but these measures alone may not suffice to prevent fiscal crisis or economic disruption. In fact despite all the large talk, nothing could prevent the debt to rise to 38 trillion from 19 trillion in 2015.

What if there were a different way — a systemic blueprint leveraging monetary evolution and modern financial innovations to reduce debt dramatically without crashing the economy? This article explores a plausible long-term strategy, grounded in monetary history and emerging digital currency frameworks, that could enable the U.S. to slash its debt burden while preserving economic stability. This blueprint integrates traditional monetary history with your hypothetical modern scenario, reflecting how the U.S. could leverage monetary policy, digital currency technology, and market dynamics to address its debt problem without formal default.

From Bretton Woods to Fiat Dollars: The Historical Monetary Bedrock

The origins of America’s monetary predominance are rooted in the Bretton Woods Agreement of 1944. This international system pegged other currencies to the U.S. dollar, which was convertible to gold at $35 per ounce. Backed by the world’s largest gold reserves and a dominant post-war economy, the dollar became the cornerstone of global finance and trade, fostering decades of economic stability and growth.

However, by the late 1960s, persistent U.S. federal deficits and gold outflows strained this system. The tipping point came on August 15, 1971, when President Richard Nixon ended dollar convertibility to gold — the “Nixon Shock.” This executive action transitioned the dollar into a fiat currency, backed solely by U.S. government decree and economic trust. The system shifted to floating exchange rates, and America’s debt began its decades-long growth trajectory.

The Emerging Fiscal Challenge and Limits to Conventional Solutions:

Debt-to-GDP has surpassed 100%

Interest costs are growing rapidly

Traditional tax-and-spend reforms are politically constrained

Economic growth policies offer some relief, but they take years to show impact and cannot, by themselves, reverse a $60 trillion debt scenario. Crucially, all mainstream proposals carry a risk of economic slowdown, political instability, or financial market disruption — outcomes no country wishes to confront head-on.

Historical Examples of getting rid of debts:

After World War II, Germany introduced a new currency, the Deutsche Mark, replacing the Reichsmark, which had become nearly worthless due to hyperinflation and war damages. This currency reform wiped out much of the old debt and inflationary pressures, helping Germany stabilize its economy and set the foundation for rapid postwar growth. However it had huge economic backlash and people suffered immensely. An important lesson to be learnt from this example, is that crash of purchasing power of currency wrecks havoc for economy and people.

The UK also faced currency crises after WWII and undertook devaluations of the pound (notably in 1949 and 1967), but this was part of managing post-war economic adjustment rather than a case of simply “crashing” the currency and repudiating debt to newly independent countries like India. Instead, the UK used managed exchange rates, controls, and restructuring of debts and assets

Slovakia in 1993, successfully abandoned the currency union with the Czech Republic by introducing its own currency. Although the Slovak economy initially struggled, it eventually recovered and later qualified to join the Eurozone. But it was slow phasing out of it’s joint currency with Czech republic.

The Digital Frontier: Stablecoins and the Future of Currency

Bitcoin is here for a longtime and crypto currencies are flourishing. The 2020s have witnessed the rise of stablecoins — official USA backed digital currencies pegged 1:1 to fiat US dollar. Enabling fast, global financial transactions, stablecoins have become pivotal in the evolving monetary landscape. U.S. policymakers responded with regulations such as the GENIUS Act (2025), requiring every stablecoin to be backed by U.S. dollars or Treasury securities. This move cemented their role within America’s financial ecosystem. With adoption growing, the result could be a two-tier currency system:

  • USD – Traditional fiat currency for domestic use
  • Stablecoin – Digital currency used for international settlements and debt issuance.

Blue Print for debt free future:

1. StableCoins

First step is to convert all existing debt into stablecoins which are linked to USD today. Nobody will object to it. In a decade or so entire USA national debt will be converted to stablecoins. This will accelerate more after second step which is to introduce dual currency system.

2. The Two-Currency System: Segmentation and Economic Shielding

In future it is possible that USA may snap the link between the two currencies and creates a dual currency system. This dual system mirrors the segmentation used by China (CNY/CNH), with an added digital layer. Features include:

  • Capital controls and limited convertibility
  • Stablecoin becomes dominant in world trade
  • US Dollars to be used in domestic market
  • De facto separation of domestic and international monetary policy

The separation insulates internal U.S. economic policy while enabling the use of stablecoins to settle foreign obligations and trade, gradually shifting away from the USD in global commerce.

3. The Debt Crescendo and Stablecoin Market Shock

Now consider this hypothetical situation:

  • Total U.S. debt reaches $70 trillion, now entirely issued in stablecoins
  • World trade in USD (Stablecoin) falls to less than 20%
  • The U.S. orchestrates or allows a controlled crash in stablecoin value — a 90% devaluation over one year.

If anybody has doubt about such controlled crash, look at the trajectory of Bitcoin and how it moved from around 67000 to 120,000 in a few months in 2025. This engineered drop in the stablecoin’s exchange value creates a unique opportunity.

4. Debt Unwinding: Opportunistic Buybacks and Wealth Transfer

As stablecoin-denominated debt loses value, the nominal $70 trillion becomes worth just $10 trillion in market terms. U.S. citizens and intermediaries buy the bonds from foreign holders — at pennies on the dollar. Remember the connection or exchange rate between two currency is snapped and both have different market driven value. USD remains fixed as it is no more traded internationally.

The Treasury then repurchases these bonds directly or indirectly, effectively retiring tens of trillions in debt without a declared default.

Winners:

  • U.S. citizens who bought cheap Treasury instruments.
  • US Businesses who with higher USD and lower Stable Coins would become competitive again.
  • The U.S. government, now largely debt-free in real terms.

Losers:

  • Foreign creditors, whose assets are devalued 90%
  • Global financial systems, which lose confidence in U.S. assets

Effectively, this is a monetary reset. You may call it a scam which started in 1971 by Nixon.  It mirrors historical cases of inflationary debt resolution — but enabled by digital instruments and currency segmentation which cushioned domestic economy from the global turmoil. The USA with it’s domestic strength would also emerge taller and stronger after the resent.

5. Recovery: Controlled Stablecoin Revival and Domestic Stimulus

After the debt is repaid and stablecoin liabilities cleared, the U.S. government:

  • Reopens stablecoin markets to domestic investors or launches a new stablecoin.
  • Relaunches a stronger, regulated stablecoin framework, bblaming old system for the crash
  • Uses newfound fiscal space for domestic investments and stimulus

This phase creates a ripple effect:

  • Domestic economy is stimulated
  • Profiteering citizens reinvest, expanding the economic base
  • Global players — bruised but curious — cautiously return

Though trust in U.S. international debt instruments is temporarily diminished, the dollar’s domestic strength and the U.S.’s economic power remain intact.

6. Global Repercussions and Strategic Realignment

The consequences of such a move would be global in scale:

  • Other reserve assets gain traction (euro, gold, silver, digital currencies)
  • New multilateral financial systems emerge (e.g., BRICS Bank, Digital SDRs)
  • American geopolitical reach might temporarily shrink, but domestic control and debt relief offer a powerful rebound narrative

Far from chaotic default, this blueprint would be a form of “controlled collapse and reset” — a one-time restructuring, strategically executed with monetary maturity and digital innovation.

Conclusion: A Road to Zero Debt in the Digital Age

The United States has always adapted its currency system when needed — from gold convertibility to the fiat dollar, and now to programmable digital stablecoins. Remember currency reset has already done by USA, once on 15 August, 1971 when Nixon snapped the link between dollar and gold. Nobody could protest and nobody will protest now as USA is a military superpower as well. Challenge to its currency by dictators like Saddam and Gaddafi was met with military power and crushed successfully.

By engineering a dual-currency system and leveraging the digital transformation of money, the U.S. could resolve its burdensome public debt and open a new chapter of economic expansion and policy flexibility.

Yes, it’s hypothetical. Yes, it would shake the global system. But under the right governance, with cautious planning, it’s a feasible way for the United States to emerge debt-free without crashing its economy and without actually paying it’s debt.

This is a fictional scenario based on emerging technological, monetary, and policy trends. It is intended to foster intellectual dialogue, not to reflect any official roadmap or forecast.

Sources and Further Reading:

  • U.S. Treasury Fiscal Data
  • IMF World Economic Outlook Reports
  • GENIUS Act: Official U.S. Congressional Publication (2025)
  • Peterson Foundation: 76 Options for Reducing the Deficit
  • Historical Monetary Policy Debates (Nixon Library, Bretton Woods Project)
Posted on by Sandeep

US dollars, Bitcoin and Crypto Currencies?

Is the USA Abandoning the Dollar by Embracing Bitcoin?

Officially, the US government is not replacing the US dollar with Bitcoin as its national currency. The dollar remains the official currency of the United States and the world’s primary reserve currency. However, recent developments, including actions by the Trump administration and its associates, indicate a significant shift in how the US engages with Bitcoin and other digital assets. Below is a detailed breakdown of the current situation:

US Dollar’s Status

The US dollar continues to be the dominant global reserve currency, used for a significant portion of international trade and financial transactions. Despite concerns about the US national debt, which exceeds $36 trillion, and occasional reports of dollar weakness, there is no indication that the government intends to abandon the dollar for Bitcoin. The dollar’s role is reinforced by its use in global markets and the absence of a retail Central Bank Digital Currency (CBDC), with the current administration explicitly opposing a digital dollar for retail use.

US Government’s Stance on Bitcoin

Under President Donald J. Trump, the US has taken unprecedented steps to integrate Bitcoin and other cryptocurrencies into its financial strategy, signaling a shift from skepticism to strategic embrace. Key developments include:

Strategic Bitcoin Reserve

On March 6, 2025, President Trump signed an Executive Order establishing the Strategic Bitcoin Reserve, positioning Bitcoin as a reserve asset akin to gold or petroleum. This reserve is primarily capitalized with approximately 200,000 Bitcoin (valued at roughly $17.5 billion as of March 2025) seized through criminal or civil forfeiture proceedings. The order mandates that these Bitcoin holdings will not be sold, treating them as a long-term store of value. The Secretaries of Treasury and Commerce are tasked with developing budget-neutral strategies to acquire additional Bitcoin, ensuring no additional cost to taxpayers. This move has been described as a “digital Fort Knox” by White House AI and Crypto Czar David Sacks, emphasizing Bitcoin’s scarcity and security, often referred to as “digital gold” due to its capped supply of 21 million coins.

U.S. Digital Asset Stockpile

A separate U.S. Digital Asset Stockpile was created to manage non-Bitcoin digital assets, such as Ethereum (ETH), XRP, Solana (SOL), and Cardano (ADA), also acquired through forfeiture proceedings. Unlike the Bitcoin reserve, the Treasury may strategically manage or sell these assets. Trump announced on Truth Social on March 2, 2025, that these five cryptocurrencies would be included, causing a temporary market surge. Critics argue that including non-Bitcoin assets risks market distortion and raises concerns about favoritism, especially given the commercial nature of these tokens compared to Bitcoin’s decentralized structure.

Trump’s Pro-Crypto Shift

President Trump, once a skeptic who called Bitcoin a “scam” during his first term, has embraced cryptocurrencies, positioning himself as the “crypto president.” His administration has prioritized policies to make the US the “crypto capital of the planet,” including hosting the first White House Crypto Summit on March 7, 2025, attended by industry leaders like Coinbase CEO Brian Armstrong and MicroStrategy’s Michael Saylor. Trump’s campaign received significant support from the crypto industry, with $18 million donated to his inauguration and $238 million to the 2024 election cycle, surpassing traditional lobbies like oil and gas. These financial ties have raised concerns about potential conflicts of interest, particularly given the Trump family’s involvement in crypto ventures.

Trump Family’s Crypto Ventures and Pakistan Deal

The Trump family’s financial interests in cryptocurrencies are notable. Through a trust managed by his children, President Trump holds a 60% stake in World Liberty Financial (WLF), a cryptocurrency and decentralized finance firm founded in 2024, which earned him $57 million in 2024. In April 2025, WLF signed a letter of intent to incorporate blockchain technology into Pakistani financial organizations, aligning with Pakistan’s creation of the Pakistan Crypto Council in March 2025 and its announcement of a Strategic Bitcoin Reserve in May 2025. This move, led by Pakistan Crypto Council CEO Bilal Bin Saqib, was partly seen as an effort to curry favor with the Trump administration, especially after Trump praised a Pakistani general for restraint in a 2025 Indo-Pakistani conflict. Critics view this as a potential conflict of interest, given the Trump family’s financial stake in WLF and its international dealings. Pakistan’s strategy also includes allocating 2,000 megawatts of surplus energy for Bitcoin mining, despite domestic bans on cryptocurrency transactions.

Regulation, Not Replacement

US agencies, including the SEC, CFTC, and IRS, classify cryptocurrencies variously as securities, commodities, or property, and are developing regulatory frameworks to integrate them into the financial system. The Trump administration has reversed Biden-era enforcement actions, dismissing lawsuits against major crypto firms like Coinbase and Binance, and appointed pro-crypto figures like Paul Atkins as SEC chair and Scott Bessent as Treasury Secretary. These actions aim to foster innovation while maintaining the dollar’s dominance, with stablecoins seen as a tool to extend the dollar’s global reach rather than replace it.

Genius Act and Stable Coins

The GENIUS Act authorise the US treasury to issue it’s own cryptocurrency called stablecoin. It requires every stablecoin to be backed by Treasuries or dollars, forcing issuers to purchase large amounts of US government debt. The stablecoin market grows (predicted to reach $1.6 trillion by 2030), demand for US Treasuries could increase by up to $1 trillion, helping reduce borrowing costs for the federal government. The GENIUS Act does not encourage or facilitate any direct devaluation of the dollar. Instead, it is expected to stabilize—rather than weaken—the dollar, because it expands global demand for both US currency and Treasuries.

History and other countries

Countries have frequently used devaluation, hyperinflation, or currency reform to reduce the real burden of debt, but these strategies often come with severe economic and social consequences. While controlled devaluation can temporarily ease domestic debt, extreme cases like Weimar Germany show that currency collapse is a last resort, not a sustainable solution. It appears that USA may take that route but that will be a matter for another article in future.

Bitcoin as an Investment/Asset

Bitcoin is increasingly viewed as an investment asset, with institutional adoption growing through US ETFs and corporate treasury strategies, such as MicroStrategy’s. The SEC’s approval of spot Bitcoin ETFs in 2024 further legitimized Bitcoin as a financial instrument. However, critics argue that Bitcoin’s volatility (e.g., a 5% price drop after the reserve announcement) makes it a risky reserve asset compared to gold or US Treasurys. Supporters, including Trump, argue it could hedge against inflation and potentially reduce the national debt, though skeptics note that realizing gains would require selling, which the reserve policy prohibits.

Discussions about Dollar Dominance

Some investors and economists, including BlackRock CEO Larry Fink, have speculated that Bitcoin could challenge the dollar’s reserve status in the long term, particularly if global adoption increases. Posts on X reflect this sentiment, with users like @maxkeiser suggesting stablecoins could accelerate a transition to Bitcoin as a world reserve currency. However, the Trump administration insists Bitcoin complements, not competes with, the dollar, similar to gold. Critics argue that holding seized assets rather than purchasing Bitcoin limits the reserve’s strategic impact and raises ethical concerns about monetizing confiscations.

Criticisms and Challenges

The Strategic Bitcoin Reserve has drawn mixed reactions. Proponents see it as a forward-thinking move to position the US as a crypto leader, potentially stabilizing Bitcoin’s value through government backing. Critics, including some crypto purists, argue that only Bitcoin should be in the reserve due to its decentralization, and that including other tokens risks government overreach. Others, like Vitalik Buterin, note that crypto’s original ethos was to counter government control, making state-backed reserves controversial. There are also concerns about transparency, with calls for independent audits to prevent favoritism. Legal hurdles may arise, as some experts suggest Congressional approval is needed for a full reserve, with prediction markets estimating a 61% chance of implementation in 2025.

Conclusion

Officially the US is not abandoning the dollar but is strategically engaging with Bitcoin and other digital assets through the Strategic Bitcoin Reserve and Digital Asset Stockpile. These initiatives, driven by President Trump’s pro-crypto policies and supported by his administration’s industry ties, aim to position the US as a global leader in digital finance. The Trump family’s financial interests, including their deal with Pakistan, add complexity and raise conflict-of-interest concerns. While Bitcoin is recognized as a strategic asset, the dollar’s dominance remains unchallenged, with cryptocurrencies integrated into, rather than replacing, the existing financial system. Ongoing regulatory developments and market dynamics will shape the future of this bold experiment.

Bitcoin’s recent price surge to over $118,000 from a low of 68,000 a few months back, underscores its volatility, which undermines its viability as a currency for now. It struggles as a medium of exchange and unit of account due to unpredictable price swings, and while it shows promise as a store of value over long periods, its short-term volatility poses significant risks. Until Bitcoin achieves greater stability—potentially through increased institutional adoption and market maturity—it remains more of a speculative asset than a practical currency.

Now USA by choosing Bitcoin as a reserve has shown it’s hand that it is not confident of US dollars as much as it was a few years back. Refer to the financial problems of USA here.

However the question remains how USA is going to solve its huge debt of 38 trillion and rising?

Posted on by Sandeep

How Britain robbed ten percent of India’s GDP in 1947?

The Great British Heist

The Complex Story of Britain’s Unpaid Wartime Debt to India:
A Burden Equal to 10% of India’s GDP in 1947

The financial legacy of British colonialism left India with enormous economic ruin at independence. One of the most glaring example was the massive wartime debt Britain owed India. This debt was so large that it amounted to roughly 10% of India’s entire economy in 1947, underscoring the profound injustice and long-term economic harm caused by Britain’s refusal to fully honor its obligations.

Yesterday PM Modi arrived in London for a two-day UK visit focused on signing a historic Free Trade Agreement and strengthening the India-UK Strategic Partnership. He is also scheduled to meet PM Keir Starmer and King Charles III during this trip.However UK had been not only brutal coloniser of India but was also dishonest in its dealings with India, after Britain had left India. It refused to honour it’s obligations towards India.

The Great British Heist?

The resources that Britain obtained from a poor India during WW-2 were comparable or exceeded that provided by an increasingly prosperous United States. While American materials were provided after Britain signed an agreement on Washington’s terms, the Indian story was rather different. Britain coveted India’s resources but did not want to pay for them. As a result, in lieu of payments for goods and services drawn out of India, Britain held promissory notes that were to be redeemed in the future. This is akin to a customer walking into a grocery store and clearing out the shelves. But instead of paying cash, he writes out a note promising to pay up later. Moreover, he decides to keep this note with himself for safe custody!

But if Britain deferred payments, the goods had to nevertheless be purchased in India against a cash payment to individual sellers. It is here that the Reserve Bank of India stepped in to the aid of London and printed a large amount of currency. Thus, between 1940 and 1942, the amount of money in circulation in India more than doubled. The result was an average rate of inflation of a whopping 350%. Rapid and sustained economic inflation is a most regressive form of hidden taxation as it severely and disproportionately penalizes the poor. Such inflation coupled with all-round scarcity of goods had a devastating effect on life in India. While the millions of deaths in the Bengal Famine of 1943 was a grim consequence of British policy in India, it was only the grisly tip of a vast iceberg of countrywide sorrow and hardship. (See link to wire.in below)

India’s Economy and Wealth at Independence

In 1947, India’s Gross Domestic Product (GDP) stood at approximately ₹2,700 billion (2.7 trillion rupees) — roughly equivalent to $20 billion USD at historic exchange rates, with a population of around 350 million, and a per capita income near $58 USD. India was among the world’s poorer economies at independence, burdened by widespread poverty, partition-related dislocation, and underdevelopment.

This scale is critical for understanding the magnitude of Britain’s wartime debt to India. The British government owed India about £1.16 billion sterling in accumulated sterling balances — India’s share of payments for its enormous contributions of troops, war supplies, and blocked export earnings during World War II. At the 1947 exchange rate (~₹13.33 per £1), this debt translated to approximately ₹15.5 billion.

Debt Equal to a Tenth of India’s Economy

Viewed in relation to India’s total GDP, the wartime debt Britain owed represented roughly 10% of India’s entire economic output at independence. For context, this is an exceptionally large sum, especially for a newly sovereign and economically fragile nation needing every rupee to fund reconstruction, relief, and development. India’s debt by 1945 was about £1.51 billion – the equivalent of $83.93 billion today.

Britain’s Strategy: Delay, Partial Payments, and Diplomatic Subterfuge

Despite this enormous liability, Britain did not fully repay India. Instead, the UK government pursued a careful and prolonged strategy to evade full payment:

  • During the war, in 1939 itself, Britain suspended sterling convertibility, creating “blocked sterling balances” that grew to £3.35 billion, of which India’s share was about 45% (~£1.51 billion initially).
  • As independence approached, Britain and the United States coordinated secretly to limit repayments to India, fearing that full repayment would cripple Britain’s postwar recovery and geopolitical role in the emerging Cold War.
  • Sterling convertibility was briefly restored in July 1947 but suspended again a month later—on August 20, 1947—just before Indian independence, effectively blocking India’s access to much of its wartime funds.
  • Britain agreed only to small initial payments (£35 million in 1947), with the bulk of the debt intended to be repaid over many years and sizable portions written off as “adjustments” or offset against counterclaims.
  • India, starved of these funds, had to fund its wartime costs and reconstruction internally, resorting to heavy taxation and printing money, which caused inflation and economic hardship.

Economic and Political Consequences for India

The British strategy to postpone and minimize repayments was not a formal default but a de facto repudiation by bureaucratic and diplomatic delay. India suffered serious economic constraints as a result, at a time when the country urgently needed capital for rebuilding and development.

This prolonged financial subterfuge reflects the power imbalances of the colonial and early postcolonial era, where Britain leveraged Cold War geopolitics and economic weakness to evade its rightful obligations. The episode remains a stark example of how postcolonial financial justice was often sacrificed on the altar of geopolitical expediency.

Table: Economic Context and Debt Scale

MetricApproximate Figure (1947)
India’s GDP₹2,700 billion (≈ $20 billion USD)
India’s Population~350 million
India’s Per Capita GDP~$58 USD
British War Debt to India£1.16 billion (~₹15.5 billion)
Debt as % of India’s GDPApproximately 10%

Summary:

The wartime debt Britain owed India was a colossal sum, equivalent to about a tenth of India’s entire economy at independence. Rather than repaying this fairly and promptly, Britain protracted negotiations, manipulated currency policies, and coordinated with the US to delay repayments and paid tiny sums in installments to keep the facade of payment. India bore the economic burdens imposed by this financial injustice during its critical formative years.

This episode exposes the harsh realities of economic inequality embedded within decolonization, illustrating how geopolitical and economic power enabled Britain to evade critical fiscal responsibilities while India grappled with poverty, inflation, and developmental challenges. It was a day time robbery for which UK has no explanation even today. Would Prime Minister Modi raise this issue on this visit to UK? I doubt it.

From 1947 to 2025: Economic Journey of India

References:

Posted on by Sandeep · 1 Comment

Similarities Between Pakistan and USA

Similarities between Pakistan and USA

Surprising Parallels: Observable Similarities Between Pakistan and USA

It’s a provocative thought: two nations as seemingly disparate as Pakistan and the United States sharing a surprising number of observable similarities. Beyond the obvious geopolitical differences, a closer look at their governmental behaviors, societal traits, daily challenges, and public health trends reveals unexpected parallels. This analysis focuses purely on these observable “yellows,” without delving into the complex “chemicals” that may have induced them.

Here are 33 distinct observable similarities:

I. Governance & Fiscal Management

  1. Persistent Budget Deficits: Pakistan and USA governments consistently spend more money than they collect in revenue, leading to ongoing budget deficits year after year.
  2. Growing National Debt: Pakistan and USA exhibit a continuous increase in their national debt.
  3. Significant Budget Allocation to Debt Servicing: A substantial and increasing portion of Pakistan and USA governments’ annual budgets is consumed by payments on their existing debt.
  4. Political Gridlock on Fiscal Reform: Pakistan and USA governments demonstrate a recurring inability to make politically difficult decisions regarding significant spending cuts or tax increases necessary to address their fiscal imbalances.
  5. Fluctuating Diplomatic Relationships: Pakistan and USA, both nations experience “rollercoaster” alliances and partnerships, characterized by periods of close cooperation followed by significant estrangement or mistrust with key international actors.

II. Societal & Cultural Traits

  1. High Levels of Media Consumption of Sensationalist Content: Citizens in Pakistan and USA consume large amounts of media that often features simplified good-versus-evil narratives, and they show a strong interest in dramatic or even violent entertainment.
  2. Widespread Belief in Conspiracy Theories: A notable segment of the population in Pakistan and USA  exhibits a propensity to believe in elaborate conspiracy theories.
  3. Strong Cultural Connection to Firearms: Pakistan and USA societies have a significant and visible cultural connection to guns and weapons.
  4. A Sense of National Exceptionalism: Citizens in Pakistan and USA, both nations often express a strong belief in their country’s unique destiny or special place in the world.
  5. Prevalence of Gambling/Lotteries: Citizens in Pakistan and USA, both countries show a widespread interest in various forms of gambling, including lotteries.
  6. Reluctance to Critically Engage with Foreign Policy/Intelligence Operations: There is a shared tendency among citizens in Pakistan and USA to prefer not to deeply scrutinize or question the foreign policy decisions and intelligence operations of their respective governments.
  7. Presence of Strong Fanaticism Among Segments of the Citizenry: Pakistan and USA exhibit significant segments of their population demonstrating intense, unyielding, and often intolerant devotion to specific ideologies, leading to deep societal divisions. [1, 2, 3, 4]
  8. Prevalence of Strong Opinions on Social and Cultural Issues: Citizens in Pakistan and USA both nations are observably characterized by holding very strong, often polarized, opinions on a range of social and cultural issues, leading to heated public discourse and sometimes social friction.
  9. Impact of Social Media on Political Discourse and Polarization: In Pakistan and USA, societies demonstrate a clear observable trend where social media platforms play a dominant role in shaping political discourse, spreading information (and misinformation), and contributing to societal polarization. [5, 6]
  10. Cultural Influence of Diaspora/Overseas Communities: Pakistan and USA, both countries experience a significant cultural and economic influence from their large diaspora populations living abroad, impacting trends, remittances, and social values. [7, 8]
  11. Emphasis on Material Success and Consumerism / Preference for Global Brands: Both in Pakistan and USA, societies exhibit an observable cultural emphasis on material success, personal acquisition of goods, and a strong drive towards consumerism, often fueled by advertising and media, including a preference for global brands. [9, 10, 11, 12, 13, 14, 15]
  12. High Rates of Individual Charitable Giving: Pakistan and USA, both nations exhibit high rates of individual charitable giving, often at a micro or community level.
  13. Vibrant Public Celebrations and National Pride: Pakistan and USA, both nations exhibit widespread public enthusiasm for national events (e.g., holidays) and sports, often marked by widespread celebrations, collective engagement, and the elevation of athletes to national hero status. This includes the commercialization of such events. [16, 17, 18, 19, 20, 21, 12]
  14. Commercialization of Public Holidays and Major Events: Pakistan and USA, both countries show a clear trend of commercializing public holidays and major sporting events, driving sales of related merchandise and media engagement.
  15. Elevation of Athletes to National Hero Status: Successful athletes in Pakistan and USA are elevated to national hero status, with their achievements serving as powerful symbols of national pride and unity. [22, 11, 23, 24, 25]
  16. Central Role of Food and Music in Social Bonding: Food and music are central to social gatherings and community bonding, including shared meals, communal feasting, and the evolution of fusion cuisine in both Pakistan and USA. [16, 26, 9, 27, 22, 28, 29, 21, 30, 31, 32, 33, 12, 34, 35, 2, 36, 37]
  17. Shared Social Etiquette and Interpersonal Warmth: In Pakistan and USA, cultures place importance on respecting elders and exhibit common interpersonal behaviors like hugging among friends as a form of greeting and warmth. [26, 9, 22, 28, 31]

III. Daily Life, Infrastructure & Public Services

  1. Prominent Urban-Rural Divide in Development and Lifestyles: Pakistan and USA, both countries exhibit a clear and significant observable divide between urban and rural areas in terms of infrastructure, access to services (healthcare, education), and economic opportunities, with rural areas generally lagging.
  2. Significant Urban Traffic Congestion and Behavioral Contributions: Pakistan and USA, both countries experience pervasive urban traffic congestion, leading to observable negative impacts such as wasted time, fuel consumption, and air pollution, exacerbated by observable human behavioral contributions like “offensive driving” or “road rage.” [38, 39, 30, 40, 41]
  3. Widespread Challenges with Aging and Unreliable Infrastructure: Pakistan and USA, both nations grapple with significant infrastructure deficiencies, particularly concerning aging systems and unreliable power supply, leading to widespread disruptions and substantial economic and social costs. These issues are exacerbated by climate change and observable political/bureaucratic factors.

IV. Health & Well-being

  1. Significant Internal Disparities in Human Development Outcomes: Pakistan and USA, both nations, despite their differing overall development levels, demonstrate profound and observable inequalities in access to quality education, healthcare, and opportunities among different segments of their populations.
  2. Significant Burden of Non-Communicable Diseases (NCDs) and Healthcare Disparities: Pakistan and USA, both countries face a significant and growing burden from NCDs (e.g., cardiovascular, diabetes, cancer, chronic respiratory, mental health, injuries), with observable disparities in prevalence across demographic groups and strains on healthcare systems to provide uniform access and quality of care for chronic conditions. [42, 43, 44, 45, 46, 13, 5, 47, 48, 49, 50]
  3. High Prevalence of Self-Medication and Associated Risks: Pakistan and USA, both nations exhibit a high prevalence of self-medication, driven by perceived barriers in formal healthcare (e.g., cost, access), leading to potential public health risks, including antibiotic misuse.
  4. Observable Stigma Around Mental Health: Pakistan and USA, both countries exhibit a significant and observable stigma surrounding mental health conditions, contributing to negative attitudes, behaviors, and reluctance to seek help. [27, 51, 52, 36, 6, 53, 15]

V. Institutional & Governance (Citizen Interaction)

  1. Less-Than-Average Voter Enthusiasm in the Democratic Process: Pakistan and USA, both countries exhibit a pattern where a significant portion of the eligible voting population consistently chooses not to participate in elections, indicating a less-than-full enthusiasm for direct engagement in the democratic process via voting.
  2. Challenges in Law Enforcement’s Public Image: In Pakistan and USA, the countries’ law enforcement agencies often face significant public perception challenges, including issues of trust, accountability, and a strained relationship with communities. [38, 54, 55, 56, 57]
  3. Public Frustration with Legal Bureaucracy and Delays in Justice: Citizens in Pakistan and USA, both nations express observable frustration with legal bureaucracy, systemic inefficiencies, and significant delays in case adjudication, leading to erosion of public trust.
  4. Challenges in Critical Thinking Education: Pakistan and USA, both countries face observable challenges in effectively teaching critical thinking skills within their education systems.

References

  1. U.S. Department of State. (2023). 2023 Country Reports on Human Rights Practices: Pakistan.
  2. U.S. Department of State. (2022). 2022 Country Reports on Human Rights Practices: Pakistan.
  3. The Polis Project. (n.d.). Fear and Control of Blasphemy in Pakistan.
  4. Forte, D. F. (n.d.). Apostasy and Blasphemy. Retrieved from EngagedScholarship.csuohio.edu.
  5. Saleem, A., et al. (2024). Congratulatory responses. Retrieved from Taylor & Francis Online.
  6. ResearchGate. (n.d.). Exploring Stigmatizing Discourses of Mental Illness in Pakistani Newspapers through CDA Lens in Psychology.
  7. Dawn. (n.d.). M Asim Siddiqui, who works with a local Urdu newspaper for Pakistani community in Virginia, argues that after 9/11, Muslim populations in general and the Pakistani community in particular felt insecure and preferred to stay within their community.
  8. SCIRP. (n.d.). As a frontline ally, Pakistan shares a long history of fighting with the CIA since the Soviet invasion.
  9. Atta Sabir. (2012, March 22). American Culture Versus Pakistani Culture.
  10. McKinsey & Company. (n.d.). State of Consumer.
  11. Deloitte. (n.d.). State of the Consumer Tracker.
  12. The Sociological Mail. (2017, November 22). Culture of Pakistan and America.
  13. ResearchGate. (n.d.). Exploring the Influence of Brand Authenticity on Consumer Behavior: Insights from Generation Y Consumers in Pakistan.
  14. The CRSSS. (n.d.). Exploring the Influence of Brand Authenticity on Consumer Behavior: Insights from Generation Y Consumers in Pakistan.
  15. TikTok. (n.d.). Exploring Pakistani Markets: A Cultural Shopping Experience.
  16. StudyCorgi. (n.d.). Holiday and Celebrations in Pakistan.
  17. Facts and Details. (n.d.). HOLIDAYS IN PAKISTAN.
  18. Dawn. (n.d.). USA shock cricket world and curious public with unexpected win over Pakistan in T20 World Cup.
  19. TIME. (n.d.). Americans Upset Pakistan in Cricket World Cup.
  20. U.S. Embassy & Consulates in Pakistan. (n.d.). UNITED STATES CELEBRATES 75 YEARS OF PAKISTAN-U.S. FRIENDSHIP WITH PUBLIC ILLUMINATION.
  21. Wikipedia. (n.d.). Public holidays in Pakistan.
  22. Britannica. (n.d.). Daily life and social customs.
  23. E-commerce.com.pk. (n.d.). Major Buying Holidays.
  24. America’s Best Racing. (n.d.). From the Court to the Field— 20 American Sports Heroes Everyone Remembers.
  25. Team USA. (n.d.). U.S. Olympic & Paralympic Hall of Fame.
  26. Wikipedia. (n.d.). Pakistani cuisine.
  27. IPCC. (n.d.). Social and cultural norms around food eating practices.
  28. Country Studies. (n.d.). Pakistani social life revolves around family and kin.
  29. Facts and Details. (n.d.). FAMILIES IN PAKISTAN.
  30. ResearchGate. (n.d.). Exploring Causes, Effects and Possible Solutions of Traffic Congestion in Pakistan: The Case of Quetta Metropolitan City.
  31. Wikipedia. (n.d.). Traffic congestion.
  32. UCLA Institute of Transportation Studies. (n.d.). Traffic Congestion: Three Big Questions, Three Short Answers.
  33. Arab News. (n.d.). By utilizing drone surveillance, we aim to reduce violations, ease traffic congestion and ensure the safety of all road user.
  34. D+C Development and Cooperation. (n.d.). Rural communities generally lack good public services and have too few economic opportunities.
  35. NC State University. (n.d.). You Decide: Can We Begin to Close the Urban-Rural Divide in 2021?.
  36. PakObserver. (n.d.). Pakistan: The Urban-Rural Education Divide.
  37. AgriEconomist. (n.d.). Bridging the Healthcare Gap in Rural Pakistan.
  38. PAHO. (n.d.). Non-communicable diseases (NCDs) are responsible for 3.9 million deaths each year in the Region of the Americas, representing ¾ of all deaths.
  39. PLOS ONE. (n.d.). Among all NCDs, hypertension has the highest prevalence (29.2%), showing a significant difference between females (32.7%) and males (25.0%).
  40. World Bank. (n.d.). Aging changes in Pakistan’s demography will increase the burden of NCDs.
  41. AHA. (n.d.). Report examines racial and ethnic disparities in health, health care access.
  42. PMC. (n.d.). The prevalence of self-medication in males and females in Karachi is found to be 84.8% (males 88.4% and females 81.2%).
  43. Annals ASHKMDC. (n.d.). The prevalence of self-medication was found to be 43.6%.
  44. YouGov. (n.d.). Nearly two in five consumers prefer to self-medicate simply because it worked for them earlier.
  45. Becker’s Hospital Review. (n.d.). 2 in 5 patients prefer to self-medicate.
  46. PBS NewsHour. (n.d.). The curse of God: Stigma of mental illness in Pakistan.
  47. CDC. (n.d.). Mental Health Stigma.
  48. NCOA. (n.d.). Mental Health Stigma: Changing the Conversation.
  49. Human Rights Watch. (2016, September 27). Crooked System: Police Abuse and Reform in Pakistan.
  50. ResearchGate. (n.d.). Public Perceptions of Police Service Quality: Empirical Evidence from Pakistan.
  51. Accountability Lab Pakistan. (n.d.). Is delayed justice breaking Pakistan’s legal system?. Retrieved from YouTube.
  52. ResearchGate. (n.d.). Pendency of Cases in Pakistan: Causes and Consequences.
  53. The Friday Times. (n.d.). Justice Delayed: The Tragic Consequences of Pakistan’s Legal System Crisis.
  54. Human Rights Asia. (n.d.). Unfortunately, today’s Pakistan presents a typical example of this maxim because the judicial system of the country is so slow and lethargic that for a case started by a grandfather, his grandson would be able to get the verdict.
  55. Advance LRF. (n.d.). The criminal justice system (CJS) serves as the backbone of any society, ensuring law enforcement, judicial fairness, and penal rehabilitation.
  56. The Critical Thinking Institute. (n.d.). 5 Reasons Education Fails Critical Thinking.
  57. Reboot Foundation. (n.d.). The State of Critical Thinking 2020.
Posted on by Sandeep

Why big businesses fail and could not foresee it?

Downhill & Uphill:
The Arc of Big Businesses Collapse and Courage

1. The Illusion of Permanence

We rarely believe that giants can fall. A platform we use daily, a device we depend on, a digital home where we write, talk, store, share — these seem as permanent as gravity. But history has always laughed at permanence.

In the early 2000s, if you said Nokia would be irrelevant in ten years, you would be called a fool. Even when the cracks began to show, denial was stronger than reason. There’s a comfort in believing things will last. But permanence is a user’s illusion — and downhill is often invisible until it becomes terminal.

2. The Nokia Syndrome – Death by Comfort

Nokia’s downfall didn’t happen because it lacked engineers or funds. It happened because it believed it had time. Its UI stagnated. Its management grew insular. Even as iPhone and Android gained ground, Nokia stuck to its guns — feature phones with clunky software, tied to an ecosystem that felt ancient.

There were moments when common sense almost surfaced. When Android was clearly dominating, a suggestion was floated to launch Android-powered Nokias. But the Polish CEO reportedly quipped:

“That would be like peeing in your pants to stay warm.”

It turned out he didn’t just lose the warmth — he lost his trousers too. Nokia’s refusal to adapt wasn’t boldness. It was hubris dressed up as strategy.

3. Symbian – A Phone OS That Couldn’t Become More

Symbian was never meant to be a full-featured mobile OS. It was designed to handle calls and text — that’s all. But as competitors brought in music, maps, email, and apps, Symbian was pushed beyond its original design. The result? It bloated, broke, and slowed.

Instead of rewriting from scratch or embracing something new, companies layered features on a legacy core. Developers hated the complexity. Users hated the lag. What was once lightweight and efficient became a lumbering relic trying to wear a spacesuit.

The lesson? A foundation built for one era rarely survives another.

4. BlackBerry – The Cost of Arrogance in a Connected Age

BlackBerry offered a brilliant closed-loop communication platform — fast, secure, and ahead of its time. But it misread the shift in power. When Google and Apple began offering free, open, and beautifully integrated services, BlackBerry stuck to charging users extra to use basic email. It relied too long on its corporate moat, ignored app culture, and tried to pivot far too late.

It finally launched BBM as a separate app — but only after the world had moved on. WhatsApp, Telegram, and others had long replaced BBM in people’s pockets. The idea came too late, and the execution couldn’t matter anymore.

As one blogger presciently wrote in 2012:
“Ships do not sink just because of weather. Similarly firing a Captain of a sinking ship does not brighten chances of its survival.”

5. Vodafone India – A Shell of a Network with an Empty Lobby

Vodafone’s business model was already under strain. But before data killed it, bad customer experience drove users away. High-paying postpaid customers — the ones telcos value most — were made to wait in long queues, humiliated, and treated as numbers, not people.

As documented in 2012, Vodafone’s staff were often indifferent, untrained, or outright dismissive. Loyalty walked out first — long before the debt arrived.

And behind the scenes, the company owned no real infrastructure. It was, as another article put it, a shell company built on billing, not service. On top of it, its staff oblivious of competition continue to behave like Prince and Princess and run customer service like a Royal Court requiring customers to wait holding any arbitrary token while staff inside is giggling or polishing nails. You can’t park your customers in a queue and expect them not to move on.

6. Modern Warning Signs – Grok, Ubuntu, and the Coughing Ones

Collapse never stops. It just shifts forms.

Grok 3, ambitious as it may be, remains confined to the appendix of X (Twitter). And no matter how powerful the model, it can’t grow while being fed by a volatile, controversial, and curated platform. Intelligence demands a diverse diet. Otherwise, it becomes a loud echo chamber.

Ubuntu, once beloved by Linux users worldwide, forced its Unity interface on users. The move alienated its core base. People left for Linux Mint and other distros that valued usability over ego. It wanted to be on mobile screens but it ended up vanishing from desktops and laptops. It was a reminder that vision without listening is just noise.

7. The Uphill Counterpoint – Café Coffee Day and Malavika Hegde

But not every story is a tragedy.

When V.G. Siddhartha, founder of Café Coffee Day, died by suicide in 2019, the business was crushed under the weight of over ₹7,000 crore in debt. The corporate world braced for collapse. But his wife, Malavika Hegde, stepped in. She took over the reins with no drama, no headlines — just determination. As CEO, she streamlined the business, reduced debt significantly, and restored stability. She didn’t rebrand. She didn’t perform. She simply led.

Her leadership wasn’t loud — it was lived.
In a world full of visionaries who crash, she quietly landed the plane and then took it off into profit.

Posted on by Sandeep

India’s Rising Defence Production and Exports

Rising defence export

Analysis of India’s Defence Sector Production and Exports (2014-2025)

Defence Export by India: India has experienced a significant surge in its defence sector production and exports over the last decade, largely driven by the “Make in India” and “Atmanirbhar Bharat” (self-reliant India) initiatives.

I. Defence Production Growth:

Significant Increase: India’s defence production reached ₹1.27 lakh crore (approx. US$ 15.2 billion) in FY 2023-24. This marks an impressive 174% increase from ₹46,429 crore in 2014-15.
Target: India aims to achieve ₹3 lakh crore in defence production by 2029.
Reduced Import Dependency: Approximately 65% of defence equipment is now manufactured domestically, a significant reversal from the earlier 65-70% import dependency a decade ago.
Industrial Base: India’s defence industrial base is robust, comprising 16 Defence Public Sector Undertakings (DPSUs), over 430 licensed companies, and approximately 16,000 Micro, Small, and Medium Enterprises (MSMEs).
Private Sector Contribution: The private sector plays a crucial role, contributing around 21% to the total defence production.

II. Defence Exports Growth

Remarkable Surge: Defence exports have seen an extraordinary increase, growing 30 to 34 times over the last decade.
From ₹686 crore in FY 2013-14 to ₹21,083 crore in FY 2023-24.
Further increasing to ₹23,622 crore in FY 2024-25.
Decadal Growth (2014-2024): Total defence exports during this decade amounted to ₹88,319 crore, a 21-fold increase compared to the ₹4,312 crore in the preceding decade (2004-2014).
Year-on-Year Growth: Defence exports grew by 32.5% year-on-year, rising from ₹15,920 crore in FY 2022-23 to ₹21,083 crore in FY 2023-24. In FY 2024-25, a growth of 12.04% was registered over FY 2023-24.
Export Destinations: India now exports defence equipment to over 100 countries, with the USA, France, and Armenia being among the top buyers in FY 2023-24.
Export Portfolio: The export portfolio has diversified to include a wide range of items such as bulletproof jackets, Dornier (Do-228) aircraft, Chetak helicopters, fast interceptor boats, radars, lightweight torpedoes, missile systems (like Akash SAM), Advanced Towed Artillery Gun Systems (ATAGS), and naval platforms.

Private Sector vs. DPSUs in Exports (FY 2024-25):

Private sector: ₹15,233 crore (64.5%)
DPSUs: ₹8,389 crore (35.5%), showing a significant increase of 42.85% in their exports in FY 2024-25.
Export Authorizations: The number of export authorizations issued has also seen a rise, with 1,762 authorizations in FY 2024-25, a 16.92% increase from the previous year.
Future Target: The government aims to achieve ₹50,000 crore in defence exports by 2029.

III. Key Drivers of Growth

“Make in India” and “Atmanirbhar Bharat” Initiatives: These government policies have been central to promoting self-reliance and domestic manufacturing in the defence sector.

Policy Reforms:

Increased Budget Allocation:

The defence budget has significantly increased from ₹2.53 lakh crore in 2013-14 to ₹6.81 lakh crore in 2025-26, with a substantial portion allocated for domestic procurement (75% of the modernization budget for FY24).

Liberalized FDI Policy:

Foreign Direct Investment (FDI) in defence was liberalized in 2020, allowing up to 74% through the automatic route and 100% via government approval, attracting foreign investment.

Positive Indigenisation Lists (PILs):

These lists mandate that certain defence items must be sourced domestically, further boosting indigenous production.

Innovations for Defence Excellence (iDEX):

This initiative promotes innovation and R&D in the defence sector, involving startups and MSMEs.

Production-Linked Incentive (PLI) Schemes:

These schemes incentivize manufacturing in various sectors, including defence, to enhance global competitiveness and reduce import dependency.

Increased Private Sector Participation:

The government has actively encouraged private sector involvement, leading to innovation and increased efficiency.
Focus on Indigenous R&D: Organizations like DRDO (Defence Research and Development Organisation) are crucial in driving technological innovation and transfer, leading to the development of cutting-edge military platforms.

Expanding Global Footprint:

India’s growing capability and competitive pricing have made its defence products more attractive to other nations.

Defence Industrial Corridors:

Establishment of dedicated defence industrial corridors in states like Uttar Pradesh and Tamil Nadu is further boosting indigenous production and attracting investment.

In summary, India’s defence sector has undergone a remarkable transformation in the last decade, shifting from a primarily import-dependent nation to a significant player in global defence production and exports. This has been a conscious and strategic effort by the government, supported by a robust industrial base and increasing private sector participation.

Posted on by Sandeep

India has best Income Equality among large economies.

Poor does not remain poor in India

India’s economic journey is no longer just about scale—it’s about transformation. According to a recent World Bank report, the country has managed something few developed economies can boast: pairing rapid growth with meaningful progress in income distribution. This isn’t merely about GDP spikes or stock market highs—it reflects a deeper shift where prosperity is reaching broader segments of society. From rural wage improvements to expanded welfare coverage, the metrics point to inclusive advancement. While global headlines often focus on India’s digital boom and infrastructure leaps, this underlying equity story marks a powerful chapter. In a world grappling with rising inequality, India’s model offers a compelling, counterpoint: growth served hot, but shared widely. According to theWorld Bank data, India has demonstrated remarkably better income equality compared to G7 and G20 countries.

Here’s a breakdown of the report and its implications:

Key Findings of the World Bank Report:

  • High Ranking in Income Equality: India ranks fourth globally in income equality with a Gini Index of 25.5. This places it among the most equal societies worldwide, trailing only the Slovak Republic (24.1), Slovenia (24.3), and Belarus (24.4).
  • Outperforming G7 and G20 Nations: India’s Gini Index score is significantly lower than that of major economies like China (35.7), the United States (41.8), and all G7 and G20 countries. Many of these are considered advanced economies, making India’s achievement particularly noteworthy.
  • For context, a Gini Index of 0 represents perfect equality (everyone earns the same), while 100 represents maximum inequality (one person earns all the income). A lower score indicates greater equality.
  • Steady Improvement Over Time: India’s Gini Index has improved consistently, dropping from 28.8 in 2011 to 25.5 in 2022. This indicates a sustained effort and progress in bridging income gaps.
  • Poverty Reduction as a Key Driver: A significant factor contributing to India’s improved income equality is its success in reducing extreme poverty. The World Bank’s Spring 2025 Poverty and Equity Brief highlights that:

1.  Around 171 million Indians moved out of extreme poverty between 2011 and 2023.
2. The extreme poverty rate (based on the global poverty line of $2.15 per day) sharply declined from 16.2% in 2011 to just 2.3% in 2022-23.
3. Even with a revised extreme poverty threshold of $3.00 per day, the poverty rate for 2022-23 would be a modest 5.3%.

Elaboration and Explanation:

The World Bank’s report suggests that India’s economic growth is being shared more equitably across its population. This is a departure from the common narrative that rapid economic growth in developing countries often exacerbates income disparities. The report attributes India’s success to a consistent policy focus on several fronts:

  • Poverty Alleviation Programs: The massive reduction in extreme poverty directly contributes to better income equality. When a large segment of the population moves out of the lowest income brackets, it naturally shrinks the gap between the poorest and the rest.
  • Financial Inclusion Initiatives: Schemes like the PM Jan Dhan Yojana, which has led to the opening of over 55 crore (550 million) bank accounts, have significantly expanded financial access for the previously unbanked population. This enables more people to participate in the formal economy, access credit, and build assets, thus reducing financial exclusion.
  • Efficient Welfare Delivery through Digital Infrastructure: The Aadhaar national digital ID system, now covering over 142 crore (1.42 billion) people, has enabled highly efficient Direct Benefit Transfers (DBT) of welfare payments. This minimizes leakage and ensures that government support reaches the intended beneficiaries directly, significantly impacting the incomes of vulnerable populations. Reports indicate that this has saved Rs 3.48 lakh crore (approx. $42 billion USD) by March 2023.
  • Targeted Social Safety Nets and Support Schemes:
  • Ayushman Bharat: Provides health coverage of Rs 5 lakh (approx. $6,000 USD) for families, improving healthcare access and reducing out-of-pocket expenses for millions.
  • Stand-Up India: Supports entrepreneurs from Scheduled Castes/Tribes (SC/ST) and women with loans and assistance, fostering inclusive economic participation.
  • PM Vishwakarma Yojana: Offers support, training, and loans to artisans, helping traditional craftspeople integrate into the modern economy.
  • PM Garib Kalyan Anna Yojana (PMGKAY): Provides free food grains to over 80 crore citizens, ensuring food security and alleviating immediate economic burdens for a vast population.

Comparison with G7 and G20 Countries:

The fact that India has a lower Gini Index than all G7 and G20 nations is particularly significant. These are often the world’s largest and most developed economies. While they may have higher average incomes, their income distribution tends to be more unequal. This suggests that India’s model of prioritizing inclusive growth and direct welfare interventions is proving effective in achieving a more equitable society, even as it continues its economic development journey.

In essence, the World Bank report portrays India as a country that has successfully coupled economic growth with a substantial improvement in income distribution, a feat that many developed nations struggle to achieve.