Federalism in the Indian constitutional context means:

The correct answer is ​the existence of more than one level of government in the country.

Key Points

• In the Indian constitutional context, federalism refers to a system of governance where power is divided between a central authority (the Union government) and various regional entities (the State governments). 
• Indian federalism is unique and is often described as "quasi-federal" because it combines both federal and unitary features. 
• While states have autonomy in certain areas, the central government holds more power, especially in times of crisis or national interest.
• The Constitution divides legislative, administrative, and financial powers between the Union and the States through three lists (Union List (central government powers), State List (state government powers) and Concurrent List (shared powers between the Union and the States) in the Seventh Schedule.

Additional InformationKey Constitutional Articles

• Article 1: Defines India as a Union of States.
• Article 245-255: Deals with the distribution of powers between the Union and the States.
• Article 256: Directs the States to comply with the laws made by the Union.
• Article 256: Provides for the appointment of a Governor for each state to act as a liaison between the State and the Union.