Fundamentals of Indian economy are sound. Growth is on the horizon | The Indian Express

Fundamentals of Indian economy are sound. Growth is on the horizon | The Indian Express

Written by Syed Zafar Islam |Updated: August 29, 2019 7:47:02 am

The writer is a spokesperson of the BJP and former managing director, Deutsche Bank, Mumbai

Fundamentals of Indian economy are sound. Growth is on the horizon

With PM Modi’s continued focus on reforms, credit flow and ease of doing business and with his infectious optimism, it’s very likely that we will achieve the $5-trillion mark by 2024/2025 assuming we hit the average GDP of 7.5 per cent and rupee-dollar remains stable around 70.

Modi-1 had inherited a largely informal, cash economy with a burgeoning, chaotic unorganised sector. (File)

If you look at the global markets for investors today, two big blocks will come to mind immediately — India and Africa. Unsurprisingly, these emerging markets have attracted maximum foreign investment over the last two decades. India, being the bigger of the two, remains a hot favourite with foreign investors. Narendra Modi’s India has received $250 billion FDI in the last six years, which is equal to the foreign investment in the 14 years prior to 2014. At present, the confidence appears to be slightly low in the Indian corporate world, which can be attributed to their concern over the global economy, where the GDP is likely to come off by over 60 to 70 bps.