‘Despite Global Mess, India’s Economy Still Going Strong’: Says Top Govt Advisor

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Even as the world deals with more and more chaos—from wars to shaky economies—India is managing to stay steady. Chief Economic Advisor V. Anantha Nageswaran says the country is one of the few “bright spots” out there right now. In a chat with PTI, he explained how India has been able to keep growing despite everything happening across the globe.

Conflicts and Crises Everywhere

Nageswaran pointed out that things haven’t been easy for anyone since 2022. There’s been war in Ukraine, tensions in West Asia, trade fights, and general global uncertainty. All of this is making it harder for countries to grow, plan, or feel secure.

“You could say that downside risks are higher than the potential for upside surprises,” he said when asked how all this global instability might affect India. He added that this isn’t just India’s problem—it’s something most countries are struggling with.

“To some extent, one can say that the global environment today—whether political, economic or related to security—has become considerably more complicated and more challenging for growth, not just for India but for several countries, almost for the entire world economy,” he said.

India’s Bounce-Back After COVID

Even with all the uncertainty, Nageswaran believes India’s economy has stood its ground. Since the COVID-19 pandemic, the country has not only seen a strong recovery, but the government has also cleaned up its finances.

“We have reduced the fiscal deficit and brought down government debt levels,” he said. That’s helped boost investor confidence. In fact, the difference between Indian and US 10-year government bond yields has narrowed to a point “we’ve never seen at this level before,” he added.

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Growing at 6.5% Is a Big Deal

Right now, India’s growth rate is around 6.5%, and Nageswaran says that’s a pretty big achievement in today’s world. “Given how tough the global climate has become since the 2008 financial crisis, maintaining this rate is no small feat,” he said.

The government is aiming for even higher growth—7% or more—but he warned that the global situation just isn’t as supportive as it once was. Still, even hitting 6.5% in this environment is something to be proud of.

“The government is doing the hard work to grow faster,” he said, “but even maintaining a 6.5 percent growth rate was a solid outcome in today’s world.”

So while the rest of the world seems to be going through one crisis after another, India’s economy is showing strength and stability. That’s helping the country stand out. As Nageswaran put it, India is one of the few places still shining in a world full of uncertainty.