New Delhi, Dec 25 (NationPress) The government led by Narendra Modi introduced a series of major economic reforms in 2025, aimed at boosting growth and generating more employment opportunities as India continues to hold its position as the world’s fastest-growing economy despite a global downturn.

During a vigorous winter session of Parliament, the government approved significant measures that include allowing 100 percent foreign direct investment (FDI) in the insurance sector and opening the nuclear energy domain to private enterprises. These developments followed the recent implementation of four key labour laws, which consolidated 29 complex regulations into four streamlined codes, fostering an environment that enhances industrial efficiency while protecting workers’ rights.

Finance Minister Nirmala Sitharaman revealed that after substantial reforms to the GST, the government plans to revamp the Customs framework in the upcoming Union Budget for 2025-26, anticipated to be unveiled on February 1.

Parliament passed the Sabka Bima Sabki Raksha (Amendment of Insurance Laws) Bill 2025, increasing the FDI cap in the insurance sector from 74 percent to 100 percent. This move aims to attract investment, promote development, enhance services, and realize the goal of 'Insurance for All by 2047', alongside measures to ease reinsurer requirements and bolster policyholder protections. This groundbreaking reform seeks to drive higher investment and innovation, ensuring more individuals gain access to insurance in the under-penetrated Indian market.

The Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Bill, 2025 was also approved by Parliament, modernizing India’s nuclear legal framework to facilitate the nation’s clean-energy transition, with a long-term target of achieving 100 GW of nuclear energy capacity by 2047.

This legislation permits private firms to engage in India’s nuclear sector, allowing them to manage plant operations, generate power, manufacture equipment, and perform activities such as nuclear fuel fabrication, including uranium-235 conversion, refining, and enrichment.

Importantly, the bill maintains a strong emphasis on ensuring India’s strategic control over its nuclear ecosystem. While the sector welcomes private investment, the bill guarantees that critical functions remain under the sovereign’s oversight, with the government retaining exclusive control over the nuclear fuel cycle, waste management, and security operations.

Prime Minister Modi described the newly notified four Labour Codes as “the most comprehensive and progressive labour reforms since Independence,” significantly empowering workers while simplifying compliance and enhancing the Ease of Doing Business.

With the Labour Codes' implementation, employers are now mandated to provide appointment letters to all workers, ensuring transparency and job security through written proof of employment. Previously, such letters were not a requirement.

Under the Code on Social Security, 2020, all workers, including gig and platform workers, will receive social security coverage, encompassing PF, ESIC, insurance, and additional benefits. Previously, security coverage was limited.

The Code on Wages, 2019 guarantees that every worker receives a statutory minimum wage and ensures timely payments for financial security. Previously, minimum wage regulations applied only to scheduled industries, leaving many workers unprotected.

The Labour Codes also mandate that employers provide free annual health check-ups for all workers over 40, promoting a culture of preventive healthcare that was absent before.

The new legislation allows women to work night shifts and in various sectors, contingent on their consent and necessary safety measures. Women will also enjoy equal opportunities to pursue high-paying roles, a significant change from previous restrictions.

Furthermore, the Labour Codes offer numerous advantages for India’s export sectors, including textiles, garments, leather, electronics, gems and jewellery, pharmaceuticals, auto components, and IT-enabled services, particularly simplifying compliance for employers and enabling better workforce management.

The competitiveness of these export-oriented industries relies heavily on the ability to maintain a flexible, compliant, and skilled workforce while adhering to international labour standards.