Building the Indian dream: A chance to rival America’s lost promise

One of the strongest pillars of the India-US relationship has been people to people ties, the collaboration on innovation and technology where the best Indian skilled professionals worked for some of America’s best tech companies and helped them flourish. That was a key feature of the coveted H-1B visa that Donald Trump has effectively killed with the announcement of a new $100,000 fee for new applicants.

The H-1B visa was, for thousands of Indians, the pathway to the American dream - a Green Card that would enable them to have a good quality life, good education, a chance for their children to get the best opportunities. But the US President does not care about the people-to-people relationship. His moves on making entry to America harder align with his anti-immigrant stance and his ‘Make America Great Again” slogan. He hopes American companies will be forced to hire American workers. The jury is out on whether Trump will get what he wants. Small and mid-sized US firms are unlikely to sponsor Indians under such terms. The losers are not only individual aspirants but also the US itself, which risks losing top global talent.

Reverse brain drain?

But there is another question - will this lead to a reverse brain drain where talent returns or stays back in India? If America closes its doors, can this disappointment be channelled into building an Indian dream?

The answer is not straightforward. India’s growth story does not yet rest on a clear pathway where talent predictably meets reward. Yes, India has made huge strides in start-up reforms and digital transformation but several hurdles remain. First, while India is one of the world’s fastest-growing economies, the quality of jobs lags behind. Skilled graduates are not getting good jobs. According to government data, India’s urban unemployment rate rose to 7.1% in June from 6.9% in May and 6.5% in April this year.

IT sector faces headwinds

India’s IT sector in particular, is facing huge headwinds at the moment with lay offs and budget cuts. Tata Consultancy Services (TCS), one of India’s leading firms, recently announced it was cutting 12,000 jobs, from mostly the middle and senior management levels, which they attributed to “limited deployment opportunities and a skill mismatch”, rather than AI. The fact is, AI is having a major impact on how the industry works.

A fundamental aspect of the American dream has been innovation, research, rewarding merit. Unfortunately in India, we are far behind on this. The American dream, despite its flaws, was underpinned by the principle that anyone, regardless of background, could rise. In India, privilege — of caste, class, and connections — still plays an outsized role. This undercuts the sense of a fair and open meritocracy.

Gaps in infrastructure

Then there are huge gaps in our infrastructure. Citizens face daily frustrations with traffic, pollution, healthcare, and housing. Bureaucrats are often obstructive and obtuse in their approach. None of this makes for a conducive environment where talent can thrive.

For all these reasons, it is probably over-optimistic at this point to think that Indians who are denied the H-1B will fuel innovation at home. The “dream” is not merely economic — it is aspirational. The American dream was powerful because it symbolised possibility. It said to a student in Jaipur or Kochi: your skills can earn you the same place as anyone else in the world.

For India to convert America’s closing doors into an opening at home, several shifts are needed such as creating quality jobs with AI-driven innovation and globally competitive R&D hubs. It needs to strengthen infrastructure and nurture a genuine meritocracy. The bureacracy must be streamlined, red tape reduced and systems must be built that make ordinary life smoother for citizens. And finally, aspiration must be celebrated. Narratives matter. India must tell its own story of opportunity — not just as the back office of the world, but as a place where global leaders can emerge.