Outlook for India

Apollo Chief Economist

Our chart book discusses the outlook for India. There are many reasons to be bullish. GDP growth is strong, inflation is low, and sentiment surveys show that consumers and firms are upbeat. Household, corporate, and bank balance sheets are healthy. The financial sector has seen significant transformation with digitalization and bankruptcy law enactment. Bank lending has been solid, and the Indian stock, bond, and private markets continue to grow at a rapid pace.

India’s share of global GDP continues to grow
Source: IMF WEO, Apollo Chief Economist
Core inflation at 3.6%
Source: MOSPI, Haver Analytics, Apollo Chief Economist
Sharp improvement in India’s current account balance
Source: Reserve Bank of India, Haver Analytics, Apollo Chief Economist
Fiscal balance also improving
Source: IMF WEO, Haver Analytics, Apollo Chief Economist
Rupee has stabilised
Source: Bloomberg, Apollo Chief Economist
Bank sector more robust than before
Source: RBI, Haver Analytics, Apollo Chief Economist
India has a growing working age population
Source: UN Population Statistics, Haver Analytics, Apollo Chief Economist
Digital payments through UPI from INR 0.2 trillion in 2019 to INR 20 trillion in 2024
Source: RBI, Haver Analytics, Apollo Chief Economist
BSE 500 has also outperformed major indices since 2020
Source: Bloomberg, Apollo Chief Economist

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