As I leave for Davos to once again attend the World Economic Forum at Davos this year, I find myself reflecting on the rapid changes that the Indian economy has seen in the last one year. In a relatively short time, it has again emerged in force as an important candidate among the world’s most powerful economies, all of which will be represented at Davos.
The growth rate of the India economy exceeded 8% in previous years, but it declined to as low as 4.7% 2013-14. More recently, sentiment and economic confidence have returned because of a stable and pro-business government at the center. Today, India’s economic growth rate is advancing visibly from a slow-down brought about by diminishing competitiveness, both on the economic and industrial fronts. Like many other countries, we have learned the hard way that we need to manage our macro- and micro-environment more efficiently, and that we cannot assume that national prosperity is assured.
Thankfully, the arrival of the determined and pro-business prime minister Narendra Modi has signalled a sea-change for the Indian economy. Modi has squarely put the focus back on growth and has identified various policies and systems which either need to be scrapped or upgraded in order to achieve this growth. The primary lesson to be learned here is that a country with economic problems cannot hope to see a turnabout in fortunes unless its leaders stop ignoring glaring issues and inconsistencies, and dedicate themselves to surmounting them.
As I look forward to many engaging sessions and client meetings at the World Economic Forum, it is good to know that India will be putting a stronger foot forward at Davos this year. At JLL India, we have seen first-hand how decisively investor interest has returned to our country. This year at Davos, India is once again a force to be reckoned with. It is a warm feeling that will serve me well on the icy slopes of Switzerland.