India remains an attractive investment destination despite the current global uncertainty due to the United States pricing and tax policies, according to a new Deloitte report.
“The World Trade Landscape is undergoing an important transformation, marked by an increase in protectionist policies. With the current uncertainty on reciprocal prices and changing commercial dynamics, it remains to be seen how the situation will stabilize. Despite these opposite winds, India will remain resistant,” said the report, tenure of India at the center of global investments.
India remains the major major economy for the fastest growth in the world with high domestic demand which represents almost 80% of its GDP, stressed the report, noting that it should become the third world economy by 2027 with a expansion consumer base, in particular intermediate income households.
“By 2030, it is estimated that 140 million households should join the middle class, and 20 million should enter the high income segment. This change will result in expenditure on essential elements to increase by 2 to 2.5 times and service expenditure from 3 to 4 times, with total expected consumption expenditure to go from US $ 1.9 million to us $ 5.2 billion, “he said.
The report also noted that India has made significant investments in infrastructure and focuses on the widening and modernization of its physical assets.
“Given the strength of its indoor economy, India is well equipped to resist disturbances in foreign trade. The country has regularly built a robust base which positions it for continuous growth-without volatility,” he noted.
Gokul Chaudhri, president, tax, Deloitte, in South Asia, noted that despite global uncertainty, the history of India remains as relevant, dynamic and daring as before. He also noted that there are several megaatencies that shape the Indian economy, such as the demographic dividend and the emphasis on developments and innovation linked to digital and technology.
“Although there is a certain impact on the world’s opposite winds on India, we hope that it will not be in the short term,” he said.
When it was asked if companies consider India as an investment destination due to the current tariff war between the United States and China, Chaudhri said that most of the companies were currently in waiting and watch, but will make a decision at some point. “In each scenario planning that occurs, in all the decision-making ways, India appears on the map. But it is not India that is a question mark, it is more the time of the decisions they must make,” he said.
The report also stressed that the next decade will testify to the relentless prosecution of India in the technological point, displayed through the capacities of increasing AI in urban centers and at the local level. “This will instill a new wave of innovation-which is both inclusive and transformative. India has become a stimulating habitat for start-ups, where dreams are transformed into substantial realities,” he said.
In addition, CCGs in India demonstrate high reliability and expertise, highlighting the role of India as a global center for quality and profitable services, he noted, adding that with support policies and a qualified workforce, India is well prepared for future opportunities.
