On growth expressway – The Economic Times

India continues to remain one of the fastest-growing economies, despite numerous headwinds, triggered by geopolitical unrest and consequent economic pressure. Striving towards becoming a self-reliant economy, the country’s economic position has been bolstered on the back of an all-time high in exports, increasing foreign investments and growing global collaboration.

From a macroeconomic perspective, the country shows a positive trajectory, driven by a revival in core industries, sustained industrial output, and expanding manufacturing and services output. The country’s exports were at an all-time high in FY2022, led by a series of government initiatives, including production-linked incentive scheme, discussions around free trade agreements, incentives around special economic zones, and assistance to startups and new manufacturing firms.

Improved fundamentals of the corporate sector and a well-capitalised financial system have instilled confidence in investors. For instance, gross foreign direct investment inflows increased, from $82 billion in FY2021 to $83.6 billion in FY2022, signaling rising confidence. A 35.4% year-on-year increase in capital expenditure to nurture infrastructure development is further expected to boost investment prospects.

From ‘Doing Business in India’, KPMG India.