Tuesday
September 1, 2026
Home Blog

Fiat Currency and Public National Debt

0

By: Nivriti Rathi, Research Analyst, GSDN

Currency notes of various countries: source Internet

Fiat money is a government-issued currency that is not backed by a physical commodity like gold or silver. It is a legal tender whose value depends on the issuing country’s economic stability. Its value is maintained through regulation by central banks, which control the money supply and influence factors such as inflation, interest rates, and overall economic stability. Unlike commodity-backed currencies, fiat money allows governments greater flexibility in responding to economic changes, although mismanagement can lead to inflation or currency devaluation. It is widely used across the world, including currencies like the US dollar, Euro, and the Indian Rupee. It supports global trade, financial systems, and digital payment ecosystems, enabling seamless transactions in modern economies. While fiat currency has its numerous benefits, there are quite some disadvantages too. Excessive money printing or poor policy decisions can reduce purchasing power and lead to high inflation. It has no intrinsic value, so its worth depends entirely on public confidence in the issuing authority. In the case of the Indian Rupee, it is issued by the Reserve Bank of India. Also, the country’s currency value can fall due to trade imbalances, or loss of investor confidence.

This is where fiat currency relates with public national debt. Legal tender provides fiat money with the legal force it needs if it is to be mandated as the means of extinguishing debt in a given jurisdiction. Contemporary fiat money represents the end of a long process of development whereby governments have used their power of legal tender to use money to pursue various policy goals. Prior to the introduction of paper money, governments were more than willing to debase gold and silver coinage to artificially reduce their debts. Adam Smith pointed out in his Wealth of Nations (1776) that “when national debts have once been accumulated to a certain degree, there is scarce, I believe, a single instance of their having been fairly and completely paid.” Smith then added that “the liberation of the public revenue, if it has ever been brought about all, has always been brought about by a bankruptcy; sometimes by an avowed one, but always by a real one, though frequently by a pretended payment.”

A major problem of fiat money concerns the way that it encourages the illusion that governments and central banks can somehow “manage” multi-trillion dollar economies. The international obligations accepted by all countries adhering to the gold standard (even in its debased post-World War I forms) placed some limits on governments’ capacity to use their legal tender powers to pursue any number of macroeconomic objectives. With fiat money, however, any such restrictions are removed. Instead government and central bank officials can increase or decrease the money supply as they see fit in response to any number of economic phenomena. Sometimes it works, but it also often fails. In other words, the state’s efforts to manage fiat money means that monetary policy is far more dependent on the decisions of fallible human beings who cannot possibly know all the consequences of their choices, rather than the functioning of the rules of something like the gold standard, which, for all its imperfections, provided more predictability about the economy’s likely direction.

Now, fiat currency contributes to national debt because modern money is fundamentally created through the issuance of government debt. How does this process work? The first step is the issuing of bonds. When a government needs to spend more money than the amount estimated in the budget, its treasury issues securities like government bonds, notes, and bills. A central bank then buys these bonds, effectively ‘fiatting’ new digital or physical currency into existence to pay for them. Because the newly created money enters circulation in exchange for these government bonds, every dollar of base fiat money corresponds to an obligation that the government or its central bank formally track as public debt. Countries borrow from each other or from global organizations like the World Bank and the International Monetary Fund (IMF). But why does the system encourage more debts? This is because governments do not need to mine a scarce commodity to spend, they can run continuous budget deficits by borrowing more against future tax revenues. Public national debt is the total amount of money a government owes to its creditors because its spending exceeds its tax revenues over time. This happens when the budget is deficit. Major entitlements like social security, medicare, and public healthcare demand continuous, high levels of funding. Large military budgets and necessary long-term investments in public works require upfront capital that exceeds regular tax intake.

Recessions reduce tax collections because citizens and businesses earn less money. Governments deliberately increase borrowing during major crises, such as the Great Recession or the COVID-19 pandemic, to stabilize the economy and support citizens. When businesses close and people lose jobs, spending drops. Government borrowing funds relief checks, unemployment benefits, and public projects. This keeps money moving in the market. Without government intervention, a sharp drop in spending can trigger a severe economic depression. Pumping borrowed money into the system cushions the fall and helps the economy recover faster. During such downturns, central banks often lower interest rates. This makes borrowing very cheap for governments, reducing the cost of managing the new debt. Governments send direct payments or tax cuts to households. People spend this money on food and rent, which keeps local stores and companies alive. Loans and grants are given to vital industries like airlines or small businesses to stop massive bankruptcies and mass layoffs.

But governments also raise money by selling bonds, often to institutional investors or pension funds. An investor buying a bond is lending the government money for an agreed term, and many bonds pay out interest at regular intervals known as coupon payments. When the agreed term of a bond ends known as its maturity date, the government pays back the original sum of money. Some bonds are very short term, others last for decades. More than half the world’s governments have defaulted since 1960, according to a database run by the Bank of Canada and the Bank of England. So investors have to take the risk of default seriously. If an individual or a company doesn’t pay back a loan, creditors can take legal action and go after the defaulter’s assets. Economists are divided over how much borrowing countries can afford. Traditionally, they become alarmed if a state’s debt is high in relation to its gross domestic product (GDP). But many countries borrowed far more than they planned in the pandemic. The European Union, for example, relaxed rules which limit debt to 60% of economic output.

As of May 29, 2026, according to the RBI’s annual report about Public Debt Management, the Central Government’s Gross Market Borrowings are US$ 152.77 billion, whereas the Net Market Borrowings lie at an approximate of US$ 113.5 billion. Currently, India’s debt to GDP ratio is 81.92%. The central government debt is 53.83% and the general government debt is 81.29%. This means that the national central government debt is US$ 2.02 trillion and the national central government debt per capita is US$ 1,395.01.

While presenting the Union Budget 2026-27 in Parliament on February 1, 2026, Union Minister for Finance and Corporate Affairs, Smt. Nirmala Sitharaman stated, “Government has been delivering on fiscal commitments consistently without compromising on social needs.” In line with this, the debt-to-GDP ratio is estimated to be 55.6 percent of GDP in Budget Estimates 2026-27, compared to 56.1 percent of GDP in Revenue Estimates 2025-26. A declining debt-to-GDP ratio will gradually free up resources for priority sector expenditure by reducing the outgo on interest payments. While speaking about Fiscal deficit, one of the main operational instruments for debt targeting, Smt. Sitharaman informed the parliament that the commitment made in FY 2021-22 to reduce the fiscal deficit below 4.5 percent of GDP by 2025-26 has been fulfilled. In RE 2025-26, the fiscal deficit has been estimated at par with BE of 2025-26 at 4.4 percent of GDP. In line with the new fiscal prudence path of debt consolidation, the fiscal deficit in BE 2026-27 is estimated to be 4.3 percent of GDP. The Finance Minister informed that, “The RE of the non-debt receipts are ₹34 lakh crore of which the Centre’s net tax receipts are US$ 279.5 billion. The Revised Estimate of the total expenditure is US$ 521.3 billion, of which the capital expenditure is about US$ 115.1 billion. The non-debt receipts and the total expenditure are estimated as US$ 383.61 billion and US$ 560.68 billion respectively. The Centre’s net tax receipts are estimated at US$ 301.35 billion. To finance the fiscal deficit, the net market borrowings from dated securities are estimated at US$ 122.97 billion. The balance financing is expected to come from small savings and other sources. The gross market borrowings are estimated at US$ 180.72 billion.”

Future generations pay back the costs of today’s spending. “Over the next few years, as many as a dozen developing economies could prove unable to service their debt,” says Marcello Estevão, Global Director, Macroeconomics, Trade and Investment at the World Bank, “the largest spate of debt crises in developing countries in a generation.” Even in wealthy countries, the current levels of government debt are potentially unfair on future generations whose taxes will be used to pay back money borrowed to pay for today’s public spending. That will be more manageable if economics grow, but there is a danger some governments will find paying the interest on their debt cuts into the money they have available to invest in projects which could have helped with development. High government debt isn’t the only concern. The amount of money owed by private businesses and individuals is also surging in some countries, pushing global debt to new heights. That has prompted the International Monetary Fund to warn that governments need to act together to tackle spiraling borrowing and safeguard security and prosperity across the world.

India can improve its national debt and lower its debt-to-GDP ratio by combining strict fiscal consolidation, spending rationalization, and sustainable economic growth. India needs to adopt a declining debt-to-GDP ratio as the primary fiscal target, aiming to bring central government debt down significantly over the next few years. We can cut wasteful consumption expenditures and curb subsidy misuses, such as tightening digital verification for LPG or food schemes) while protecting high-multiplier capital investments. Leverage artificial intelligence and technology integration, such as cross-matching Goods and Services Tax (GST) and income tax returns to widen the tax base and reduce evasion. Using active bond-switching mechanisms to replace short-duration sovereign papers with long-duration bonds can smooth out repayment schedules and mitigate rollover risks. And lastly, foster high economic growth and job creation in manufacturing and infrastructure. A rising nominal GDP naturally shrinks the relative size of the debt burden over time.

Which Country Leads the World in Big Data: Why It Matters 

By : Andey Vivaan, Research Analyst, GSDN

Data Centers : Source Internet

Introduction 

Data has become one of the most important strategic resources of the twenty-first century. Every online purchase, digital payment, social-media interaction, satellite image, factory sensor, mobile application and artificial intelligence system generates information. When these enormous volumes of information are collected and analysed, they are commonly described as Big Data. 

For many years, discussions about global power were largely centred on military strength, natural resources, population and economic size. These factors remain important, but technological power has added another dimension. Countries that can generate, store, process and effectively use enormous quantities of data gain advantages in artificial intelligence, economic planning, scientific research, national security and technological innovation. 

This has created an important question: which country actually leads the world in Big Data? 

There is no simple answer because leadership in Big Data cannot be measured only by the amount of information a country produces. China has developed an extraordinary advantage in the volume of data generated by its huge population, digital economy and industrial systems. The United States, meanwhile, remains extremely powerful because of its technology companies, cloud-computing infrastructure, advanced semiconductors and artificial intelligence ecosystem. 

Therefore, the emerging competition over Big Data is increasingly centred on China and the United States. India and the European Union are also becoming important players, although through different models. 

Understanding this competition matters because data is no longer simply information stored on computers. It is becoming an important source of economic, technological and geopolitical power. 

Understanding Big Data 

Big Data refers to extremely large and complex collections of information that cannot easily be processed using traditional methods. Its importance comes not simply from the amount of information available but from the ability to analyse it and discover useful patterns. 

Modern economies generate data continuously. Smartphones produce location and behavioural information. Banks generate financial transaction records. Hospitals create medical data. Factories collect information through sensors and connected machinery. Governments maintain large databases relating to taxation, transportation and public services. 

Artificial intelligence has increased the importance of these resources even further. 

AI systems require enormous quantities of information for training and operation. Data allows algorithms to identify patterns, understand languages, recognise images and make predictions. In this sense, data has become one of the basic inputs of the artificial intelligence economy. 

However, simply possessing large amounts of information does not automatically produce technological power. Countries also require data centres, computing infrastructure, skilled workers, advanced algorithms, electricity and an effective regulatory environment. 

This distinction is essential when determining which country leads the world. 

China’s Massive Data Advantage 

China has perhaps the strongest claim to leadership when Big Data is measured through the sheer volume of information generated. 

According to China’s National Data Administration, the country produced approximately 52.26 zettabytes of data during 2025. This represented about 27.44 percent of global data production. The figure also represented an increase of more than 27 percent compared with the previous year. 

Several factors explain China’s enormous data resources. 

First is population. China has more than a billion people, hundreds of millions of whom regularly use smartphones, digital-payment platforms, e-commerce services and social-media applications. 

Second is the scale of China’s digital economy. Online shopping, food delivery, transportation applications, mobile payments and other digital services have become deeply integrated into everyday life. 

Third is industrialisation. China is the world’s largest manufacturing economy and has increasingly introduced connected machinery, robotics, industrial sensors and artificial intelligence into factories. 

This means that China’s data advantage does not come only from consumers. Manufacturing, transportation, logistics and industrial systems are also producing enormous quantities of information. 

Chinese enterprises have become particularly important contributors. Business-generated data accounted for the overwhelming majority of the increase in China’s data production in 2025. 

The combination of population, digital services and industrial activity therefore provides China with one of the world’s largest pools of usable information. 

China’s Big Data Strategy 

China has also recognised that data has strategic value. 

Rather than treating information simply as a by-product of economic activity, Beijing has increasingly attempted to develop systems through which data can be organised and used as an economic resource. 

This approach fits China’s broader ambitions in artificial intelligence, advanced manufacturing, smart cities and technological self-reliance. 

China’s development of smart-city infrastructure provides one example. Cameras, transportation networks, digital payment systems and connected public services generate enormous quantities of information that can be analysed to improve traffic management, urban planning and government services. 

Industrial data is equally important. Information collected from factories can help companies predict equipment failures, optimise production and improve supply chains. 

China’s scale creates a powerful cycle. More digital activity produces more information. More information can improve algorithms and services. Better digital services attract greater use, generating even more information. 

This is particularly significant in artificial intelligence. 

During 2025, data generated through system software and artificial intelligence in China reached approximately 26.92 zettabytes. The amount of data used for AI training and inference also expanded rapidly. 

China therefore possesses not only a huge consumer market but also an increasingly sophisticated industrial and artificial intelligence data ecosystem. 

The United States: Turning Data into Technological Power 

If China has an advantage in data volume, the United States possesses another crucial advantage: its ability to transform data into commercially and technologically powerful products. 

The United States is home to many of the companies that created the modern digital economy. American firms dominate important parts of cloud computing, internet services, software, semiconductor design and artificial intelligence. 

This matters because Big Data requires infrastructure. 

Information needs to be stored in data centres, processed using advanced computing systems and analysed through sophisticated software. The United States has built an enormous ecosystem around these activities. 

American companies operate some of the world’s largest cloud-computing networks. These systems provide businesses and governments with the ability to store and process enormous quantities of information without constructing their own infrastructure. 

The United States also remains particularly strong in advanced AI computing. 

A 2025 study examining hundreds of AI supercomputers estimated that the United States accounted for around three-quarters of the total computing performance in its dataset, compared with China’s approximately 15 percent. 

This illustrates an important distinction. 

China may generate enormous quantities of data, but the United States retains a major advantage in the computing infrastructure required to develop some of the world’s most advanced artificial intelligence systems. 

American Technology Companies and the Data Economy 

Another major advantage for the United States comes from its technology corporations. 

Companies including Google, Microsoft, Amazon and Meta operate digital services used by billions of people around the world. Their influence means that America’s data ecosystem extends far beyond the geographical boundaries of the United States. 

American companies operate search engines, cloud platforms, social networks, operating systems and digital advertising networks across multiple continents. 

This gives the United States an unusual form of technological influence. 

A country’s population determines how much domestic information it can generate, but global technology platforms can collect and process information produced by users across numerous countries. 

American companies also dominate important sections of the global cloud market. Cloud infrastructure has become essential for Big Data because companies increasingly store and analyse information remotely rather than maintaining their own servers. 

Therefore, America’s advantage lies not necessarily in generating the greatest volume of domestic data but in controlling many of the technologies through which global information is stored, processed and converted into economic value. 

Artificial Intelligence Changes the Competition 

The rapid development of artificial intelligence has made the competition over Big Data even more important. 

Large AI models require huge datasets and enormous computing resources. Countries with strong data ecosystems can therefore gain advantages in developing AI systems for healthcare, defence, finance, manufacturing and scientific research. 

China’s large domestic population and industrial economy provide enormous amounts of information that can potentially support AI development. 

The United States possesses another advantage through advanced computing infrastructure, leading technology companies and access to sophisticated semiconductor technologies. 

This creates an interesting competition. 

China has extraordinary scale. The United States has extraordinary processing capability and a powerful private technology sector. 

The future leader in Big Data may therefore not necessarily be the country producing the most information. Leadership may depend on which country can most effectively transform information into artificial intelligence capabilities, productivity and strategic power. 

Big Data and National Security 

Big Data also has enormous implications for national security. 

Modern militaries depend increasingly on information. Satellites generate images of military movements. Drones collect battlefield intelligence. Cybersecurity systems monitor networks for suspicious activity. Intelligence agencies analyse communications and other information to identify threats. 

Artificial intelligence can process these enormous datasets much faster than human analysts. 

For example, algorithms can examine thousands of satellite images to identify unusual military deployments. AI systems can also analyse patterns in cyber activity and detect possible attacks. 

As a result, data is becoming an important component of military competition. 

The country that can combine satellite networks, surveillance systems, artificial intelligence and computing infrastructure may gain significant advantages in intelligence and military decision-making. 

This is one reason why governments increasingly view control over data infrastructure as a national-security issue rather than merely an economic question. 

Economic Power and the Value of Data 

Big Data is equally important for economic competition. 

Companies can use information to understand consumer behaviour, predict market demand and improve supply chains. Banks use data to identify financial risks and detect fraud. Healthcare companies analyse medical information to develop treatments. Manufacturers use industrial data to improve productivity. 

Countries with advanced data economies can therefore improve efficiency across multiple sectors. 

This is particularly important because the economic value of information increases when different datasets can be combined. 

For example, transportation information can be combined with weather and consumer-demand data to improve logistics. Medical information can be combined with genetic research to support new treatments. 

The ability to use information effectively therefore becomes a source of productivity. 

China and the United States both recognise this opportunity, although their economic systems approach it differently. China’s model involves considerable state direction and coordination, while America’s system relies heavily on private technology companies and market-driven innovation. 

The European Union: Competing Through Regulation 

The European Union represents a different model of Big Data power. 

Europe does not generate data on China’s scale and does not possess technology companies comparable in global reach to America’s largest digital corporations. Instead, the European Union has attempted to influence the global data economy through regulation. 

The European Union’s Data Act, which became applicable in September 2025, aims to establish rules governing access to and use of information generated by connected devices and industrial equipment. 

This reflects Europe’s broader emphasis on privacy, consumer rights and competition. 

The European approach demonstrates that Big Data leadership is not simply about controlling information. The ability to establish international standards governing how information can be collected and used can itself become a form of geopolitical influence. 

As companies operating globally adapt their practices to comply with European regulations, European standards can indirectly influence digital governance outside Europe. 

India’s Growing Data Power 

India is another country that could become increasingly important in the global Big Data landscape. 

Its enormous population, rapidly expanding internet usage and digital public infrastructure are creating massive amounts of information. 

Digital payments, online government services and smartphone adoption have transformed India’s digital economy. Systems such as Aadhaar and the Unified Payments Interface demonstrate India’s ability to build digital infrastructure operating at population scale. 

India also possesses a large information-technology workforce and an expanding data-centre industry. 

However, India still faces important challenges. Data-centre capacity, advanced computing infrastructure and semiconductor capabilities remain behind those of the United States and China. 

Nevertheless, India’s demographic scale and rapidly expanding digital economy mean that its importance in global data competition is likely to grow significantly. 

Rather than simply copying either the Chinese or American model, India has an opportunity to develop a model combining digital public infrastructure, private innovation and democratic governance. 

The Question of Data Sovereignty 

The growing importance of Big Data has created another geopolitical debate: who actually controls a country’s information? 

Data generated in one country may be stored in infrastructure operated by a company headquartered somewhere else. 

This has encouraged governments to develop policies around data localisation and digital sovereignty. 

The issue is particularly important because controlling physical data centres does not necessarily guarantee complete technological independence. Cloud platforms, software systems and computing hardware may still depend on foreign companies. 

Countries therefore increasingly view digital infrastructure in the same way they once viewed ports, telecommunications networks and energy systems. 

Dependence on foreign digital infrastructure can create economic and national-security vulnerabilities. 

This competition will probably intensify as artificial intelligence increases the strategic value of both data and computing power. 

So, Which Country Leads? 

If leadership is measured purely by the amount of data generated, China currently has one of the strongest claims to the title. Its 2025 data production represented more than one-quarter of the estimated global total, supported by its enormous population, manufacturing sector and rapidly expanding artificial intelligence ecosystem. 

However, if leadership is measured through the ability to process information and convert it into advanced artificial intelligence and globally dominant digital services, the United States remains extremely powerful. 

American technology companies operate global cloud infrastructure and digital platforms, while the United States retains a major advantage in frontier AI computing. 

Therefore, it would be misleading to declare either country the undisputed leader across every dimension. 

China can be described as a leader in data generation and industrial-scale deployment, while the United States remains a leader in advanced computing, cloud infrastructure and commercial technological innovation. 

The global Big Data competition is therefore increasingly a contest between China’s scale and America’s technological ecosystem. 

Why It Matters 

The outcome of this competition will influence far more than the technology industry. 

Big Data will shape artificial intelligence, military intelligence, healthcare, manufacturing, financial systems, scientific research and international trade. 

Countries that control the infrastructure required to store and analyse information may also gain influence over international technological standards. 

There are serious risks as well. 

Governments and corporations possessing enormous quantities of personal information can potentially use it for surveillance, manipulation or discrimination. Cyberattacks against major databases could expose sensitive information belonging to millions of people. 

Therefore, the future of Big Data is not simply about who possesses the most information. It is also about how responsibly and securely that information is used. 

Conclusion 

Big Data has become an important element of global power. Just as industrial capacity shaped international politics during the twentieth century, the ability to generate and process information is increasingly influencing power in the twenty-first century. 

China currently possesses an extraordinary advantage in the scale of data production. Its huge digital population, manufacturing economy, smart infrastructure and expanding artificial intelligence industry generate enormous quantities of information. 

The United States, however, retains major advantages in cloud computing, advanced AI infrastructure, semiconductor technology and globally influential technology companies. Its strength lies in its ability to transform data into commercially valuable and strategically powerful technologies. 

Other actors are also emerging. The European Union is attempting to shape global rules for the data economy, while India is becoming an increasingly important digital power because of its population and digital public infrastructure. 

In my view, there is therefore no single undisputed leader in every dimension of Big Data. China currently holds a strong advantage in the volume and scale of data generation, while the United States remains ahead in several of the technologies required to turn data into advanced computing and artificial intelligence capabilities. 

The country that ultimately leads the Big Data era will not necessarily be the one that collects the most information. It will be the country that can store it securely, process it efficiently, transform it into innovation and use it without destroying public trust. 

This is why the Big Data competition matters. Data is becoming more than an economic resource. It is increasingly connected to technological independence, national security and geopolitical influence. As artificial intelligence becomes more deeply integrated into governments, economies and militaries, control over data and the infrastructure surrounding it will become one of the defining elements of global power in the twenty-first century. 

Can China and India Ever Resolve Their Border Disputes? 

By : Simar Kaur, Research Analyst, GSDN

India – China : Source Internet

Introduction 

The boundary dispute between China and India is one of the longest unresolved territorial disagreements in the world. Stretching across nearly 2,100 miles of the Himalayan frontier, the disputed boundary has shaped the relationship between the two most populous nations on earth for more than seven decades. The disagreement produced one full-scale war in 1962, a deadly military clash in the Galwan Valley on June 15, 2020, and several years of tense troop mobilization along the Line of Actual Control, commonly referred to as the LAC. At the same time, the two countries have also periodically negotiated disengagement agreements, resumed high-level political contact, and expanded trade to record levels. This apparent contradiction, tension along the frontier on one hand and deepening economic interdependence on the other, raises an important question. Can China and India ever truly resolve their border disputes, or are they destined to manage an uneasy and indefinite coexistence along a contested frontier? This article examines the historical origins of the dispute, the key flashpoints that have defined it, the diplomatic efforts undertaken so far, and the structural obstacles and opportunities that will determine whether a final settlement is achievable. 

Historical Roots of the Boundary Dispute 

The India-China boundary was never formally demarcated during the colonial period, leaving behind a legacy of competing claims once both countries emerged as modern nation states. The eastern sector of the boundary, covering the present-day Indian state of Arunachal Pradesh, is largely defined by the McMahon Line, a boundary drawn during the Simla Convention of 1914 between British India and Tibet. China has consistently refused to recognise the McMahon Line, arguing that Tibet did not possess the sovereign authority to conclude such an agreement independently. The western sector, covering the Aksai Chin plateau, presents a different set of complications. Aksai Chin is administered by China as part of its Xinjiang Uyghur Autonomous Region, but India claims it as part of the union territory of Ladakh. The middle sector, running through the Indian states of Himachal Pradesh and Uttarakhand, is comparatively less contentious but still lacks a mutually agreed boundary alignment. Because no treaty ever formally demarcated the frontier across its entire length, both countries have relied on the concept of the Line of Actual Control, an operational ceasefire line rather than a legally settled international boundary, to manage day-to-day military presence. 

The 1962 War and Its Enduring Legacy 

Tensions between the two newly independent Asian giants escalated through the 1950s as China consolidated control over Tibet and built a strategic road through Aksai Chin connecting Xinjiang to Tibet, a project India only discovered after its completion. Diplomatic protests failed to resolve the disagreement, and on October 20, 1962, Chinese forces launched a coordinated offensive across both the eastern and western sectors of the disputed boundary. The war lasted approximately one month and ended in a decisive military setback for India. China declared a unilateral ceasefire on November 21, 1962, and withdrew its forces to positions behind what later came to be recognized as the Line of Actual Control. The war left a deep imprint on Indian strategic thinking and created a residue of mistrust that continues to influence bilateral relations today. It also hardened each side’s territorial claims, making any subsequent settlement politically difficult, since conceding territory after a military defeat carries a heavy domestic political cost for Indian leaders, while China has shown little inclination to revisit an outcome it regards as settled in its favor. 

Key Friction Points Along the Frontier 

Beyond the broad sectoral disagreements, several specific locations have repeatedly triggered military standoffs. The Doklam plateau, a tri-junction area claimed by both China and Bhutan, became the site of a seventy-three-day standoff between Indian and Chinese troops beginning in June 2017, after India intervened to stop Chinese road construction that New Delhi viewed as a threat to a strategically vital corridor connecting India’s northeastern states to the rest of the country. The Depsang Plains and the Demchok sector in eastern Ladakh remained points of friction for years after the 2020 crisis, with Chinese patrols restricting Indian access to traditional patrolling points. Pangong Tso, a glacial lake straddling the Line of Actual Control, was the site of physical clashes between soldiers in 2020 before both sides withdrew heavy equipment from its northern and southern banks. More recently, in January 2026, China revived its historical claim over the Shaksgam Valley, a region in the Jammu and Kashmir union territory that India considers its sovereign territory but which has been under Chinese control since Pakistan ceded it under a bilateral agreement signed in 1963. India has consistently rejected the 1963 cession as illegal and void, and the renewed Chinese assertion added a fresh layer of complexity to an already crowded set of territorial disagreements. 

The Galwan Valley Clash and the 2020 Standoff 

The most crisis in the bilateral relationship since 1962 began in early May 2020, when Indian and Chinese troops clashed at multiple points along the Line of Actual Control in eastern Ladakh. The confrontation escalated dramatically on June 15, 2020, when a violent hand-to-hand clash in the Galwan Valley resulted in the deaths of twenty Indian soldiers and an undisclosed number of Chinese casualties, later acknowledged by Beijing to be four soldiers. It was the first fatal clash on the border in forty-five years and triggered a massive mobilization of troops, artillery, and air assets by both sides along the frontier. The crisis fundamentally altered the trajectory of the relationship. India suspended several bilateral initiatives, banned numerous Chinese mobile applications on security grounds, and tightened scrutiny of Chinese investment proposals. Both governments authorized their military commanders to hold a series of corps commander level talks, beginning shortly after the clash and continuing years afterward, aimed at achieving disengagement at multiple friction points. Progress was slow and uneven, with disengagement completed at some locations, such as the northern and southern banks of Pangong Tso in February 2021 and at Gogra-Hot Springs in September 2022, while other points, particularly Depsang and Demchok, remained unresolved for an extended period. 

The Long Road to Disengagement and Diplomatic Reset 

A significant breakthrough came in October 2024, when India and China finally reached a disengagement agreement covering the Depsang and Demchok sectors, the last two remaining friction points from the 2020 standoff. The agreement restored patrolling arrangements that existed prior to the crisis, allowing troops from both sides to patrol up to previously agreed patrolling points. Days after this agreement was finalized, Indian Prime Minister Narendra Modi and Chinese President Xi Jinping held bilateral talks on the sidelines of the BRICS summit in Kazan, Russia, on October 23, 2024, marking the first formal meeting between the two leaders in five years. The two leaders agreed to direct their special representatives, a mechanism led on the Indian side by the National Security Advisor, to resume dialogue aimed at achieving a fair, reasonable, and mutually acceptable settlement of the boundary question. Momentum continued to build through 2025. In August 2025, Modi travelled to the Chinese city of Tianjin to attend the annual summit of the Shanghai Cooperation Organization, a regional grouping that includes both countries, where he held extensive talks with Xi Jinping. During the 2025 round of the Special Representatives dialogue, Indian National Security Advisor Ajit Doval and Chinese Foreign Minister Wang Yi agreed to establish an expert group tasked with exploring the possibility of achieving what has been described as an early harvest, meaning a limited but concrete agreement on boundary delimitation in less complicated sectors of the frontier, even while the broader dispute remains unresolved. 

This diplomatic momentum was carried into 2026. On May 27, 2026, India and China held the thirty-fifth round of the Working Mechanism for Consultation and Coordination, an institutional platform commonly known by the abbreviation WMCC that brings together diplomats from both countries to discuss border management issues, in Beijing. The talks were described by the Ministry of External Affairs as constructive and forward-looking, and it marked the first high-level diplomatic engagement specifically on the border situation since July 2025. Both sides used the meeting to review progress on maintaining peace and tranquility along the frontier and agreed to undertake substantive preparations for the next round of the Special Representatives dialogue, which both governments continue to describe as the principal political mechanism for resolving the boundary question. India also used the occasion to press for an early meeting of the Expert Level Mechanism on Trans-border Rivers, reflecting an additional area of cooperation tied to the management of rivers that originate in Tibet and flow into Indian territory. 

Economic Interdependence as a Stabilizing Factor 

Even as troops faced the frontier, trade between the two countries continued to expand, illustrating the complex and at times contradictory nature of the relationship. According to figures cited by the Chinese ambassador to India, bilateral trade between the two countries reached a record high of US$ 155.6 billion in 2025, an increase of more than twelve percent over the previous year. China remains among India’s largest trading partners, supplying critical inputs such as electrical machinery, bulk pharmaceutical ingredients, and industrial components that Indian manufacturing depends upon heavily. At the same time, the trade relationship remains heavily skewed in China’s favor. India’s trade deficit with China reached approximately US$ 99.21 billion in the 2024-2025 financial year, the largest trade deficit India runs with any single country, and this imbalance has widened almost every year for the past two decades. This economic interdependence cuts both ways when it comes to prospects for resolving the border dispute. On one hand, the scale of trade gives both governments a strong incentive to prevent military tensions from spiraling into a broader conflict that would disrupt commerce worth over US$ 100 billion annually. On the other hand, the size and persistence of India’s trade deficit have become a political irritant, with Indian policymakers arguing that genuine normalization of ties cannot occur while the border remains militarized and the economic relationship remains so lopsided. 

Structural Obstacles That Persist 

Despite the recent diplomatic thaw, several structural obstacles continue to make a comprehensive and final settlement of the border dispute extremely difficult to achieve. The first obstacle is the sheer scale of the territorial claims involved. China claims approximately 35,000 square miles of territory that India administers, primarily in Arunachal Pradesh, which Chinese officials often refer to as South Tibet. India, in turn, claims sovereignty over Aksai Chin, an area of roughly 15,000 square miles currently under Chinese administration. Neither side has shown any indication that it is prepared to formally cede its claims over these regions, making a full and final settlement covering the entire boundary a distant prospect. The second obstacle is domestic political sensitivity. Any Indian government that appears to concede territory, even in a limited technical sense such as adjusting the alignment of the Line of Actual Control, risks fierce opposition criticism and accusations of weakness, particularly given the legacy of the 1962 war. Chinese leadership similarly faces internal pressure to avoid appearing to make concessions on territorial sovereignty, a politically sensitive issue tied closely to nationalist sentiment. The third obstacle is the absence of a mutually agreed common understanding of where the Line of Actual Control actually runs. Unlike a demarcated international boundary, the LAC exists largely as a set of overlapping perceptions, and the two militaries frequently disagree over the precise location of patrolling points, creating recurring opportunities for friction even in the absence of any deliberate provocation. The fourth obstacle is the broader strategic competition between the two countries, which extends well beyond the border itself into contested spheres of influence across South Asia, the Indian Ocean region, and multilateral institutions, making the boundary dispute difficult to isolate from wider geopolitical rivalry. 

The Role of External Factors 

The India-China boundary dispute cannot be understood in isolation from the broader regional and global context. China’s close strategic and military partnership with Pakistan, including the China-Pakistan Economic Corridor, a large-scale infrastructure initiative connecting Xinjiang to the Pakistani port of Gwadar, runs through territory in Gilgit-Baltistan that India claims as its own, adding a trilateral dimension to what is nominally a bilateral dispute. India’s deepening security cooperation with the United States, Japan, and Australia through groupings such as the Quadrilateral Security Dialogue is viewed with suspicion in Beijing, which sees these arrangements as part of a broader strategy of containment. China’s construction of dual-use infrastructure, including villages and military facilities in disputed border areas, has similarly alarmed Indian security planners, who have responded with their own infrastructure build-up, including projects such as the Sela Tunnel in Arunachal Pradesh designed to improve troop mobility and logistics along the frontier. These external dynamics mean that even a technical resolution of specific friction points along the LAC is unlikely to fully de-link the border dispute from the wider strategic rivalry between the two Asian powers. 

Possible Pathways Toward Resolution 

Notwithstanding these obstacles, several pathways could allow China and India to manage, and eventually substantially resolve, their border disagreements over time. The most realistic near-term pathway is incremental progress through confidence building measures rather than a single comprehensive settlement. This approach, sometimes described by officials as pursuing an early harvest, involves resolving less contentious and more clearly defined sections of the boundary first, such as portions of the middle sector, while leaving the more politically fraught eastern and western sectors for later negotiation. A second pathway involves strengthening existing institutional mechanisms, including the Special Representatives dialogue and the Working Mechanism for Consultation and Coordination, to build sustained mutual trust through regular, predictable engagement rather than crisis-driven negotiation. A third pathway involves expanding economic and people-to-people ties as a means of creating broader constituencies within both countries that have a vested interest in stability, even if this does not directly resolve territorial claims. A fourth pathway, which remains more distant, involves formal boundary delimitation and demarcation across the entire frontier, potentially modelled on agreements China has previously reached with other neighbors, such as its 2004 boundary settlement with Russia, though the scale, historical baggage, and strategic stakes involved in the India-China case make such a comprehensive settlement considerably more difficult to achieve in the near term. Ultimately, most independent analysts and former diplomats suggest that a full and final resolution remains unlikely in the foreseeable future, and that the more realistic and achievable goal for both governments is to manage the dispute responsibly, preventing it from triggering renewed military conflict, while allowing the broader relationship to develop in parallel. 

Conclusion 

The question of whether China and India can ever resolve their border disputes does not have a simple answer. The historical depth of the disagreement, the scale of the territorial claims involved, the absence of a mutually agreed boundary line, and the weight of domestic political sensitivities on both sides make a comprehensive final settlement extremely difficult to achieve soon. At the same time, the events of the past two years, including the October 2024 disengagement agreement, the resumption of leader-level dialogue at Kazan and Tianjin, and the continued institutional engagement through mechanisms such as the Working Mechanism for Consultation and Coordination in 2026, demonstrate that both countries retain a strong shared interest in preventing their disagreements from escalating into open conflict. Rising trade, now exceeding US$ 155 billion annually, further reinforces the incentive for stability. The most plausible trajectory for the coming years is therefore neither a dramatic breakthrough nor a return to open confrontation, but a continued process of careful, incremental management, punctuated by periodic disengagement agreements and confidence building measures, that gradually narrows the scope of active disagreement even as the underlying territorial claims remain formally unresolved. Whether this process eventually culminates in a full and final settlement of the boundary or simply produces a durable and peaceful modus vivendi along a still-contested frontier, will depend on the political will of leaders in both New Delhi and Beijing over the coming decades. 

Music Transcending Borders: From the Gang Wars of Lyari to Baarats and Clubs

0

By: Nandika Dusi, Research Analyst, GSDN

Music notes: source Internet

From the violent streets of Lyari in 1980s to the pompous wedding in Hyderabad, music makes its way into everyone’s heart, be it friend or foe. The song “Dilan Teer Bija”, which initially began as an unintentional election symbol for the Pakistan People’s Party (PPP) to support Benazir Bhutto and her bloc which travelled down to Old Hyderabad as a wedding song in the marfa tradition with an extra added dhol and now was trending all over our Instagram algorithm.

This track was one of the first upbeat campaign anthems in the country’s history. The public heard it as a battle-cry against the military dictatorship of General Zia-ul-Haq. Sung by Shabana Noshi and Zahoor Khan Zeibi, the track had blended Balochi folk beats with the high tempo music of disco.

History of The Song

The song originally began as an independent project of by Zahoor Khan Zeibi and distributed to the disco scene of Lyari, then later compiled into a 5-Set Album in a studio with Noni Products. The song translates exactly to a “an arrow to the heart”, the symbol of PPP was an arrow. The purpose was to remind people of what to stamp on when they vote. The song was recorded in Lyari, a Karachi neighborhood which was heavily populated with working-class Baloch Citizens who were the fierce and loyal Bhuttoists of Benazir Bhutto.

The creator has poured his all into the track, calling the Bhutto family his second love, mentioning how he wants the daughter of the nation, Benazir Bhutto, to rise to her leadership. The song was written when she returned from her exile April 10, 1986, to the massive, restless crowds. The extremity of the nature of the people and political and civil unrest inspired the high-rhythm song which matched the raw, defiant energy of the crowd ready to fight the military dictatorship of General Zia-ul-Haq.

Impact of the Song

The song had the direct message of anti-dictatorship when it was re-released in the 5-Set Album to support Benazir Bhutto’s campaign for the 1988 elections. The release in Lyari was intentional as there was massive support for PPP in this region full of Jiyalas who want freedom from the military dictatorship. The song achieved massive, nationwide public broadcast status when the PPP integrated it into Benazir Bhutto’s active campaign trail. 

The 1988 elections followed 11 years of oppression through military rule. This song had injected a new electrifying energy among the agitated crowd of those against the dictatorship. The heavy dhol beats and disco lines turned rallies into spaces of celebration, drawing massive, highly motivated crowds. The song played the effective role of a repetitive audio advertisement by reinforcing the arrow (teer) with an incredibly catchy beat. It placed the voting symbol into public consciousness, ensuring voters know what stamp to look for on voting day. According to public archives the rival parties like the MQM and Jamaat-i-Islami were forced to hire musicians and release their own public campaign anthems to compete for the attention and votes of the public in the 1990s.

The track defined the soundtrack of the 1988 elections, symbolizing an era of hope, restoration of democracy, and the rise of the world’s first modern Muslim leader. In 1988, Benazir Bhutto was elected as the first woman elected to lead a Muslim state and was also Pakistan’s first female prime minister.

Entering Hyderabad: All the way down South India

The decade that this song released, in the 1990s, the Gulf oil boom triggered massive migration from India and Pakistan to the middle east for blue collar work. A large number travelled from regions of Hyderabad and Karachi. They lived, worked, and existed in a common area.

Scholars say that music travelled through conversations just like how food, stories, and ideas were exchanged culturally. The tune popularized in Andhra Pradesh after the release of Chiranjeevi’s “Raja Vikramarka” song, where the actor oblivious or not, performed in a pattern resembling marfa dance along with a spin off on the melody of “Dilan Teer Bija”, where many journalists believe he popularized the song in Hyderabad. The next year in 1991, Amitabh Bacchan’s Indrajeet, where the music was done by RD Burman, the track “Main Na Jhooth Bolun” is once again following the marfa tunes. When an old city music lover were asked about the popularity, they say it simply came along with the popularity of “Hawa Hawa” by Hasan Jahingir.

Did the song travel or the tune?

As of today, the tune is much more popular, it’s played by live bands, trending on our algorithms, or remixed by DJs, and is played in full volume even with political undertones. The drum used is widely a part of culture in the Middle East, Central Asia, India folk, and Sufi traditions, the beat is said to not be new at all.

It is said that the Chaush or Chaus men, a community from the Hadhrami Arab descent, who stayed in Pakistan during the 1948 following the annexation of Hyderabad state into India, linked their musical traditions with the local Baloch community, popularizing the pulses of Dilan Teer Bija and later hyped by the Chaush men who live in the deccan part of India, who came long before the independence, brought by Yemen to serve as military men in former Hyderabad state under the Nizams, inculcated marfa beats in the 18th century as a part of Deccan culture.

Overall, the song slowly slipped into the culture sharing the upbeat rhythm and tempo, with the traditional drums with the local Hyderabad marfa beats. It was played at wedding processions and pre-wedding festivities, earning itself the title of “the Bhutto song” without any political concepts in it, eventually stripping away the identity of a election campaign and transforming into a party staple for wedding dancers.

Conclusion

Ultimately, Dilan Teer Bija, despite the themes of politics, tells us a different story about how music transcends borders and norms thanks to the people keeping it alive wherever they go. As a result of migration, the song survives through CDs, wedding tapes, memories, and now Instagram reels and YouTube shorts without the question of who Bhutto is or what PPP stands for, the simple expectation is to dance your heart out and it’s the sentiment which remains relevant today.

Why the GIUK Gap Matters to the USA 

By : Bhavika Bhartiya, Research Analyst, GSDN

GIUK Gap : Source Internet

A body of water refereed as GIUK Gap separates the countries of Greenland, Iceland, and the UK. While it may sound like an insignificant stretch of water, it is one of the most crucial and problematic areas for the control of naval power operations in the North Atlantic. As for the US, the GIUK Gap is of huge importance for the protection of the country’s coastline and ships, and its alliance with Europe. This article explains, in simple terms, why the GIUK Gap still matters so much to America today. 

Importance during the Cold War 

The rise of the GIUK Gap dates to the Cold War period, when the Soviet Union had most of its powerful submarines placed at the bases in Kola Peninsula located on the far north of Russia. To reach the Atlantic Ocean and threaten the US and the European countries, these submarines had to pass through the GIUK Gap. This became the reason for the USA and its NATO allies to develop SOSUS (an underwater sound surveillance system) that was supposed to detect submarine activities in the area. This made the Gap a frontline in the naval side of the Cold War. 

Why Russia Cares About It Again 

During the period after the defeat of the USSR, NATO showed a diminishing interest in this area and reduced the number of submarines. However, Russia revitalized its Northern Fleet and went back to the usage of submarines in the GIUK Gap. The reports point to the increasing level of Russian submarines’ activity in the area like that during the Cold War period, and some experts even started to call the situation a new “Battle of the Atlantic”. Furthermore, Russia has obtained advanced icebreakers and continues its activity in building new bases in the Arctic area due to the melting ice, and this has generated new navigational ways. Thus, the old combat area has become relevant in modern times. 

Why This Matters to the United States 

From the point of view of the United States, the security of the GIUK Gap serves various purposes. First and foremost, the Gap is necessary to ensure the safety of the sea lanes used by the USA to transfer soldiers and deliveries to Europe, something that has been utilized since World War II. Furthermore, the Gap is essential for blocking Russian submarines from reaching the United States since such a submarine carries missiles that can strike the United States. Finally, the area guarantees protection to the essential underwater cables that are responsible for the data flow between Europe and America and are always subjected to sabotage attempts. In brief, maintaining security in the GIUK Gap is very important for the United States for the reasons of protection of both its own territory and its ability to help its allies. 

The Role of Iceland, Greenland and the UK 

Because of its location, this area relies predominantly on a few important alliances. Iceland does not have a military force but serves as a significant air hub, known as Keflavik, that is utilized by the United States and NATO for monitoring the nearby air space and water body. Greenland, which is part of Denmark, is directly located in front of the Arctic and has been a subject of interest in recent times as Donald Trump made headlines with his desire to acquire it because of its important location. The UK has been spending financial resources and investing in submarine defense technology to protect its section of the Gap. These three geographic areas help in the accomplishment of American and NATO goals and missions in the region. 

A Renewed Focus in NATO 

NATO has stepped up its focus on this region as well. There are more naval patrols in the Gap, and plans for initiatives like “Operation Arctic Sentry” have been suggested, to keep up to date with Russia’s activities. Military exercises like Nordic Response gather thousands of soldiers from various NATO nations to practice fighting in cold, icy conditions. There is sufficient evidence to support the claim that both the U.S. and its allies are aware of the importance of the GIUK Gap and its growing significance as the security issue of today. 

Conclusion 

The GIUK Gap is only a small section of the ocean, but it still plays major role in Americans’ strategic thought processes. It used to be the gateway for submarines in the past and will still perform the same function for the new Russian Navy. For the U.S. securing this route means protecting not only its territory and communications but also enabling it to help its European partners during the crisis. As the Arctic opens due to climate change and Russia become more active in the region, the GIUK Gap is likely to remain an important area for American security planning in the years ahead. 

Commanding the Skies: India’s Airpower and Strategic Ascendancy 

By : Soumya Dutta, Research Analyst, GSDN

Indian Air Force : Source Internet

In July 2026, an aggregated ranking by the World Directory of Modern Military Aircraft (WDMMA), placed the Indian Air Force (IAF) as the third most powerful air force globally, thereby reaffirming its position as one of the critical pillars when it comes to India’s military capability and strategic posture. This comes at a time when airpower is increasingly shaping the trajectory of modern warfare, where speed, precision and the technological superiority determine the operational outcomes. By combining these factors with reach and flexibility in a way that fundamentally alters how military force is applied, it has helped states to project power rapidly across theatres and respond with minimal delay. At the same time, this capacity to protect airspace refers to not only protecting friendly forces but also restricting the ability of an adversary to operate effectively. 

In the case of the Indian Air Force (IAF), this cannot be understood merely through platforms, inventories and operational successes. Instead, airpower by its nature is cumulative and doctrinal, which in the case of India has neither been linear or insulated but shaped by changing perceptions of threat, technological disruptions and the reorientation of warfare towards multi-domain integration. With a diverse inventory ranging from legacy platforms to advanced multi-role fighters, along with a growing ecosystem of indigenous capabilities, the IAF today is a blend of both continuity and transition. Understanding this trajectory is crucial, as airpower serves as a critical enabler and decisive instrument of force in contemporary times. 

The Evolution from Airpower to an Aerospace Power 

Established in 1932 as a small auxiliary force, the IAF began with limited aircraft and personnel. However, with the outbreak of WW2 in 1939 it was expanded gradually and during the war years grew from a handful of units to nine squadrons, including aircraft such as the Hurricanes and Spitfires. With the independence in 1947, the Royal Indian Air Force (RIAF) as it has been named so for its services during the war years, was divided between India and Pakistan, which ended up significantly reducing its strength. However almost immediately India’s airpower was put to test as both the countries clashed over the future of Kashmir. The 1950s was also the period when the IAF acquired the British and French aircraft to enhance its combat capabilities. 

The evolution continued, as the 1962 tensions with China resulted in an accelerated expansion of both the Army and the Air Force, with India even procuring the MIG-21 fighters from the Soviet Union. It was during this period of ongoing expansion and transition, that in 1965 the IAF was successful in halting the offensive launched by Pakistan, but the effectiveness was largely constrained especially as technical, organizational and coordination challenges remained. Then came the 1971 Indo-Pakistani war, which marked a move towards a decisive and integrated airpower, represented by the counter-air operations and close support to ground troops. The IAF was able to achieve uncontested control of the skies and the simultaneous air campaign in both the east and west through an advanced fleet successfully absorbed and neutralized the adversarial strikes. Modernization continued during the 1990s, under Operation Safed Sagar in the backdrop of the Kargil War, which aimed to degrade enemy positions, supply lines, and logistics in coordination with the ground forces. A key feature of the campaign was the integration of reconnaissance, strike and air defence missions, especially through the role of MiG and Mirage fleets which were quite successful under demanding conditions providing the necessary tactical flexibility. 

However, to develop a more systematic understanding, it is important that we examine the doctrinal evolution of the IAF which has caught up with these developments in stages rather than a single leap. The formal doctrine was released in the year 1995, followed by 2007, 2012 and recently in 2022. The IAF was the first among the three services to do so, and in the doctrine laid down the foundational aspects which included the theory of war, the defining characteristics of airpower and their integration with the broader military strategy. Building on this, the subsequent doctrines attempted to adapt rapidly to the changing strategic and technological environment. The 2012 document on Basic Doctrine was significant, as it expanded the scope of air power to include issues of intelligence, surveillance and reconnaissance (ISR), control of air and importantly the role of soft power realized through Humanitarian Air and Disaster Relief (HADR). Certain systems of modernization that have been adopted, were also mentioned such as the Air Force Network (AFNet), an encrypted network to transfer data and the Integrated Air Command and Control System (IACCS), to act as a ‘central control’ system for air defence. 

In 2022, the doctrine marked a more fundamental shift in thinking, emphasized by a shift in focus towards being an ‘aerospace power’. In an address in New Delhi, the same year India’s Defence Minister Rajnath Singh, drawing lessons from conflicts in Syria, Iraq, Afghanistan and Ukraine underscored how modern technologies act as force multipliers and their integration among the armed forces enhance operational efficiency and synergy. He stated that the Indian Air Force should become an ‘Aerospace Force’ and be ready to protect the country from evolving threats. This was because of the large acceptance, that the air and space domain gets integrated at 100 km (above sea level) called the Karman line, which meant exploiting space capabilities from C3NI² (Command, Control Communication, Networks, intelligence and Interoperability) system, secure communication to threat detection, is central to future national security and military strategy. Most important were its features of reach, rapid responsiveness, offensive capability through moral ascendancy and undertaking operations across multiple domains which gave an edge to the aerospace factor in combat. A cornerstone of the document has been the No War-No Peace (NWNP) environment, where India uses calibrated kinetic and non-kinetic aerospace capabilities against adversaries while keeping below the threshold of conflict and avoiding full scale escalation. It is a scenario of persistent tension where countries are not engaged in war, but there is no peace either and for the IAF it means ensuring deterrence, rapid response and maintaining continuous readiness to avoid any outright conflict. 

This meant that air power is no longer understood only in terms of aircraft and airfields but also in regard to space-enabled systems and the ability to respond across domains. The shift is important, as this shows that India now sees future conflicts not only as a contest for control of the skies alone, but also a wider struggle for information, reach, speed and coordination. This shows the basis for more assertive use of air power in recent years. 

Stealth, Self-Reliance and Strategy 

In a major structural change, the Aeronautical Development Agency (ADA) has issued a Request for Proposal (RFP) to develop the prototypes of the fifth-generation fighter aircraft. While Hindustan Aeronautics Limited (HAL) has been kept out, the leading contenders now include TATA group and the consortiums led by Bharat Forge and Larsen & Toubro. This marks a major push for the private defence industry, as they can transition from suppliers to central participants responsible for the end-to-end manufacturing process. The operational advantage of the fifth-gen fighters, is why there is a clear move towards acquiring these aviation assets which range from stealth to high maneuverability, their super cruise ability which helps sustain supersonic speed without the use of afterburners and advanced sensors, communication systems. At present the F-22 and F-35 of the United States, the Su-57 of Russia and the J-20 of China are part of the fifth-generation fighter jets. This reflects a shift from acquisition to building capability-based force structuring. 

Conversely, the IAF’s overall fighter squadron strength is 31 and has shrunk below the targeted strength of 42. The focus has therefore been to strengthen the fleet, which includes procuring 114 Rafale jets through a major defence proposal with about 96 of them to be manufactured locally, along with 97 Tejas MK-1A Light Combat Aircraft (LCA) through a contract with HAL and even the ambitious modernization of the Sukhoi Su-30MKI fleet, dubbed the ‘Super Sukhoi’ program. This comes amid the indigenization push from developing repair and overhaul (ROH) facilities to strengthening domestic capability.  

In the context of India’s evolving security environment, this becomes critical especially through the possibility of a ‘two-front war’. A scenario of this sort has been described based on the concern, that a coordinated action between China and Pakistan can be undertaken and although it not some sort of an inevitability but it means addressing simultaneous pressures along the borders. The role of the IAF will be instrumental therefore, not only for its deterrence but also for building a dissuasive posture. By projecting power across long distances, shifting assets swiftly between the fronts and providing support through joint operations where needed would make its role critical to managing evolving security challenges. Simultaneously, as the character of conflict becomes increasingly multi-domain, the effectiveness of airpower will be determined not in isolation, but by its ability to operate as part of a more integrated framework. 

A Joint Approach to Battlespace 

Modern warfare now consistently underscores integration, and with airpower acting in a unified strategy with the land and maritime capabilities, it would allow the optimal use of the distinct advantages of each domain. This logic of integration also reflects the unique NWNP environment that characterizes India’s security landscape. Within this context, the Balakot air strikes were an important turning point, where air power was used against an adversary under sub-conventional conditions. Six years later under the ‘Op Sindoor’ this trajectory was further reinforced, as previous operational lessons highlighted the limitations of using airpower in relative isolation and thereby underscoring the need for tighter cross-domain coordination. Consequently, what has emerged is the multi-domain operations (MDO) whereby capabilities across air, land, maritime, cyber and space are being synchronized with the IAF acting as a critical enabler of this approach. Through these concrete developments, alongside the broader movement towards jointness, the gradual integration of air and space and the emergence of an aerospace power construct within the broader MDO framework, now shapes the IAF’s strategic outlook. 

Keeping in mind this new security environment that now consists of both conventional and hybrid threats, a Joint Doctrine for Airborne (AB) and Heliborne (HB) operations has also been released by the Headquarters Integrated Defence Staff (HQ IDS) in August 2025. The Russia-Ukraine war has shown the effectiveness and the need for support of these operations from rapidly deploying troops, securing key objectives to operating in areas that are difficult to access. At the same time, it has shown its limitations when conducted without adequate logistics and coordination. The institutionalization of these joint doctrines thus signals a shift where jointness is not treated as an eventual goal but as an operational baseline.  For the IAF now redefined as an aerospace power, this reflects the convergence of once distinct capabilities into a single, unified force structure. 

What Lies Ahead 

Despite these advances, significant challenges remain. The squadron strength still continues to trail behind the sanctioned levels which means reduced flexibility when simultaneous demands emerge across theatres, with also the indigenous fifth-generation programme remaining at the prototype stage. Interoperability across services remains uneven with joint training, communication protocols and logistics chains still requiring catching up with ambitions laid out in doctrine. Alongside these budgetary constraints remain, even though India is the fifth largest defence spender as per the SIPRI Yearbook 2026, but a substantial proportion is absorbed by salaries, pensions and operational costs. Then the rising costs of advanced combat assets, such as the increase in aircraft price from earlier acquisitions such as Sukhoi-30 to the more recent Rafale, mean a more calibrated procurement strategy is needed. 

Reaffirming its position as one of the leading air forces globally, the IAF has successfully positioned itself as a comprehensive aerospace power and had even put forward a demand to rename itself as the Indian Air and Space Force (IASF). This is amid the IAF and its efforts to develop space-related technologies in collaboration with ISRO, DRDO and IN-Space. Conversely, these developments align with the indigenization goals to ensure that from satellite tracking frameworks to air defence networks and aircraft fleets it is a leap towards self-reliance and domestic manufacturing as well. Thus, the IAF’s trajectory reflects a transitional moment in the 21st century as it being shaped not only by a doctrinal evolution but in its effort to align and operationalise these visions in an increasingly complex security environment. 

INDIA-JAPAN TIES: AN ANALYSIS 

By : Jaiwant Singh Jhala , Research Analyst , GSDN

India-Japan : Source Internet

India and Japan share one of the most important strategic partnerships in the Indo-Pacific region. Although the two countries have different histories, cultures, and geographical locations, they are connected by shared democratic values, mutual trust, and a common vision for peace, stability, and economic prosperity. Over the last three decades, their relationship has expanded from limited economic cooperation into a comprehensive partnership covering trade, infrastructure, defence, technology, energy, education, and regional security. Today, Japan is one of India’s most trusted development partners, while India has emerged as a key strategic partner for Japan in Asia. 

The importance of this partnership has increased because of the changing global politics. China’s growing influence in the Indo-Pacific, disruptions in global supply chains after the COVID-19 pandemic, and rapid technological competition have encouraged both countries to work more closely. India and Japan support a rules-based international order where international law is respected, sea routes remain open, and disputes are settled peacefully. Recent meetings between the leaders of the two countries in 2025 and 2026 have further strengthened cooperation in areas such as artificial intelligence, semiconductors, clean energy, defence technology, and economic security. 

Historical Evolution 

The relationship between India and Japan has deep cultural roots. Their earliest connection came through Buddhism, which spread from India to Japan through East Asia more than a thousand years ago. Buddhism greatly influenced Japanese religion, philosophy, art, and architecture, creating a lasting cultural bond between the two countries. Modern diplomatic relations began in 1952 after Japan regained its sovereignty following the Second World War. India was among the first countries to establish peaceful diplomatic relations with Japan by signing a separate peace treaty. During the Cold War, however, relations remained limited because India followed a policy of non-alignment while Japan remained closely allied with the United States. The situation changed after India’s economic reforms in 1991. As India opened its economy, Japan recognized the country’s growing economic potential and increased investments in manufacturing and infrastructure. In 2000, both countries established a ‘Global Partnership’. This was upgraded to a ‘Strategic and Global Partnership’ in 2006 and further elevated to a ‘Special Strategic and Global Partnership’ in 2014. These developments reflected the growing political trust and expanding cooperation between the two nations. 

Economic Cooperation 

Economic cooperation remains the strongest pillar of India–Japan relations. Japan is one of India’s largest investors and one of the biggest providers of Official Development Assistance (ODA). Japanese companies such as Suzuki, Toyota, Honda, Sony, Panasonic, Hitachi, and Mitsubishi have made major investments in India’s automobile, electronics, manufacturing, and technology sectors. Among these companies, Maruti Suzuki has played a particularly significant role in transforming India’s automobile industry. Japanese investment has not only created employment opportunities but has also introduced advanced technology, modern management practices, and high manufacturing standards. Japan has also contributed significantly to India’s infrastructure development. Through low-interest loans and technical assistance, it has supported landmark projects such as the Delhi Metro, the Delhi–Mumbai Industrial Corridor, the Dedicated Freight Corridors, and metro rail projects in several Indian cities. These projects have improved connectivity, strengthened industrial growth, and boosted India’s economic development. The Mumbai–Ahmedabad High-Speed Rail Corridor, commonly known as the Bullet Train project, remains one of the biggest symbols of India–Japan cooperation. Built using Japan’s famous Shinkansen technology, the project reflects the high level of trust between the two countries. Although construction has faced delays because of land acquisition and administrative challenges, both governments reaffirmed during their meetings in 2025 and 2026 that the project remains a priority. Economic cooperation has recently expanded into emerging sectors such as artificial intelligence, semiconductor manufacturing, quantum technology, digital infrastructure, and critical minerals. Both countries are working together to build resilient supply chains and reduce dependence on a small number of countries for advanced technologies. During the 2026 India–Japan Annual Summit, new initiatives were announced to strengthen cooperation in these sectors, reflecting the importance of technology in future economic growth. India’s large market, skilled workforce and rapidly growing manufacturing sector complement Japan’s advanced technology, financial strength and industrial expertise. This combination has made the economic partnership stronger than ever and has laid the foundation for broader strategic cooperation. 

Defence and Security Cooperation 

Over the past decade, defence and security cooperation has become one of the most significant aspects of India–Japan relations. The changing geopolitical environment in the Indo-Pacific has brought the two countries closer than ever before. Both India and Japan are concerned about the growing security challenges in the region, including China’s increasing military presence, tensions in the East and South China Seas, cyber threats, and the need to protect important sea lanes through which a large portion of global trade passes. India and Japan support a free, open, and inclusive Indo-Pacific where international law is respected and disputes are resolved peacefully. Their shared commitment to a rules-based international order has strengthened strategic trust and encouraged closer military cooperation. The two countries regularly conduct joint military exercises involving their navies, armies, and air forces. The Japan-India Maritime Exercise (JIMEX) has become an important platform for improving coordination between their naval forces. Japan is also a permanent participant in the Malabar Naval Exercise, along with India, the United States and Australia. These exercises enhance interoperability, improve maritime security, and prepare the participating countries for humanitarian assistance and disaster relief operations. Another major milestone was the signing of the Acquisition and Cross-Servicing Agreement (ACSA), which allows the armed forces of both countries to use each other’s military facilities for logistics, fuel, maintenance, and supplies during joint exercises and humanitarian missions. In recent years, defence cooperation has expanded further to include cyber security, space security, maritime domain awareness, intelligence sharing, and defence technology. During the 2026 India–Japan Annual Summit, both governments agreed to strengthen cooperation in defence innovation and emerging technologies, reflecting the increasing strategic importance of the partnership. 

Challenges 

Despite remarkable progress, some challenges continue to affect the relationship. Bilateral trade remains below its true potential, and Japanese companies sometimes face delays related to land acquisition, regulatory procedures, and project implementation in India. Differences in language, work culture, and business practices can also slow commercial cooperation. Another challenge is managing relations with China. While India and Japan share concerns regarding China’s growing strategic influence in the Indo-Pacific, both countries also maintain important economic ties with Beijing. Therefore, they must carefully balance strategic competition with economic engagement while avoiding unnecessary tensions. 

Despite these challenges, the future of India–Japan relations appear extremely promising. India’s rapidly growing economy, expanding manufacturing sector, young workforce, and digital transformation complement Japan’s advanced technology, financial resources, and industrial expertise. Both governments have identified cooperation in defence production, artificial intelligence, semiconductors, clean energy, critical minerals, cybersecurity, and resilient supply chains as priorities for the coming decade. The recent developments of 2025 and 2026 clearly demonstrate this commitment. New agreements on economic security, emerging technologies, defence innovation, and supply-chain resilience show that both countries are preparing together for future global challenges. Japan has also continued to support India’s aspiration for permanent membership of a reformed United Nations Security Council, highlighting the growing political trust between the two nations. India–Japan relations have evolved into one of the strongest and most comprehensive strategic partnerships in Asia. Built on shared democratic values, mutual trust and common strategic interests, the partnership now extends far beyond trade and investment. Japan has played a vital role in India’s economic development through infrastructure financing, technology transfer, and industrial investment, while India has become an indispensable strategic partner for Japan in maintaining peace and stability in the Indo-Pacific. Although certain challenges remain, they are outweighed by the vast opportunities for cooperation. The expanding collaboration in defence, advanced technologies, clean energy, infrastructure, and regional diplomacy demonstrate that the partnership is becoming deeper and more future-oriented. As global politics continues to evolve, India and Japan are expected to work even more closely in promoting a peaceful, stable, and prosperous Indo-Pacific. Their growing partnership is not only beneficial for the two countries but also contributes significantly to regional security, sustainable development, and a more balanced and rules-based international order. 

Why is Trump Cold towards India in his Second Tenure? 

By : Shaurya Pandey, Research Analyst, GSDN

India-US : Source Internet

Introduction 

When Donald Trump returned to the White House in January 2025, New Delhi was among the capitals that welcomed his victory with the greatest enthusiasm. Prime Minister Narendra Modi publicly congratulated his friend on social media, and External Affairs Minister Subrahmanyam Jaishankar told reporters that, unlike many other nations, India was not nervous about a second Trump presidency. The optimism rested on the perceived personal chemistry between Modi and Trump, visible in the Howdy Modi rally in Houston on September 22, 2019, and the Namaste Trump event in Ahmedabad on February 24, 2020, as well as on the belief that a shared strongman political style and a shared wariness of China would keep the relationship on an upward trajectory. Barely a year later, optimism has evaporated. The United States has imposed the highest tariffs of any major trading partner on Indian goods, the two leaders reportedly went months without speaking to each other, and Washington has simultaneously courted Pakistan’s civilian and military leadership in ways that have unsettled New Delhi. This article examines why the second Trump administration has turned unexpectedly cold towards India, tracing the interplay of trade disputes, the fallout from the India-Pakistan military conflict of May 2025, Washington’s tilt towards Islamabad, disagreements over Russian oil purchases, a weakening strategic consensus on China, and the personality-driven nature of Trump’s diplomacy. 

A Reset That Never Materialized 

Modi travelled to Washington on February 12, 2025, only weeks after Trump’s inauguration, hoping to lock in early momentum. The visit began awkwardly, overshadowed by images of shackled Indian deportees being flown home on a United States (US) military aircraft just before the summit. In the Oval Office meeting held on February 13, 2025, Modi offered to expand purchases of American weapons, oil and natural gas while pressing Trump to spare India from punitive tariffs. The two sides did launch an ambitious-sounding initiative, the US-India Catalyzing Opportunities for Military Partnership, Accelerated Commerce and Technology (COMPACT) framework, intended to deepen defence manufacturing, artificial intelligence cooperation and energy trade. Yet Modi did not secure the one assurance he wanted most: protection from tariffs. Within weeks, Washington signaled that Indian exports would face a 27 percent reciprocal tariff unless a better arrangement could be negotiated, a rate notably higher than the 10 percent initially applied to Chinese goods. The gap between the warmth on display at the podium and the harshness of the trade signals emerging almost simultaneously set the tone for the year that followed. 

The Tariff Shock and Trade Discord 

Trade quickly became the most visible irritant in the relationship. After a ninety-day pause on Trump’s broader Liberation Day tariff programme, Washington confirmed a 25 percent tariff on Indian goods in early August 2025, only to double it to 50 percent by the end of August 2025, explicitly as a penalty for India’s continued purchase of discounted Russian crude oil. Jaishankar publicly described the increase as unfair and unreasonable. Commerce officials in the administration, notably trade advisor Peter Navarro and Commerce Secretary Howard Lutnick, framed India as an economy resistant to opening its markets, with Lutnick pointedly questioning why a nation of 1.4 billion people would not import even modest quantities of American agricultural produce. Modi, in turn, declared that India would never compromise on the interests of its farmers, signaling that agriculture and dairy, sectors employing more than 40 percent of India’s workforce, would not be sacrificed for a trade deal. Trump escalated the rhetoric further by describing the Indian and Russian economies as dead in a social media post, prompting anger in New Delhi. Five rounds of bilateral trade negotiations through mid-2025 failed to produce an agreement, even as both governments continued to signal, by the final quarter of the year, that a deal worth potentially several billion US dollars in annual trade remained within reach. 

Operation Sindoor and the Ceasefire Controversy 

The single most consequential rupture came from South Asia’s security landscape rather than economics. On April 22, 2025, terrorists killed twenty-six people, most of them Hindu tourists, in Indian-administered Kashmir. India responded on May 7, 2025, with strikes on what it described as militant camps in Pakistan and Pakistan-administered Kashmir, under an operation New Delhi named Operation Sindoor. Four days of drone and missile exchanges followed before both sides stepped back from further escalation. Before either New Delhi or Islamabad issued an official statement, Trump announced on social media that the two countries had agreed to a full and immediate ceasefire, credited his own administration with brokering it, and suggested he would help mediate the underlying Kashmir dispute. Pakistan welcomed the claim; India rejected it outright. New Delhi’s position, held consistently for more than two decades and previously respected by successive US administrations, is that any dispute with Pakistan must be resolved bilaterally, without third-party mediation. The Modi government’s official language described the pause in hostilities as an understanding reached directly between the two militaries, not an agreement brokered by Washington. Trump’s insistence on taking credit, and his repeated references to it in subsequent months, is widely seen as having personally offended Modi, who reportedly avoided taking calls from the American president for more than two months afterwards. Because the episode touched Modi’s domestic image as a decisive, strong leader, analysts have argued that this personal affront did more lasting damage to the relationship than the tariff dispute itself. 

Washington’s Pivot towards Islamabad 

Compounding New Delhi’s unease has been a marked warming in US ties with Pakistan. Trump hosted Pakistan’s army chief, Field Marshal Asim Munir, for a lunch at the White House in June 2025, the first time a sitting US president had hosted a Pakistani military chief without accompanying civilian leadership. Munir was received again within two months, seated prominently at a change-of-command ceremony hosted by the US Central Command in Florida. On September 25, 2025, Trump welcomed both Munir and Pakistani Prime Minister Shehbaz Sharif to the White House together, formalizing what commentators described as a significant recalibration of Washington’s South Asia policy. Islamabad secured the lowest tariff rate of any major market it trades with, Washington designated the Balochistan Liberation Army a foreign terrorist organisation, a long-dormant joint counter-terrorism dialogue was revived, and American officials signalled fresh interest in Pakistani critical minerals and hydrocarbon reserves. For a bilateral relationship long defined by mutual suspicion and periodic drift, the pace of engagement in 2025 was striking, and it arrived just as ties with India were fraying. Whether this warmth endures is uncertain, since the same pattern of transactional, minerals-driven American interest in Pakistan has waxed and waned before, but it’s timing left New Delhi with the uncomfortable sense that its strategic value in Washington was being taken for granted. 

The Russian Oil Question 

India’s continued purchase of discounted Russian crude oil, a practice that expanded significantly after Western sanctions followed Russia’s invasion of Ukraine, became a central flashpoint. The Trump administration, having shifted its own posture on the Ukraine war, applied direct pressure on New Delhi to curtail these purchases, framing India’s position as effectively subsidizing the Russian war effort. Officials close to Trump argued that India had become a conduit for laundering discounted Russian oil into global markets, though other major economies, including China and Türkiye, also continue to purchase significant volumes of Russian crude without facing comparable tariff penalties, a double standard New Delhi has pointed to repeatedly. By October 23, 2025, reports suggested Indian refiners were moving to reduce their dependence on Russian crude towards near-zero levels, partly under sanctions pressure and partly as a goodwill gesture ahead of a possible trade agreement. The episode illustrated how a foreign policy dispute rooted in a conflict thousands of miles away, in Ukraine, was allowed to spill directly into the core of the US-India economic relationship, with the US trade deficit with India, then estimated at close to US$ 46 billion, adding further pressure on negotiators. 

A Fading China Convergence 

For two decades, shared concern over the rise of China provided the strategic glue binding Washington and New Delhi together, sustaining the relationship through disagreements over trade, human rights and Russia policy. That convergence has weakened under the second Trump administration. Trump has expressed a clear personal preference for a broader deal with Chinese President Xi Jinping, and a draft of the United States’ National Defense Strategy under consideration in September 2025 reportedly contemplated a version of great-power accommodation with Beijing in the Asia-Pacific region. Simultaneously, Trump reversed an earlier ban on selling advanced computer chips to Chinese firms, actions that led many observers to question the depth of his administration’s commitment to countering Chinese influence in Asia. For India, whose own outreach to China has included Modi’s visit to Tianjin on August 31, 2025, to attend the Shanghai Cooperation Organization (SCO) summit and his first visit to China in seven years, the erosion of a shared American resolve on China removes one of the strongest incentives Washington previously had to manage disagreements with New Delhi carefully. 

Personality, Ego and Domestic Politics 

Several analysts argue that the deterioration cannot be explained by policy disagreements alone and instead reflects the personality-driven nature of Trump’s diplomacy. His repeated, unsolicited claims of having ended the India-Pakistan conflict, and his apparent frustration at New Delhi’s refusal to credit him publicly, appear to have coloured his broader approach towards India through much of 2025. Unlike the previous administration of former President Joe Biden, which was comparatively attentive to Modi’s domestic political sensitivities on issues such as the Group of Twenty (G20) presidency and allegations of extrajudicial activity, the Trump White House has shown little inclination to coordinate messaging with New Delhi or soften its public statements for the sake of the relationship. This has created a genuine domestic vulnerability for Modi, since years of messaging in India’s pro-government media have promoted the idea of an exceptionally close personal bond between the two leaders and depicted India as a rising global power. Trump’s blunt public statements, including his description of India’s economy as dead, have made that narrative difficult to sustain. 

Structural Strains and India’s Strategic Autonomy 

Beyond the immediate disputes, the relationship’s difficulties expose deeper structural questions. India’s foreign policy has long rested on a principle of strategic autonomy, avoiding firm alignment with any single power. Under ordinary circumstances, Washington’s traditional willingness to tolerate friction with valued partners, sometimes described by scholars as an act of long-term strategic altruism towards India, allowed New Delhi considerable room to pursue independent policies on Russia, Iran and elsewhere without serious consequence. A more transactional and short-term-oriented Trump administration appears less willing to extend that patience. Analysts at institutions including Chatham House have noted that despite ongoing defence and technology cooperation, through frameworks such as the Transforming the Relationship Utilizing Strategic Technology (TRUST) initiative and the India-US Defence Acceleration Ecosystem (INDUS-X), and despite both countries refreshing their ten-year defence framework agreement on October 31, 2025, the underlying pillars of the relationship, namely shared democratic identity, shared concern over China, and India’s role as a manufacturing alternative to China, have all weakened simultaneously. The result, some argue, is that India’s long-standing preference for equidistance between major powers, while consistent with its principles, risks being read in Washington as disengagement rather than genuine strategic value. 

Signs of Recalibration 

Despite the acrimony, neither side has moved to inflict deeper damage on the relationship. Modi’s government chose not to retaliate against American tariffs or public criticism, and by September 2025 both leaders had exchanged more conciliatory public statements, suggesting an interest in repairing ties. Reports through the final months of 2025 indicated that negotiators were close to a bilateral trade agreement that would lower tariffs on Indian goods in exchange for reduced Indian purchases of Russian oil, though a comprehensive deal had not been finalized by the year’s end. Visits by senior American officials in 2026, including Secretary of State Marco Rubio’s trip to India on May 21, 2026, described by observers as a mission of repair, point to a deliberate, if gradual, effort on both sides to stabilise the partnership even as the underlying sources of friction remain unresolved. 

Conclusion 

The coldness that has characterized Trump’s approach to India during his second term is best understood not as the product of any single dispute but as the convergence of several distinct pressures arriving together. A punishing tariff regime driven by trade imbalances and Russian oil purchases, an unresolved and deeply personal disagreement over credit for the India-Pakistan ceasefire, a surprising American tilt towards Pakistan’s military establishment, and a weakening of the shared China-focused strategic logic that once underpinned the entire relationship have combined to produce the most difficult period in US-India ties in roughly a quarter of a century. Whether the relationship recovers its earlier trajectory will depend heavily on whether both governments can separate transactional irritants, namely tariffs, oil purchases and trade imbalances, from the deeper strategic partnership that both sides still describe as indispensable. For India, the episode has reinforced the value of its long-standing commitment to strategic autonomy, while also exposing the risks of relying too heavily on personal rapport between leaders rather than durable institutional ties. 

Why Israel Doesn’t Want the Wars in the Middle East to End 

By : Bhaskar Jha, Research Analyst, GSDN

Israel : Source Internet

An Analytical Brief 

The spreading catastrophe in the West Asian region has led many people to believe that the reason for this never-ending conflict is an intent of nurturing the conflict. For a major part of the past three decades, the strategic planning in the Israeli camp has revolved around two significant schools of thought, which are conflict resolution and conflict management. While the domain of conflict resolution emphasizes a negotiated closure to the persistent hostilities, the latter focuses on controlling the situation without working on the underlying causes. Scholars like Sapir Handelman talk about how the conflict management school of thought has prevailed within the Israeli security circles after the Oslo proceedings didn’t see fruition. This also reflects in the policy circles and the approach that is taken by the Israelis towards pursuing a settlement with the Palestinians. 

The Military Strategy Magazine has also provided evidence of how this thought manifested itself in practice. Through the accounts of a former commander who served in the Israeli Defence Forces’ Special Forces Directorate, the articles delved into a policy known as the “no comment policy”. This policy entails covert operations, sabotages, air strikes, targeted killings, to deter major confrontations to an indefinite time. This practice treated the absence of war as a temporary condition that required management, rather than a condition to be seeked permanently. 

The collaboration of Van Leer Jerusalem Institute and the Forum for Regional Thinking concocted research which was revered and publicized by more than 100 Israeli and Palestinian academicians. The paper highlighted that the Israeli governments avoided any critical battles with Iran or its regional allies before the massacre on October 7, 2023, because that could have resulted in both the countries marching towards actual settlement under tremendous international and domestic pressure. Therefore, the dormancy before the Hamas attack was an attempt towards maintaining the historical rivalry rather than seeking regional peace  

A similar pattern was noticed by Chatham House as they observed 75 years of Israeli Palestinian relations, as they highlighted how Israeli forces who prevail in the asymmetric warfare between the two entities, have it in their best interests to nurture the rivalry, rather than negotiating the political and economic costs that would be incurred in case a settlement is in order.  

The Camp David Accords in 1978, The Treaty with Jordan in 1994 and the 2020 Abraham Accords are a part of this pattern, where normalizing the relations with Arab states proceeds as the case of Palestine is deferred rather than providing a closure. 

The Leap from Management to Permanent Security 

Several analysts have suggested that the attack on October 7, 2023, led to the dissolution of the containment model employed by the Israelis thus far. This is evident from the commentaries published in 2025 after Israel and Iran locked horns, deliberating on how Israel’s approach to retaliate was not resolution centric, rather aggravating an already sensitive regional rivalry. The posture witnesses the extension of military operation under the umbrella of establishing permanent security across Lebanon, Syria, Qatar, Yemen, etc, with ceasefires being considered as a temporary pause rather than a long-term commitment. 

However, the strategy has not been delivered adequately yet. Iran went through critical missile strikes on its nuclear facilities and senior leadership and survived a regime collapse. They were also able to transform a military attack into a political bargain on their own. Therefore, if the goal of the permanent security model was lasting deterrence, the record has been miserable. 

The Economic Structure to this Continued Conflict  

The domain that is not explored enough in this situation is the institutional and economic structures that have been built around this sustained conflict. The Stockholm International Peace Research Institute has recorded a 65% of real time increase in Israeli military expenditure in 2024, which is the most visible single year rise since the war in 1967. The amount of spending eased by five percent in 2025, after the 2025 Gaza Ceasefire. The military spending reached up to 7.8% of Israel’s total Gross Domestic Product (GDP), which was the highest burden entailed by any country that year. Israeli debt also rose by at least 30% over the same period. This could be dodged if Israelis moved towards initiatives that promise durable peace. However, this would also hinder the defence sector, reserved linked sectors of the economy and settlement-adjacent industries, who hold a direct financial stake in the market of continuous mobilization. 

Israel’s defence exports have grown despite the continuous confrontation. The exports revenue went off the charts as it recorded a record of 14.8 billion dollars in 2024. SIPRI’s 5 – year comparison showed Israel’s share of global arms exports, rising from 3.1% in 2016 to 4.4% between 2021-2025, overtaking the U.K. as they became the seventh largest exporter, as they conduct operations on multiple fronts simultaneously. The air defence systems that have been tested under live fire against Iranian and Houthi missiles, made up almost half these exports. These weapons being battled get a significant advantage over their competitors. These resources have sustained also because of the U.S. support, which have enhanced its stores with an investment above 130 billion dollars, with 12 billion dollars in new Foreign Military Sales, and a further 4 billion dollars in expedited assistance, which were authorized during 2025. 

While none of this proves intent, it does elucidate the stake of defence manufacturers, reservist economies and alliances, in the continuation of these confrontations and contestations, in spite of a strategic rationale offered by a single operation. 

The Domestic-Political Dimension 

Another less examined path is the relation between the confrontation and Prime Minister Benjamin Netanyahu’s corruption trial, which started in 2020, on the charges of bribery, breach of trust and fraud across three separate cases. There have been document accusations from opposition figures through reports from Associated Press and Middle East Eye, including Yair Lapid, about the appeal for national unity in the name of wartime emergency has led to severe malpractices including delayed trial proceedings, shifting public attention away from these accusations, which are rejected by Prime Minister Netanyahu on the ground of political motivation. 

The Times of Israel has also reported that the governing coalition has advanced the repealing of fraud and breach of trust statute, which can afflict the capabilities of judicial oversight of the executive. These tactics are often called out by the opposition leaders as an attempt to the Prime Minister’s effort at a political and legal survival. Research done by Carnegie Endowments for International Peace has also talked about these phenomena depicting a right-wing shift in the Israeli Politics, which exists despite the leaders, embedding incentives against a peaceful and diplomatic resolution. 

Criticisms 

However, there are observations made by other separate camps as well. Many Israeli officials and scholars have rejected the above school of thought. Israel’s strategic doctrine, which has been articulated since the Begin Doctrine in 1981, has considered preventive and pre-emptive measures as a defensive necessity against actors that have declared their intent of harming the nation. Based on this understanding, many controversial decisions taken by the Israeli Government are considered as a national strategy to deter the repeated and documented threats of Iran and its proxies.  

Research Analysts who have favored a negotiated settlement, say that the absence of political will is a strong tenet of this Israeli government, and the long-term demographic and democratic costs of the current skirmish, which the current leadership is aware of. Many scholars have warned against treating Israel as a state with a single intent, as the society has many diverse opinions over the war’s conduct and objectives. There have also been large scale protests directed towards the Govt’s decisions rather than the state’s security posture. 

Conclusion  

There is recorded evidence of institutional and economical stakes involved in continuous low-grade conflicts. However, there are valid counterarguments to the same as well, which define how the environment is perceived by the Israeli leadership and keeps it at war. The perceptions and opinions vary between people, countries, international blocs, and lawmakers. What is to notice is the nature of the conflict in the region, which has evolved over decades, but not resolved, massacring millions of lives. 

Who Won the Israel–Hamas War? 

By : Andey Vivaan, Research Analyst, GSDN

Israel–Hamas War : Source Internet

Introduction 

The war between Israel and Hamas that began on October 07, 2023, became one of the most destructive and politically significant conflicts in the recent history of the Middle East. The war began after Hamas-led fighters launched a surprise attack on southern Israel, killing around 1,200 people and taking approximately 250 hostages. Israel responded by launching a massive military campaign in the Gaza Strip, with the declared objectives of destroying Hamas’s military and governing capabilities and securing the release of the hostages. 

What followed was a prolonged conflict that caused enormous destruction in Gaza, significant military losses for Hamas and a humanitarian crisis that attracted worldwide attention. Israel used its overwhelming conventional military superiority to target Hamas’s leadership, tunnel networks and military infrastructure. Hamas, on the other hand, relied on asymmetric warfare and attempted to survive against a much stronger military force. 

But deciding who actually won the war is not as simple as comparing battlefield gains or casualty figures. Israel achieved major military successes and significantly weakened Hamas, but questions remain over whether all its broader strategic objectives were achieved. Hamas suffered enormous losses but survived as an organization and remained relevant to negotiations surrounding Gaza. Meanwhile, Palestinian civilians paid the greatest price through death, displacement and destruction. 

To understand who really won, we need to look beyond the battlefield and ask a more important question: did either side actually achieve what it set out to do?  

The October 07 Attack and the Beginning of the War 

The conflict began with the Hamas-led attack on Israel on October 07, 2023. Hamas fighters crossed the border from Gaza and attacked Israeli communities and military positions. Around 1,200 people were killed and approximately 250 were taken hostage. 

The attack represented one of Israel’s most serious security failures. For years, Israel had invested heavily in border surveillance, intelligence systems and military technology designed to prevent attacks from Gaza. The ability of Hamas to cross the border and carry out such a large-scale assault challenged the perception of Israeli military and intelligence superiority. 

For Hamas, the attack was intended to change the political situation surrounding the Palestinian issue. Before October 07, regional diplomacy was increasingly focused on possible normalization between Israel and Saudi Arabia. The Palestinian issue appeared to have become less central to regional politics. 

The attack dramatically changed this situation. The Israeli-Palestinian conflict once again became a major international issue, although at an enormous human cost. 

Israel responded by declaring war and launching an extensive military campaign in Gaza. Prime Minister Benjamin Netanyahu made the destruction of Hamas and the return of Israeli hostages’ central objectives of the campaign. From that point onward, the question of victory became closely connected to whether Israel could achieve these objectives. 

Israel’s Military Achievements 

From a purely conventional military perspective, Israel clearly possessed overwhelming superiority. The Israel Defense Forces carried out extensive air strikes and ground operations throughout Gaza, targeting Hamas fighters, commanders, weapons storage facilities and tunnel networks. 

Israel succeeded in eliminating several senior Hamas leaders and significantly disrupting the organization’s military structure. Large parts of Hamas’s infrastructure were damaged or destroyed, while its ability to operate openly was severely restricted. 

Israel also established military control over significant areas of Gaza during different stages of the conflict. These operations gave Israeli forces greater ability to monitor Hamas activity and prevent another attack like October 07. 

The weakening of Hamas’s leadership represented an important achievement for Israel. Hamas had spent years developing a military organization capable of operating through underground tunnels and decentralized command structures. Destroying or weakening these networks requires prolonged military operations. 

But battlefield dominance is not the same as a strategic victory. Israel clearly weakened Hamas, but it did not completely remove the organization as a military and political force. 

Despite suffering severe losses, Hamas was not destroyed. Its continued survival created a difficult question for Israel: if the objective was to eliminate Hamas, could Israel claim complete victory while the organization continued to exist?  

Hamas: Defeated or Still Standing? 

Hamas entered the war facing one of the most powerful militaries in the Middle East. It had no conventional air force, navy or advanced armored forces capable of competing directly with Israel. Its strategy therefore depended heavily on asymmetric warfare. 

The organization used underground tunnels, small fighting units, improvised explosive devices, and rocket attacks. These tactics were designed not necessarily to defeat Israel’s military conventionally, but to survive and prolong the conflict. 

Hamas, however, entered the war with a very different understanding of what victory would look like. 

Israel needed to demonstrate that it could dismantle Hamas’s military capabilities and prevent it from governing Gaza. Hamas, by contrast, could present its own survival as a form of victory. 

This does not mean that Hamas emerged from the war militarily stronger. The organization suffered major losses to its leadership, fighters, and infrastructure. Gaza itself was devastated, significantly reducing Hamas’s ability to operate as it had before the conflict. 

Nevertheless, the fact that Hamas remained relevant to ceasefire and hostage negotiations demonstrated that it had not disappeared completely as a political and military actor. 

This created a strange outcome. Israel could point to major battlefield successes, while Hamas could point to the simple fact that it had survived. In other words, both sides could claim success, but for completely different reasons.  

The Hostage Question 

The hostages taken during the October 07 attack became one of the most important political and emotional issues inside Israel. 

The Israeli government faced enormous pressure from the families of hostages and the wider public to secure their return. At the same time, the government maintained that continued military pressure on Hamas was necessary. 

However, diplomacy also became essential. 

Qatar and Egypt emerged as important mediators between Israel and Hamas. Qatar’s relationship with Hamas’s political leadership gave it influence over negotiations, while Egypt’s geographical position and long-standing involvement in Gaza made Cairo another important diplomatic actor. The United States also played an important role in supporting negotiations. 

The temporary ceasefires made one thing clear: military force alone could not bring all the hostage’s home. Negotiations, involving difficult compromises and prisoner exchanges, became equally important.  

The hostage crisis further complicated any straightforward claim of victory. Israel’s ability to secure the return of hostages represented an important achievement, but the dependence on negotiations also demonstrated the limitations of military power in achieving every objective of the war. 

The Human Cost in Gaza 

Any discussion about who won the Israel–Hamas war must recognize that Palestinian civilians in Gaza suffered devastating consequences. 

Large areas of Gaza were destroyed during Israeli military operations. Homes, hospitals, schools, and other infrastructure were damaged, while a large proportion of the population was displaced. 

The humanitarian crisis became one of the most controversial aspects of the conflict. Israel argued that Hamas operated from densely populated civilian areas and used underground infrastructure, making military operations extremely difficult. Critics of Israel, however, argued that the scale of the military campaign caused unacceptable civilian suffering. 

For Hamas, the destruction of Gaza also created difficult questions. Although the organization could claim that it survived militarily, Palestinians themselves paid an enormous price. 

This, in my view, is one of the biggest problems with describing Hamas’s survival as a victory. 

An organization may survive, but if the territory it claims to defend is devastated and its population suffers enormously, the meaning of victory becomes deeply questionable. 

The humanitarian consequences also damaged Israel’s international reputation. As images of destruction and civilian suffering spread around the world, international criticism of Israel increased. 

Therefore, even though Israel maintained military superiority, the humanitarian consequences created significant diplomatic and political costs. 

Israel’s Diplomatic and Political Costs 

Israel entered the war with strong support from the United States and several Western governments, particularly following the October 07 attacks. 

As the conflict continued, however, international criticism of Israeli military operations increased. The humanitarian situation in Gaza became a major subject of debate in international organizations, governments, and public demonstrations. 

Israel maintained the support of the United States throughout crucial periods of the conflict, which was strategically important. However, disagreements emerged regarding civilian casualties, humanitarian assistance, and the future governance of Gaza. 

Relations with Arab countries also became more complicated. Before October 07, the possibility of normalization between Israel and Saudi Arabia was considered one of the most important diplomatic developments in the Middle East. The war disrupted this momentum. 

From Hamas’s perspective, this represented political achievement. The Palestinian issue returned to the center of international diplomacy and discussions surrounding Palestinian statehood gained renewed attention. 

However, this political outcome should not be confused with a complete Hamas victory. Hamas itself faced widespread criticism for the October 07 attacks, while its future role in governing Gaza remained deeply controversial. 

Politically, the outcome was far less clear. Israel succeeded in weakening Hamas militarily but faced growing international criticism, while Hamas brought renewed attention to the Palestinian issue at the cost of devastating organizational and human losses. 

The Battle of Narratives 

The struggle over how the war was interpreted became almost as politically significant as developments on the battlefield itself.  

Israel presented its military campaign as an act of self-defence following the October 07 attacks. Its central argument was that no country could accept the continued presence of an armed organization capable of carrying out another attack on a similar scale. 

Hamas presented the conflict through the language of Palestinian resistance and argued that its survival demonstrated Israel’s inability to eliminate the movement. 

The problem, then, is that Israel and Hamas were never measuring victory by the same standard.  

For Israel, victory meant restoring security, returning hostages and dismantling Hamas’s military and governing capabilities. For Hamas, simply surviving an overwhelming Israeli military campaign allowed it to claim that resistance had continued. 

This difference explains why both sides could claim achievements despite suffering serious costs. 

However, narratives cannot resolve the underlying political conflict. The war may have changed the military balance in Gaza, but it did not eliminate the broader dispute between Israelis and Palestinians. 

The Regional Impact 

The Israel–Hamas war also had consequences far beyond Gaza. 

The conflict increased tensions across the Middle East and involved regional actors with connections to the broader Israeli-Palestinian struggle. Iran’s regional network, including Hezbollah and the Houthis, became increasingly relevant to the wider security environment. 

At the same time, Qatar and Egypt strengthened their positions as important diplomatic mediators. Their involvement in ceasefire and hostage negotiations demonstrated the continuing importance of regional diplomacy. 

The United States remained Israel’s most important international ally while simultaneously participating in diplomatic efforts aimed at limiting escalation and addressing the humanitarian crisis. 

The war also showed that whatever happens next in Gaza will not be decided by Israel and Hamas alone. Regional and international actors became essential to negotiations surrounding ceasefires, humanitarian assistance, and post-war governance. 

Did Hamas Achieve a Strategic Victory? 

Hamas’s strongest claim to strategic success rests on two things: it survived, and it pushed the Palestinian question back to the centre of international attention.  

Hamas survived a massive Israeli military campaign, remained part of negotiations and succeeded in returning the Palestinian issue to the center of global attention. The war also disrupted the regional diplomatic environment that existed before October 07. 

However, describing this as a complete victory would ignore the enormous losses suffered by Hamas and Gaza. 

Many senior Hamas leaders were killed, much of its military infrastructure was destroyed or damaged and its ability to govern Gaza was severely weakened. More importantly, Palestinian civilians suffered catastrophic consequences. 

Therefore, Hamas may claim symbolic or political achievements, but these came at an extraordinarily high cost. 

Did Israel Win? 

On military terms, Israel has the stronger claim to victory.  

It demonstrated overwhelming military superiority, eliminated senior Hamas leaders, destroyed significant military infrastructure and reduced Hamas’s ability to operate freely. 

Israel also secured the return of hostages through a combination of military pressure and diplomacy and strengthened security arrangements designed to reduce the possibility of another October 07-style attack. 

Yet Israel’s victory was incomplete if measured against its broadest objectives. 

If Hamas remained armed, politically relevant or capable of rebuilding, then the objective of eliminating the organization was not fully achieved. Israel also faced significant international criticism and deterioration in its global image. 

Therefore, Israel achieved major military successes without necessarily securing an undisputed strategic victory. 

Who Actually Won? 

So, who actually won? The answer depends largely on what we mean by victory. Israel was unquestionably the stronger military power and inflicted severe damage on Hamas. But if victory meant eliminating Hamas and permanently resolving the security threat from Gaza, the outcome was less decisive. 

Hamas, meanwhile, survived and remained politically relevant, but survival came at an extraordinary cost. Gaza was devastated, Hamas’s own capabilities were severely weakened, and the Palestinian population suffered enormously. 

For this reason, neither side can convincingly claim an absolute victory. Israel won important battles, while Hamas survived the war, but the political conflict that existed before October 07 remained unresolved. 

Conclusion 

The Israel–Hamas war demonstrates how difficult it is to define victory in modern asymmetric conflicts. Israel emerged as the clear military superior and inflicted enormous damage on Hamas’s leadership, infrastructure and fighting capabilities. From a conventional military perspective, Israel achieved substantial successes. 

However, military success did not automatically produce complete strategic victories. Hamas survived as an organization and remained relevant to negotiations surrounding Gaza. The Palestinian issue, rather than disappearing from international politics, returned to the center of global diplomatic attention. 

At the same time, describing Hamas as the winner would be equally misleading. Its leadership and military capabilities suffered major losses, while the Palestinian population of Gaza endured extraordinary destruction, displacement and suffering. 

In my assessment, Israel has the stronger claim to military victory, having severely weakened Hamas’s leadership and military capabilities. Yet this was not an absolute strategic victory. Hamas’s survival meant that Israel fell short of eliminating the organization, while the broader Israeli-Palestinian conflict remained unresolved.  

Ultimately, the greatest losers were civilians. Israelis experienced the trauma of the October 07 attacks and the hostage crisis, while Palestinians in Gaza experienced death, displacement and widespread destruction on an enormous scale. 

Therefore, the Israel–Hamas war produced no simple or undisputed winner. Israel changed the military balance but did not resolve the underlying conflict. Hamas survived but at an extraordinary cost to itself and to Gaza. Ultimately, neither military dominance nor organizational survival can resolve the deeper Israeli-Palestinian conflict. Without a sustainable political settlement, any claim of victory by either side is likely to prove temporary.  

Ads Blocker Image Powered by Code Help Pro

Ads Blocker Detected!!!

We have detected that you are using extensions to block ads. Please support us by disabling these ads blocker.

Powered By
Best Wordpress Adblock Detecting Plugin | CHP Adblock