Richard M. Rossow
State governments have critical roles to play in helping India build a better business environment. In 2025, most state policies focus on specific sectors like electronics or data centers. In rarer cases, reforms are more broad-based, easing the business environment across industries around topics like land and labor. More states are “getting in the game” to grab a share of global investment in emerging technologies. But China+1 should not exclusively focus on emerging technology. To create employment and exports, Indian states should spend 2026 focused on building investments in basic industries like textiles, paper mills, food processing, and chemicals.
A little over a decade ago, our team began preparing and sending a weekly digest of significant state-level business reforms. You can find the back editions here. Our team reported on 114 significant reforms by state governments in India in 2025. Rajasthan led the pack with 12 significant reforms, followed by Madhya Pradesh (10), Assam and Odisha (9 each), and Andhra Pradesh, Gujarat, Karnataka, and Uttar Pradesh (8 apiece).