Regulatory frameworks need to evolve with rapidly changing environment: NITI Aayog’s Rajiv Gauba
New Delhi, Oct 3 (IANS) The challenge before policymakers is not to choose between regulation and growth, but to develop regulations that manage risks while supporting innovation, competition and investment, Rajiv Gauba, Member, NITI Aayog, said on Saturday.
In his address at the plenary session on “Regulatory Oversight in an Age of Disruption” at the 5th Kautilya Economic Conclave here, he highlighted the need for regulatory frameworks to evolve alongside a rapidly changing geopolitical, technological and economic environment.
Gauba observed that geopolitical uncertainty, disruptions to trade routes and global supply chains, and the increasing use of tariffs, export controls and investment restrictions as strategic instruments are reshaping the economic landscape.
At the same time, he noted that technological change is advancing faster than many institutions and regulatory frameworks can adapt, particularly in areas such as artificial intelligence, cybersecurity and digital technologies.
He also highlighted the growing complexity of modern business models, which increasingly span multiple sectors and technologies.
As traditional boundaries between industries become less relevant, he stressed that regulatory frameworks must evolve to address interconnected risks without creating fragmented or conflicting obligations.
Gauba also underlined that while regulation is essential for safety, consumer protection, market integrity and systemic stability, excessive or poorly designed regulation can impede innovation, competition and investment.
He stressed that national competitiveness depends not only on infrastructure, labour laws and incentives, but also on the clarity, consistency and predictability of the regulatory environment. For businesses considering new investments, he said, the ability to operate at scale and innovate with certainty is an increasingly important consideration.
He further emphasised that regulatory independence must go hand in hand with accountability. While regulators need autonomy to take difficult decisions free from undue influence, public confidence requires transparent decision-making, clear procedures, effective review mechanisms and accountability for regulatory performance.
He called for greater coordination among regulators to address overlapping mandates, avoid duplication and close regulatory gaps as businesses increasingly operate across traditional regulatory domains.
—IANS
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