The India Story: On the Path to a $7 Trillion Economy
Delivered at the Singapore FinTech Festival, our distinguished panel discussed India's aspirations to become a $7 trillion economy by 2030, examining opportunities, challenges, and the necessary policies to achieve this milestone.
Key Highlights
Economic Growth Potential:
- India aims to double its GDP to $7 trillion by 2030, requiring a compound annual growth rate of 12%.
- Growth drivers include private sector capital formation, infrastructure investments, and consumption demand.
Infrastructure and Green Economy:
- Annual infrastructure spending of $120 billion is improving logistics and boosting investments in EVs, solar modules, and traditional sectors like steel and cement.
- Green economy investments are set to grow significantly, with projects like solar modules scaling by eightfold in six years.
Digital Payments and Financial Inclusion:
- Digital payments platforms, such as UPI, have transformed financial inclusion, particularly for small businesses, enabling credit access and business expansion.
- Initiatives like systematic investment plans (SIPs) are helping micro-businesses accumulate wealth.
Global Finance and Gift City:
- Gift City serves as an international financial hub, enabling capital flow for global investors and NRIs.
- The centre has facilitated $71 billion in assets through international banks and $65 billion in bond listings, including green bonds.
Challenges and Reforms:
- Addressing quality job creation, deregulating for MSME growth, and scaling labour-intensive industries are crucial.
- Modernising regulations to improve ease of doing business remains a priority.
AI and Emerging Technologies:
- India is well-positioned to leverage AI due to its skilled workforce and global capability centres.
- The focus is on ensuring AI-driven development is socially sustainable and stable.
Conclusion
India’s transformative growth relies on balancing deregulation, technological innovation, and inclusive development, creating a foundation for sustained prosperity by 2030.
In partnership with IIM Alumni SG
Speakers:
- K. Rajaraman, Chairperson, International Financial Services Centres Authority
- Venkatraman Anantha Nageswaran, Chief Economic Advisor, Government of India
- Vijay Shekhar Sharma, Founder & Chief Executive Officer, Paytm
- Zarin Daruwala, Cluster Chief Executive Officer, India & South Asia Markets, Standard Chartered Bank
Moderator:
- Vikram Khanna, Senior Columnist, The Straits Times, SPH Media