India's Investment Boom: A Path to Economic Superpower

India has seen a surge in investment, with USD 8 trillion poured in the last decade alone, according to Motilal Oswal. The investment-to-GDP ratio is recovering, supported by post-COVID initiatives and infrastructure spending. This robust growth hints at India's potential as a global economic leader.

In a significant development, India has experienced a substantial increase in investment spending, with more than USD 8 trillion invested over the past decade, as noted by a report from financial services firm Motilal Oswal. This accounts for over half of the USD 14 trillion invested since the country gained independence.

The report anticipates this accelerated investment trend to persist, projecting an additional USD 8 trillion in spending within the next five years. This surge is attributed to recovery measures post-COVID-19 and ramped-up government spending on infrastructure, indicating a positive shift in the investment-to-GDP ratio, which had previously stagnated since 2011.

Moreover, the report highlights the resilience of India's stock markets, which have delivered positive returns in 26 out of the past 33 years despite experiencing annual temporary declines. It advises investors to maintain a long-term perspective during market downturns, suggesting that these are often minor setbacks in the context of long-term growth. India's growing investment momentum and solid stock market performance signal its emergence as a significant player in the global economy.

(With inputs from agencies.)