Showing posts with label economics. Show all posts
Showing posts with label economics. Show all posts

Thursday, 6 August 2026

Roots and Branches: Civilization as the Foundation of India's Economic Growth

 

In recent years, India has witnessed an unprecedented wave of optimism about its economic future. The vision of Viksit Bharat by 2047, projections that India could become the world's third-largest economy, advances in semiconductors, artificial intelligence, manufacturing, and startups—all these have generated tremendous hope about the nation's future.

Yet, amidst this excitement, a fundamental question is rarely asked. What is the true foundation of a nation's long-term prosperity? Is it investment? Technology? Government policy? Or is there something deeper?

Reflecting on this question, one notices two distinct schools of thought in contemporary India.

One school argues that we should follow the path taken by the West. Better infrastructure, industrialization, foreign investment, world-class universities, cutting-edge research, advanced technology, and Nobel Prizes—these, they believe, are the keys to development. In short, their aspiration is to make India "another America."

The other school emphasizes rediscovering India's ancient civilizational heritage—its culture, languages, philosophy, and traditional knowledge. They argue that development remains incomplete if a nation loses touch with its roots.

These two viewpoints are often seen as being in conflict. Each tends to view the other with suspicion. To the first group, the second appears trapped in the past. To the second, the first seems captivated by a rootless modernity.

But this conflict is largely an illusion.

Economic development and civilization are not opposing forces. They represent two different levels of the same evolutionary process.

Economics tells us how wealth is created.

Civilization builds the psychological and social foundations that enable a society to create wealth generation after generation.

In a recent interview, the Indian economist Sanjeev Sanyal made an important observation. Societies that have preserved a deep sense of civilizational confidence over centuries are also better equipped to sustain long-term economic growth. Respect for history, trust in institutions, and the willingness to invest for the future are all qualities that grow within a culture.

Interestingly, the Greek economist Yanis Varoufakis, despite coming from a very different political tradition, arrives at a similar conclusion. He argues that economies cannot be understood merely in terms of markets, interest rates, or monetary policy. History, social institutions, the stories people tell themselves, and their shared beliefs are integral to the functioning of an economy.

The two economists may differ in their political outlooks, but they converge on one important point: an economy does not function in a vacuum. It is deeply rooted in a culture, a civilization, and a shared social consciousness.

This brings us to an important distinction.

Cultural pride does not mean empty slogans. It does not mean romanticizing the past or looking down upon others.

Authentic cultural renewal means providing higher education in our own languages, studying our classical texts, making modern scientific knowledge available in Indian languages, reinterpreting our arts, literature, and intellectual traditions for contemporary times, and maintaining a living connection with our civilizational heritage even as we pursue world-class scientific and technological research.

Such cultural confidence nurtures self-respect. Self-respect fosters creativity. Creativity builds institutions. Institutions generate wealth. Economic growth then ceases to be a temporary miracle and becomes a living stream of prosperity flowing across generations.

A tree does not stand because of its branches. It stands because of its unseen roots.

Likewise, the strength of a nation's economy does not rest merely on its industries, highways, and factories. The invisible roots that nourish them—history, culture, language, education, and civilizational self-confidence—are the true foundation.

If India is to become a developed nation by 2047, it will need not only stronger branches, but even stronger roots.

(English translation of my article in Eenadu published today)