Wednesday, June 25, 2025

India’s journey toward self-reliance: Why it is significant amid shifts in global aid

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India is charting an ambitious path towards self-reliance (Aatmanirbharta) as it embarks on its journey to becoming a developed nation (Viksit Bharat) by 2047 when she completes a century of her independence. The Government of India has already taken significant strides in fostering economic resilience, strengthening indigenous industries, and creating an enabling environment for sustainable development. However, one of the most crucial elements in this transformative journey is the role of collaborative philanthropy, particularly through Corporate Social Responsibility (CSR) and the active engagement of Non-Governmental Organisations (NGOs). As India moves forward, it is imperative that NGOs align their initiatives with the strategic priorities of the government, ensuring a measurable impact at the grassroots level.

The Role of Collaborative Philanthropy in India’s Development

Collaborative philanthropy has emerged as a key driver in India’s development ecosystem. With CSR funding crossing 1 trillion since its mandate under the Companies Act 2013, corporate entities have played an instrumental role in advancing healthcare, education, environmental sustainability, and skill development. However, for maximum effectiveness, CSR initiatives must be strategically aligned with national development goals.The government’s emphasis on infrastructure, digital transformation, clean energy, and human capital development provides a clear roadmap for CSR and philanthropic efforts. NGOs, as key partners in this mission, should work in synergy with government-led programs to amplify impact. Their interventions must not only complement but also reinforce government initiatives, ensuring sustainable and scalable progress.

Aligning NGO Efforts with India’s Strategic Vision

NGOs in India must remain steadfast in their commitment to nation-building, irrespective of external developments. Their mission should be deeply rooted in India’s developmental priorities, contributing to long-term and sustainable growth. This commitment should be demonstrated through measurable, high-impact outcomes that align with India’s vision for progress. Some key areas of focus include:

    • Strengthening Healthcare Systems: NGOs should enhance efforts in primary healthcare, maternal and child health, non-communicable diseases, and mental health awareness. By working alongside Ayushman Bharat and other health programs, they can ensure last-mile delivery of critical healthcare services.
    • Education and Skilling for the Future: Aligning with the National Education Policy (NEP) 2020, NGOs should drive interventions in foundational literacy, digital learning, teacher training, and vocational skill development. Equipping India’s youth with future-ready skills is vital for a self-reliant economy. Skill India mission with sufficient financial width is  essential so that at least until the middle of this century India’s remains a source of high quality manpower for the world.
    • Sustainability and Climate Action: NGOs must focus on environmental sustainability, water conservation, afforestation, and clean energy adoption. Collaborating with government schemes like the National Solar Mission and Swachh Bharat Abhiyan can accelerate climate resilience efforts.
    • Rural Development and Livelihood Generation: NGOs should empower rural communities through sustainable agriculture, women’s entrepreneurship, and micro-financing initiatives. By supporting self-help groups (SHGs) and farmer-producer organisations (FPOs), they can enhance rural prosperity. It will also be useful to focus a great deal on the Cooperative Movement in which India has been a leader and created even the MNCs like Amul.
    • Leveraging Technology for Social Impact: Digital transformation is central to India’s Atmanirbhar vision. NGOs should integrate technology-driven solutions to improve service delivery, transparency, and efficiency in governance and social programs.

Navigating Global Aid Shifts: The USAID Case StudyThe evolving global landscape of foreign aid, particularly the shifting priorities of agencies like the US Agency for International Development (USAID), underscores the importance of self-reliance. USAID, established in 1961, has been a key player in global development efforts, with an annual budget of $42.8 billion. However, recent policy shifts in the US foreign aid have led to a reassessment of funding priorities, impacting development programs worldwide, including those in India. While it was often surmised that such foreign AID agencies have worked to secure their or the deep state’s hidden agenda which is often disruptive for the host country who need to understand that within the global geo political dynamic there are no free lunches. This has now been proven beyond doubt as far as USAID was concerned. A vigilant approach is warranted at all times as to what kind of strings and motives are attached to such largesse.

The US President Donald Trump’s executive order in his earlier term on “Re-evaluating and Realigning United States Foreign Aid” led to a freeze on new foreign aid commitments. While USAID’s financial footprint in India has diminished over the past decade due to the Indian government’s policy of rejecting conditional foreign aid, this development highlights a broader recalibration of global development partnerships.

With USAID pausing funding for global programs (except for Egypt and Israel), concerns have been raised about its impact on India’s social sector initiatives in healthcare, education, climate resilience, and sanitation. Although India’s economic resilience and policy shifts have reduced dependency on foreign aid, sectors with significant reliance on USAID funding face immediate operational uncertainties. This underscores the need for Indian NGOs to adopt a diversified funding approach and forge strong local partnerships to ensure continuity and resilience.

Strengthening India’s Development Framework Through Indigenous Efforts

The recalibration of the US foreign aid presents an opportunity for India to further assert its development autonomy. NGOs must embrace a strategic, transparent, and disciplined approach to navigating these changes. Key priorities include:

    • Enhancing Financial Sustainability: NGOs should reduce dependence on foreign funding by mobilising domestic philanthropic capital, government grants, and CSR contributions. A diversified funding model ensures stability and long-term impact.
    • Deepening Public-Private Partnerships: Collaborations with Indian corporations, research institutions, and government bodies can enhance capacity-building efforts and innovation in social programs.
    • Focusing on Mission-Driven Impact: By maintaining alignment with India’s developmental goals, NGOs can reinforce their credibility and effectiveness in nation-building efforts.

Atmanirbharta and viksit bharat

India’s journey towards Atmanirbharta is an inclusive and collective effort. The government’s strategic vision, coupled with the proactive role of corporates and NGOs, will shape India’s development trajectory in the coming decades. As the global aid landscape shifts, India’s commitment to self-reliance becomes even more crucial.

NGOs must play a transformative role by aligning with national priorities, ensuring measurable impact, and strengthening indigenous funding mechanisms. Their contribution to Viksit Bharat should be unwavering, mission-driven, and deeply integrated into the country’s development framework. Through collaborative efforts, India will continue to advance as a self-reliant global powerhouse, demonstrating that sustainable progress is best achieved through internal resilience and strategic partnerships.

Way Forward: Strengthening Policy Communication

To make India’s self-reliance vision more effective, there is a need for stronger policy communication. Stakeholders, including policymakers, corporate leaders, and civil society organisations, must engage in dialogue to create synergies and optimise resources. By fostering greater transparency and collaboration, India’s roadmap to Viksit Bharat will become more impactful and resilient in the face of evolving global challenges. Civil Society also needs to change its mindset and be a partner in the progress for a developed  Bharat with equity and social justice at the core of its growth story.

—The authors; Anil Trigunayat, is a former Indian Ambassador and also ex. Chairman of the CSR committee at a PSU, and Sumit Kaushik, is a public policy and social impact consultant. The views are personal.

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