While robust corporate and banking sectors provide a vital cushion against immediate shocks, maintaining India’s upward trajectory will require deft management of energy security, fiscal resilience, regulatory interventions and trade diversification, suggested S&P.
India is set to become the world’s third-largest economy by 2031, said global rating agency S&P.
US and China are top two economies of the world.
The rating agency in its fourth edition of India Forward: Strategic Imperatives has commented that global uncertainty is necessitating a recalibration of the country’s strategic options. It must straddle the line between self-sufficiency and diversification.
“Today’s global economies must balance their macroeconomic, geopolitical, trade and energy options, aligning supply and demand dynamics with their immediate needs and long-term ambitions. India enters this volatile period backed by strong domestic fundamentals; the country is well positioned to harness these economic shifts and accelerate toward its goal of becoming an advanced economy by 2047,” highlighted S&P.
The knock-on effect of this uncertainty is already evident across crude oil benchmarks, currency volatility and shifting investor sentiment.
While robust corporate and banking sectors provide a vital cushion against immediate shocks, maintaining India’s upward trajectory will require deft management of energy security, fiscal resilience, regulatory interventions and trade diversification, suggested S&P.