The global economic outlook is bleak, but India has been beating market expectations with a 7% growth rate, having emerged from the covid era on a stronger footing.
Indian infrastructure is seeing an upgrade because of massive government investment. Manufacturing and services sectors have shown robust growth, and there is hope that consumption demand will pick up pace. GST and Income Tax earnings have been soaring. The bank credit cycle is on an upcycle and corporate earnings have been stellar. This is expected to lead to a resurgence in private sector capex.
Despite tumult, crude prices have remained steady, and inflation has been moderate. All of this has resulted in buoyant capital markets. The Nifty has been on a swansong, hitting record milestones on the promise of future growth. As investors have noted before, the Indian spring is here, and this is India’s decade to shine.
But are there key risks that India needs to watch out for in 2024? With multiple ongoing conflicts, the world is unlikely to be less volatile in 2024. The Fed has signalled that 2024 is likely to see interest rate cuts. Could this exacerbate inflation?
Weakness in rural consumption and growing income inequality could widen chinks in the Indian growth story. There are structural bottlenecks within India that need to be resolved. Will the Indian march continue, if the rest of the world slips into recession? We are also no longer immune to geopolitical tensions -- could it impede growth? With elections on the anvil, policy makers may have limited options in 2024. In such a scenario, what can India Inc, investors, economists, policy makers and society to shepherd the Indian growth story?
The Mint India Investment Summit 2024 will delve into some of these issues such as the road blocks to 10% GDP growth, the rise of private capital, areas that India Inc is thinking of investing in to stay competitive, the rise of manufacturing, regulatory and policy makers insights into 2024 trends and much more.