FPJ News Service Washington DC

RBI Governor Sanjay Malhotra has invited US industry to invest in India, stressing that India offers a policy ecosystem that is transparent, rule-based, and forward-looking–an ideal setting for long-term and productive investments. “As the world’s fastest-growing major economy, India is not just a destination for investment – it is a partner in prosperity. 

“Together, we have the chance to shape the future – not only for India but for a better world. I invite you to be a part of this journey, to collaborate, innovate, and invest in India,” Malhotra said in his address at the US-India Economic Forum organised by the CII and US India Strategic Partnership Forum in Washington DC last Friday.

The Indian economy has demonstrated remarkable resilience and dynamism. Over the past four years (2021-22 to 2024-25), it has recorded an average annual growth rate of 8.2%. India was and continues to be the fastest-growing major economy in the world. This is a significant step up from the average growth rate of 6.6 per cent in the preceding decade (2010 to 2019). 

Even this year, “our growth is expected to remain robust at 6.5 per cent. This is despite the tremendous increase in uncertainty and volatility in global financial markets. While this rate is lower than in recent years and falls short of India’s aspirations, it remains broadly in line with past trends and the highest among major economies. 

“No wonder, over the last ten years, we have leapfrogged from the tenth largest economy to the fifth. In terms of purchasing power parity, we are already third. Even nominally, we are poised to become the third largest economy shortly. 

“We aspire to become Viksit Bharat, i.e., a developed economy by 2047, when we complete 100 years of our independence. While there is indeed a scope for India’s growth trajectory to rise over the medium to long-term, I am sanguine of our continued success. There are a lot of positive factors that give me this confidence. Let me outline a few of these,” RBI chief underlined. “First and foremost, we are all aware of the research that shows that political and policy stability with certainty are prerequisites for long-term planning of investments to fuel growth in any economy,” Malhotra underlined.