Is India the World’s Next Great Economic Power?

Is India’s economic rise inevitable? There’s good reason to think that this latest round of Indo-optimism might be different than previous iterations, but the country still has major challenges to address to make good on this promise. In terms of drivers, demand — in the form of a consumer boom, context appropriate innovation, and a green transition — and supply — in the form of a demographic dividend, access to finance, and major infrastructure upgrades — are helping to push the country forward. This is facilitated by policy reforms, geopolitical positioning, and a diaspora dividend. Even so, the country faces barriers to success, including unbalanced growth, unrealized demographic potential, and unrealized ease-of-business and innovation potential.