{"id":4976,"date":"2025-09-22T12:00:28","date_gmt":"2025-09-22T12:00:28","guid":{"rendered":"https:\/\/platform.scottishwidows.co.uk\/campaign\/?post_type=digizine&p=4976"},"modified":"2025-09-23T11:35:43","modified_gmt":"2025-09-23T11:35:43","slug":"the-lowdown-on-india","status":"publish","type":"digizine","link":"https:\/\/platform.scottishwidows.co.uk\/campaign\/digizine\/the-lowdown-on-india\/","title":{"rendered":"The lowdown on India"},"content":{"rendered":"\n
<\/div>\n\n\n\n

As we discussed in a recent article<\/a>, emerging markets (EM) now account for around 41% of the world\u2019s total output1<\/sup> and are expected to have robustly faster GDP growth compared with developed markets over this year and next. Beyond growth, EMs offer some compelling investment opportunities through dynamic, world-leading businesses across a range of industries, as well as favourable demographics, amongst other things.<\/strong><\/p>\n\n\n\n

In this article, we focus on India \u2013 a global economic and geopolitical heavyweight in the making.<\/p>\n\n\n\n

With a population of almost 1.5 billion2<\/sup>, India surpassed China as the world\u2019s most populous nation in 2023, a position the UN expects it to maintain to 2050. The country has long faced a significant poverty challenge. But over the past decade, progress has accelerated, with 171 million citizens moving above the poverty line3<\/sup>. This achievement demonstrates India\u2019s ongoing structural transformation.<\/p>\n\n\n\n

Global economic growth is expected to be 3% in 2025, indicating a slowdown compared with the 3.3% growth rate in 20244<\/sup>. Yet India\u2019s economy is predicted to grow by 6.4%  in 2025 and 20265<\/sup>. Additionally, India\u2019s nominal GDP is now approximately $4.19 trillion, making it the fourth-largest economy in the world6<\/sup> and marking a significant global economic shift.<\/p>\n\n\n\n

<\/div>\n\n\n\n
\n

With GDP nearing $4.2 trillion, India is now the world\u2019s fourth-largest economy and is projected to grow at 6.4% annually through 2026.<\/p>\n<\/blockquote>\n\n\n\n

<\/div>\n\n\n\n

Markets<\/strong><\/strong><\/strong><\/h2>\n\n\n\n

Two of India\u2019s own stock exchanges, Bombay Stock Exchange (BSE) and National Stock Exchange of India (NSE India), are in the top 10 largest stock markets by total capitalisation globally7<\/sup>. India\u2019s weight in the MSCI Emerging Markets Index hit a record 20% in July 2024, second only to China, reflecting strong momentum and rising investor interest8<\/sup>. While, by August 2025, it fell to a two-year low of 16.2% and dropped to third place behind Taiwan9<\/sup>, it highlights India\u2019s evolution into a hub for global capital and a key driver of emerging market performance.<\/p>\n\n\n\n

India\u2019s inclusion in major global bond indices marks a significant step in opening its previously restricted debt market to foreign investors. JP Morgan began adding Indian sovereign bonds in 2024, while Bloomberg announced its intention to add Fully Accessible Route (FAR) bonds in 2025.<\/p>\n\n\n\n

<\/div>\n\n\n\n

Industry<\/strong><\/strong><\/strong><\/h2>\n\n\n\n

India\u2019s economy is diverse. According to data published in 2025 and covering 2013-2023, 43% of the country\u2019s workforce was focused on agriculture10<\/sup>, but this industry only made up 16% of the country\u2019s GDP. The largest segment of the county\u2019s economy is the services sector, accounting for 50% of GDP11<\/sup>. Telecommunications, IT and software are among the leading industries within this sector.<\/p>\n\n\n\n

The manufacturing sector is growing, aided by the Production Linked Incentive (PLI) Scheme \u2013  a policy designed by the Indian Government to enhance the country\u2019s manufacturing capabilities and promote self-reliance in various sectors by offering financial incentives for measurable outcomes such as increased production and sales growth. The improvement has also been helped by the global supply chain diversification away from China. One of the most notable manufacturing examples is smartphone production, with mobile exports from India reaching $20.5 billion in 202412<\/sup>.<\/p>\n\n\n\n

<\/div>\n\n\n\n
\n

India is evolving into a hub for global capital and a key driver of emerging market performance.<\/p>\n<\/blockquote>\n\n\n\n

<\/div>\n\n\n\n

Trade<\/strong><\/strong><\/strong><\/h2>\n\n\n\n

India\u2019s foreign trade is a key growth driver, with exports and imports spanning across nearly 190 countries. Between April and December 2024, total exports (goods and services) increased 6% year on year to $602.6 billion, while imports reached $682.1 billion13<\/sup>. Trade tensions are high between the US and India. Trump\u2019s administration has imposed 50% tariffs on a wide range of Indian goods. This threatens roughly $48 billion of Indian exports in sectors such as textiles, gems and car parts, and India could face a resulting economic slowdown14<\/sup>. India is making progress in trade talks with the EU, while UK-India trade negotiations have also gained fresh momentum, reflecting the country\u2019s approach to diversifying its trade relationships and mitigating the impact of US tariffs.<\/p>\n\n\n\n

<\/div>\n\n\n\n

Politics and policy<\/strong><\/h2>\n\n\n\n

India\u2019s Prime Minister Narendra Modi returned for a third term in June 2024. However, his party lost its majority and now relies on regional allies within the National Democratic Alliance (NDA). While this has introduced greater negotiation in policymaking, the country\u2019s key priorities of infrastructure, manufacturing, and digitisation remain.<\/p>\n\n\n\n

<\/div>\n\n\n\n

Summary<\/strong><\/strong><\/strong><\/span>

<\/span><\/span><\/span><\/b><\/p><\/h2>\n\n\n\n

Overall, India is a significant and growing power in the global economy. With GDP nearing $4.2 trillion, it is now the world\u2019s fourth-largest economy and is projected to grow at 6.4% annually through 2026, significantly overtaking global averages. Poverty has decreased at an exponential rate, equity markets have reached record highs (though some gains have since moderated), and India\u2019s inclusion in major bond indices suggests deeper financial integration and the chance of future growth. Meanwhile, manufacturing and trade continue to drive growth, even as political dynamics and global trade tensions present challenges.<\/p>\n\n\n\n

<\/div>\n\n\n\n

References<\/strong><\/strong><\/strong><\/span>

<\/span><\/span><\/span><\/b><\/p><\/h2>\n\n\n\n

1<\/sup> International Monetary Fund, World Economic Outlook: A Critical Juncture amid Policy Shifts<\/a>, 2025<\/p>\n\n\n\n

2<\/sup> World Population Prospects<\/a>, 2024<\/p>\n\n\n\n

3<\/sup> Government of India, Press Information Bureau<\/a>, 2025<\/p>\n\n\n\n

4<\/sup> Financial Times<\/a>, 2025<\/p>\n\n\n\n

5<\/sup> World Economic Forum<\/a>, 2025<\/p>\n\n\n\n

6<\/sup> Insights on India<\/a>, 2025<\/p>\n\n\n\n

7<\/sup> MSCI, India: An emerging world market story<\/a>, 2024<\/p>\n\n\n\n

8<\/sup> Business Standard<\/a>, 2025<\/p>\n\n\n\n

9<\/sup> Forbes India<\/a>, 2025<\/p>\n\n\n\n

10<\/sup> Statista<\/a>, 2025<\/p>\n\n\n\n

11<\/sup> Statista<\/a>, 2025<\/p>\n\n\n\n

12<\/sup> The Economic Times<\/a>, 2025<\/p>\n\n\n\n

13<\/sup> Forbes India<\/a>, 2025<\/p>\n\n\n\n

14<\/sup> CBS News<\/a>, 2025.<\/p>\n\n\n\n

<\/div>\n","protected":false},"template":"","wf_digizine_folders":[42],"class_list":["post-4976","digizine","type-digizine","status-publish","has-post-thumbnail","hentry"],"acf":{"headline_analysis":"","content_analysis":"","hero_style":"Basic","hero_image":4982,"video_url":"","overlay":"rgba(0,0,0,0.33)","focus_direction":"Right","standfirst":"","full_row":false,"intro_stats":{"financial_advisers":503,"advised_investors":501,"non-advised_investors":504,"fieldwork":"Fieldwork between 16-23 March 2023"},"primary":"#e61a1a","titles":"#0b3239","issue":[4878],"order_no":4,"chapter":"","nav_no":"","svg_group":{"svg":"","max-width":6.4000000000000004},"editor":"","card_headline":"","card_desc":"","_thumbnail_id":4981},"yoast_head":"\nThe lowdown on India -<\/title>\n<meta name=\"description\" content=\"Discover how global markets performed in August 2025. This review covers key data across equities, bonds, and commodities, with insights into regional performance & macroeconomic drivers.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/platform.scottishwidows.co.uk\/campaign\/the-lowdown-on-india\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The lowdown on India\" \/>\n<meta property=\"og:description\" content=\"Discover how global markets performed in August 2025. This review covers key data across equities, bonds, and commodities, with insights into regional performance & macroeconomic drivers.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/platform.scottishwidows.co.uk\/campaign\/the-lowdown-on-india\/\" \/>\n<meta property=\"og:site_name\" content=\"Scottish Widows Platform\" \/>\n<meta property=\"article:modified_time\" content=\"2025-09-23T11:35:43+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/ls-embark.imgix.net\/https%3A%2F%2Fplatform.scottishwidows.co.uk%2Fcampaign%2Fwp-content%2Fuploads%2Fsites%2F4%2F2025%2F09%2Fip-sept25-article6-thumb.jpg?auto=compress%2Cformat&crop=entropy&cs=tinysrgb&fit=crop&fm=webp%2Cjpg&ixlib=php-2.1.1&q=90&s=84e532524d057455ad21ef176b8d38b3\" \/>\n\t<meta property=\"og:image:width\" content=\"2560\" \/>\n\t<meta property=\"og:image:height\" content=\"1440\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:site\" content=\"@swidowsadviser\" \/>\n<meta name=\"twitter:label1\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data1\" content=\"4 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/platform.scottishwidows.co.uk\\\/campaign\\\/the-lowdown-on-india\\\/\",\"url\":\"https:\\\/\\\/platform.scottishwidows.co.uk\\\/campaign\\\/the-lowdown-on-india\\\/\",\"name\":\"The lowdown on India -\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/platform.scottishwidows.co.uk\\\/campaign\\\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\\\/\\\/platform.scottishwidows.co.uk\\\/campaign\\\/the-lowdown-on-india\\\/#primaryimage\"},\"image\":{\"@id\":\"https:\\\/\\\/platform.scottishwidows.co.uk\\\/campaign\\\/the-lowdown-on-india\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/ls-embark.imgix.net\\\/https%3A%2F%2Fplatform.scottishwidows.co.uk%2Fcampaign%2Fwp-content%2Fuploads%2Fsites%2F4%2F2025%2F09%2Fip-sept25-article6-thumb.jpg?auto=compress%2Cformat&crop=entropy&cs=tinysrgb&fit=crop&fm=webp%2Cjpg&ixlib=php-2.1.1&q=90&s=84e532524d057455ad21ef176b8d38b3\",\"datePublished\":\"2025-09-22T12:00:28+00:00\",\"dateModified\":\"2025-09-23T11:35:43+00:00\",\"description\":\"Discover how global markets performed in August 2025. This review covers key data across equities, bonds, and commodities, with insights into regional performance & macroeconomic drivers.\",\"breadcrumb\":{\"@id\":\"https:\\\/\\\/platform.scottishwidows.co.uk\\\/campaign\\\/the-lowdown-on-india\\\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\\\/\\\/platform.scottishwidows.co.uk\\\/campaign\\\/the-lowdown-on-india\\\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\\\/\\\/platform.scottishwidows.co.uk\\\/campaign\\\/the-lowdown-on-india\\\/#primaryimage\",\"url\":\"https:\\\/\\\/ls-embark.imgix.net\\\/https%3A%2F%2Fplatform.scottishwidows.co.uk%2Fcampaign%2Fwp-content%2Fuploads%2Fsites%2F4%2F2025%2F09%2Fip-sept25-article6-thumb.jpg?auto=compress%2Cformat&crop=entropy&cs=tinysrgb&fit=crop&fm=webp%2Cjpg&ixlib=php-2.1.1&q=90&s=84e532524d057455ad21ef176b8d38b3\",\"contentUrl\":\"https:\\\/\\\/ls-embark.imgix.net\\\/https%3A%2F%2Fplatform.scottishwidows.co.uk%2Fcampaign%2Fwp-content%2Fuploads%2Fsites%2F4%2F2025%2F09%2Fip-sept25-article6-thumb.jpg?auto=compress%2Cformat&crop=entropy&cs=tinysrgb&fit=crop&fm=webp%2Cjpg&ixlib=php-2.1.1&q=90&s=84e532524d057455ad21ef176b8d38b3\",\"width\":2560,\"height\":1440,\"caption\":\"A vibrant sunset over New Delhi's Rajpath, with crowds and vehicles, framing iconic government buildings and lampposts\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\\\/\\\/platform.scottishwidows.co.uk\\\/campaign\\\/the-lowdown-on-india\\\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\\\/\\\/platform.scottishwidows.co.uk\\\/campaign\\\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"The lowdown on India\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\\\/\\\/platform.scottishwidows.co.uk\\\/campaign\\\/#website\",\"url\":\"https:\\\/\\\/platform.scottishwidows.co.uk\\\/campaign\\\/\",\"name\":\"Scottish Widows Platform\",\"description\":\"\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\\\/\\\/platform.scottishwidows.co.uk\\\/campaign\\\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"}]}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"The lowdown on India -","description":"Discover how global markets performed in August 2025. This review covers key data across equities, bonds, and commodities, with insights into regional performance & macroeconomic drivers.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/platform.scottishwidows.co.uk\/campaign\/the-lowdown-on-india\/","og_locale":"en_US","og_type":"article","og_title":"The lowdown on India","og_description":"Discover how global markets performed in August 2025. This review covers key data across equities, bonds, and commodities, with insights into regional performance & macroeconomic drivers.","og_url":"https:\/\/platform.scottishwidows.co.uk\/campaign\/the-lowdown-on-india\/","og_site_name":"Scottish Widows Platform","article_modified_time":"2025-09-23T11:35:43+00:00","og_image":[{"width":2560,"height":1440,"url":"https:\/\/ls-embark.imgix.net\/https%3A%2F%2Fplatform.scottishwidows.co.uk%2Fcampaign%2Fwp-content%2Fuploads%2Fsites%2F4%2F2025%2F09%2Fip-sept25-article6-thumb.jpg?auto=compress%2Cformat&crop=entropy&cs=tinysrgb&fit=crop&fm=webp%2Cjpg&ixlib=php-2.1.1&q=90&s=84e532524d057455ad21ef176b8d38b3","type":"image\/jpeg"}],"twitter_card":"summary_large_image","twitter_site":"@swidowsadviser","twitter_misc":{"Est. reading time":"4 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/platform.scottishwidows.co.uk\/campaign\/the-lowdown-on-india\/","url":"https:\/\/platform.scottishwidows.co.uk\/campaign\/the-lowdown-on-india\/","name":"The lowdown on India -","isPartOf":{"@id":"https:\/\/platform.scottishwidows.co.uk\/campaign\/#website"},"primaryImageOfPage":{"@id":"https:\/\/platform.scottishwidows.co.uk\/campaign\/the-lowdown-on-india\/#primaryimage"},"image":{"@id":"https:\/\/platform.scottishwidows.co.uk\/campaign\/the-lowdown-on-india\/#primaryimage"},"thumbnailUrl":"https:\/\/ls-embark.imgix.net\/https%3A%2F%2Fplatform.scottishwidows.co.uk%2Fcampaign%2Fwp-content%2Fuploads%2Fsites%2F4%2F2025%2F09%2Fip-sept25-article6-thumb.jpg?auto=compress%2Cformat&crop=entropy&cs=tinysrgb&fit=crop&fm=webp%2Cjpg&ixlib=php-2.1.1&q=90&s=84e532524d057455ad21ef176b8d38b3","datePublished":"2025-09-22T12:00:28+00:00","dateModified":"2025-09-23T11:35:43+00:00","description":"Discover how global markets performed in August 2025. This review covers key data across equities, bonds, and commodities, with insights into regional performance & macroeconomic drivers.","breadcrumb":{"@id":"https:\/\/platform.scottishwidows.co.uk\/campaign\/the-lowdown-on-india\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/platform.scottishwidows.co.uk\/campaign\/the-lowdown-on-india\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/platform.scottishwidows.co.uk\/campaign\/the-lowdown-on-india\/#primaryimage","url":"https:\/\/ls-embark.imgix.net\/https%3A%2F%2Fplatform.scottishwidows.co.uk%2Fcampaign%2Fwp-content%2Fuploads%2Fsites%2F4%2F2025%2F09%2Fip-sept25-article6-thumb.jpg?auto=compress%2Cformat&crop=entropy&cs=tinysrgb&fit=crop&fm=webp%2Cjpg&ixlib=php-2.1.1&q=90&s=84e532524d057455ad21ef176b8d38b3","contentUrl":"https:\/\/ls-embark.imgix.net\/https%3A%2F%2Fplatform.scottishwidows.co.uk%2Fcampaign%2Fwp-content%2Fuploads%2Fsites%2F4%2F2025%2F09%2Fip-sept25-article6-thumb.jpg?auto=compress%2Cformat&crop=entropy&cs=tinysrgb&fit=crop&fm=webp%2Cjpg&ixlib=php-2.1.1&q=90&s=84e532524d057455ad21ef176b8d38b3","width":2560,"height":1440,"caption":"A vibrant sunset over New Delhi's Rajpath, with crowds and vehicles, framing iconic government buildings and lampposts"},{"@type":"BreadcrumbList","@id":"https:\/\/platform.scottishwidows.co.uk\/campaign\/the-lowdown-on-india\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/platform.scottishwidows.co.uk\/campaign\/"},{"@type":"ListItem","position":2,"name":"The lowdown on India"}]},{"@type":"WebSite","@id":"https:\/\/platform.scottishwidows.co.uk\/campaign\/#website","url":"https:\/\/platform.scottishwidows.co.uk\/campaign\/","name":"Scottish Widows Platform","description":"","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/platform.scottishwidows.co.uk\/campaign\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"}]}},"_links":{"self":[{"href":"https:\/\/platform.scottishwidows.co.uk\/campaign\/wp-json\/wp\/v2\/digizine\/4976","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/platform.scottishwidows.co.uk\/campaign\/wp-json\/wp\/v2\/digizine"}],"about":[{"href":"https:\/\/platform.scottishwidows.co.uk\/campaign\/wp-json\/wp\/v2\/types\/digizine"}],"version-history":[{"count":6,"href":"https:\/\/platform.scottishwidows.co.uk\/campaign\/wp-json\/wp\/v2\/digizine\/4976\/revisions"}],"predecessor-version":[{"id":4987,"href":"https:\/\/platform.scottishwidows.co.uk\/campaign\/wp-json\/wp\/v2\/digizine\/4976\/revisions\/4987"}],"acf:post":[{"embeddable":true,"href":"https:\/\/platform.scottishwidows.co.uk\/campaign\/wp-json\/wp\/v2\/issue\/4878"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/platform.scottishwidows.co.uk\/campaign\/wp-json\/wp\/v2\/media\/4981"}],"wp:attachment":[{"href":"https:\/\/platform.scottishwidows.co.uk\/campaign\/wp-json\/wp\/v2\/media?parent=4976"}],"wp:term":[{"taxonomy":"wf_digizine_folders","embeddable":true,"href":"https:\/\/platform.scottishwidows.co.uk\/campaign\/wp-json\/wp\/v2\/wf_digizine_folders?post=4976"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}