India at the forefront: Unleashing potential in a complex world
The most recent monetary policy report highlighted a 6.5% growth forecast for FY24, one of the strongest amongst regional peers and expected to come on the back of 7.2% growth in FY23. The Rupee has also remained largely resilient against a backdrop of volatile emerging market currencies.
FPIs (Foreign Portfolio Investors) have funnelled US$~17 billion into equities and US$~2bn into debt this fiscal year. Indian capital markets have also remained bullish, as the indices hit lifetime highs in July this year.
The country’s consistent performance, coupled with pragmatic policies, has raised the confidence of domestic and global investors, generating a positive feedback loop.
Moving to a higher growth path
The Government of India has earmarked the next few decades as a period of action and momentum, beyond the 75th year of Independence and right up to the centennial year in 2047.
The vision for the country is reflected in the goals set out for this acceleration.
A strong financial sector, including a well-capitalised banking system, is also helping India weather storms such as the global pandemic and accelerate its dream of becoming the second-largest economy by 2047.
As India marches forward, key development pillars must get their due focus.
Infrastructure developmentThe government has made provisions for capital expenditure of Rs 10 lakh crore for infrastructure development in the Union Budget 2023 to support the push towards a US$5 trillion economy. Early action to develop robust infrastructure has helped India sustain an average GDP growth trajectory of 5.5% over the last decade.
