Major Reforms Implemented from December 1, 2025
India rolled out five significant reforms effective December 1, 2025, aimed at modernizing key sectors. These include the liberalization of the civil nuclear sector, allowing private participation under the new Atomic Energy Bill, 2025. This move is expected to attract global investment and accelerate clean energy capacity. Higher education is undergoing restructuring, granting universities greater autonomy and promoting international collaboration and digital learning platforms. Corporate laws have been simplified, decriminalizing minor business offenses and streamlining compliance for startups and MSMEs. The government also introduced a new taxation framework for sin goods and updated GST and excise laws to reduce litigation. Finally, the insurance sector saw liberalization with the FDI cap raised to 100%, aiming to attract capital inflows and expand coverage.
Higher Education Set for Transformative Change with New Bill
The Narendra Modi government is set to introduce the Viksit Bharat Shiksha Adhishthan Bill, 2025, in the winter session of Parliament. This bill aims to establish a commission dedicated to facilitating universities and other higher educational institutions in becoming independent, self-governing bodies. The objective is to promote excellence through a robust and transparent system of accreditation and autonomy. The proposed commission will feature three wings: the Regulatory Council, Accreditation Council, and the Standards Council. It will be tasked with formulating schemes to enhance education quality and advise central and state governments on the holistic development of higher education, covering all Institutions of National Importance and universities. The bill also proposes steep fines for educational institutions contravening the new law.
Government Boosts MSMEs with Quality Control Orders and Financial Support
To safeguard domestic production, the government has implemented Quality Control Orders (QCOs) with specific relaxations and exemptions for Micro, Small, and Medium Enterprises (MSMEs). Micro enterprises receive a six-month extension, while small enterprises get a three-month extension to meet QCO requirements. Furthermore, the government introduced the Mutual Credit Guarantee Scheme for MSMEs, providing credit guarantee cover for term loans up to ₹100 crore for equipment and machinery purchases. Other measures include mandating banks not to seek collateral for loans up to ₹10 lakh for micro and small enterprises and reducing minimum marking fees by the Bureau of Indian Standards (BIS) for MSMEs. An additional 10% concession is available for MSMEs in the northeastern region and for women-owned enterprises.
MGNREGA Proposed for Renaming and Enhanced Workdays
The Union Cabinet has approved a significant update to the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS). The scheme is proposed to be renamed "Poojya Bapu Grameen Rozgar Yojana" and will see an increase in guaranteed workdays from 100 to 125 days under the National Rural Employment Guarantee Act, 2005. This reform aims to further strengthen rural employment and livelihood security.
Progress in Energy Conservation and Renewable Targets
India celebrated National Energy Conservation Day 2025, highlighting its commitment to greener energy. The government has transitioned several major energy-intensive sectors from the Perform, Achieve and Trade (PAT) mechanism to the Carbon Credit Trading Scheme (CCTS) Compliance Mechanism in December 2025. This new market-based framework for industrial decarbonization assigns Greenhouse Gas Emission Intensity (GEI) targets. Significant progress has been reported under the Pradhan Mantri Surya Ghar Muft Bijli Yojana, with over 23.9 lakh homes installing rooftop solar by December 2025, adding 7 GW of clean energy. The Revamped Distribution Sector Scheme (RDSS) has also seen the installation of 4.76 crore smart electricity meters. Additionally, India achieved its target of 20% ethanol blending in petrol by 2025, five years ahead of schedule, leading to substantial reductions in carbon dioxide emissions and significant foreign exchange savings.
Enhanced Welfare Measures for Senior Citizens
The year 2025 brought several reforms to improve the lives of senior citizens. The Ayushman Vay Vandana card, rolled out in 2025, provides citizens aged 70 and above access to up to ₹5 lakh annually for free inpatient treatment under Ayushman Bharat–PM-JAY. Budget 2025 also increased the TDS-free limit on interest income for seniors from ₹50,000 to ₹1,00,000. Pension collection became easier with EPFO's new Centralised Pension Payment System, allowing pensioners to collect pensions from any bank branch. A new Senior Citizens Welfare Portal (SCWP) was launched on May 2, 2025, consolidating government schemes, health benefits, and welfare services onto one user-friendly platform.
Sanchar Saathi App Pre-installation Order Revoked
India has revoked its order requiring smartphone manufacturers to pre-install the government's Sanchar Saathi application on all new mobile devices. The decision came after significant backlash and digital rights concerns. The government stated it would amend the order based on feedback and clarified that the app was secure and intended to help citizens against cyber threats.