According to a Lokniti-CSDS survey, many citizens feel that the government’s resources should be directed towards pressing domestic concerns

In recent years, India has emerged as a significant player in global diplomacy, particularly through its presidency of the G20 Summit. This role has elevated the country’s international stature. It has equally sparked debates about priorities, i.e., whether India should focus on enhancing its global image or address pressing domestic concerns.

This article, which explores these discussions, is based on a study, Indian perceptions of Europe and Germany, conducted by Lokniti-Centre for the Study of Developing Societies in collaboration with Konrad Adenauer Stiftung. The study surveyed 5,248 respondents through face-to-face interviews across 50 cities in 10 States and three Union Territories. Using systematic random sampling, the study ensured balanced representation across urban strata (Tier I, II, and III cities). The fieldwork was conducted between August 29 and September 26, 2024, by trained field investigators.

Point of contention

A major point of contention is whether the government’s emphasis on enhancing India’s global image through grand international events is justified or whether the funds should be redirected to alleviate domestic poverty. Survey data suggest that over two-fifths (42%) of respondents believe that the money spent on beautifying cities for summits such as G20 should instead be allocated to poverty alleviation. This shows that a segment of the population prioritises domestic economic needs over foreign policy ambitions. In contrast, three in 10 (29%) respondents support prioritising India’s global image, seeing events such as the G20 as an opportunity to showcase India’s progress on an international stage.

The data showing the respondents’ opinions on whether India should use funds for its global image or to address domestic poverty also reveal that class plays a role in shaping these opinions. Among lower-income respondents, over one-third (36%) advocate redirecting funds towards poverty relief, while only one in five support spending on beautification of cities. Conversely, two in five (39%) respondents from the upper class believe that enhancing India’s image is essential, although over two in five (42%) of them also agree that funds should help alleviate poverty. This divergence underscores the challenge of balancing foreign policy initiatives with domestic socioeconomic needs.

Opinion on liberalisation

As India negotiates a Free Trade Agreement (FTA) with the European Union, public opinion on trade liberalisation remains divided. About 37% of the respondents believe that increasing exports is the best way to strengthen India’s position in the global market, while 39% believe that limiting exports to focus on the domestic market would be a better strategy.

The data on public opinion on balancing exports and strengthening the domestic market reflects a broader debate on trade policies. While the government is keen to expand global trade, particularly with the EU, a significant portion of the public remains sceptical about whether this will truly benefit India’s economy or primarily serve multinational corporations and elite business interests.

One area where public opinion is more decisive is agriculture. When asked whether India should limit import of food grains to protect domestic farmers, 64% of respondents agreed, indicating widespread support for import substitution policies. Only 12% of the respondents supported importing more foodgrains even if it came at the cost of Indian farmers.

The data on public opinion on import substitution to protect farmers reflects a strong sentiment against excessive reliance on foreign food imports, which many believe could hurt domestic farmers. The government’s push for an FTA with the EU raises concerns that increased agricultural imports might threaten the livelihoods of Indian farmers. While trade liberalisation may have economic benefits, the public remains wary of its impact on the agricultural sector.

The Indian government’s current economic strategy appears to be focused on enhancing India’s global standing through trade agreements and international summits. However, public opinion suggests a mixed response to these priorities. While a segment of the population supports economic liberalisation and foreign policy ambitions, a substantial portion believes that domestic concerns such as poverty alleviation and protection of farmers should take priority.

This disconnect raises important questions about policymaking in India. Should the government align its economic and foreign policies more closely with public sentiment, or should it continue its long-term strategy of positioning India as a global economic power? The upcoming FTA with the EU will be a key test of this balancing act, determining whether the government’s pursuit of global economic integration aligns with the priorities of its citizens.

While India’s role in global diplomacy is expanding, so is the debate about its impact on domestic priorities. While international summits such as the G20 and trade agreements with the EU showcase India’s economic progress, many citizens feel that the government’s resources should be directed towards pressing domestic concerns, particularly poverty alleviation and farmer protection. The mixed public opinion on trade and economic liberalisation underlines the need for a balanced approach. The government must find ways to integrate India into the global economy while addressing the concerns of those who feel left behind.

Authors: Prof. Sanjal Shastri, Faculty of International Studies, FLAME University & Jyoti Mishra, Researcher, Lokniti-CSDS.