INTERGEST SOUTH ASIA GIVES AN ECONOMIC UPDATE
India held general elections from 19 April to 1 June 2024, which were held in 7 phases. The results were announced on 4 June and confirmed the absolute majority of the National Democratic Alliance (NDA), which mainly consists of the Bhartiya Janata Party (BJP) led by Narendra Modi. The NDA won 292 out of 543 seats.
This third electoral mandate shows the confidence of Indian voters in the BJP and the Modi government in India.
India has also received a rating upgrade from S&P Global - from stable to positive - which emphasises how good India's economic prospects are, also in coming years. The improved rating position is expected to lead to a reduction in borrowing costs for projects in India.
India itself is also very optimistic about the future and has therefore reported economic growth of 8.2% for 2023/24, which is higher than the previous estimate of 7.6%.
This encouraging development is due to initiatives taken by the Indian government, including manufacturing-linked incentives for foreign companies in India in areas such as telecoms, home appliances, textiles, medical device manufacturing, automobiles, speciality steel, solar panels, advanced chemical batteries, drones, pharmaceuticals, etc.
In the new term, India is committed to further enhance its capabilities in the manufacturing sector to serve as a reliable and trustworthy manufacturing hub for the international business community.
The next step is for the Indian government to announce its new budget, which will provide more details about the new old Modi government's plans for the Indian economy.
The InterGest South Asia team knows the legal, financial and cultural aspects that you need to consider when setting up and operating a company in India. Managing Director Vinayak Hajare, together with his son Rohan, will be happy to answer any questions you may have about this exciting market!
