India’s Rise: A Thriving Economy on the Fast Track
If you have recently spent time in India, you would have likely left feeling inspired by the country's remarkable progress in turbocharging its economy, just as I did. There is no denying that India is firmly on the fast track to becoming the world's next superpower. From its rapid digitalization to ambitious infrastructure developments, India emanates a tangible sense of growth and energy that strikingly resembles what I witnessed in China 10 to 15 years ago.
Just earlier this month, I visited New Delhi, the political and cultural heart of India, where modern infrastructure seamlessly blends with historical landmarks. As I explored the bustling streets of the capital, I could tangibly feel the momentum that is propelling India's impressive growth story.
While I have no intention of comparing and selecting a "winner" between China and India, I see remarkable parallels between the two countries. India's pursuit of infrastructure advancement and digitalization, coupled with its emphasis on technology and innovation, echoes China's path to success.
As a fund manager, when I look at India — precisely because infrastructure and digitalization are keys to driving the country’s growth — these two sectors are among those that I see potential. One of our portfolio companies, APL Apollo Tubes, for one is capitalizing on India’s infrastructure boom. The company’s use of pipes as a replacement for concrete in construction projects has the potential to revolutionize the industry, accelerating the completion of vital infrastructure projects. On the technology side, our holdings include CE Info Systems, which is renowned for its geospatial software solutions, and Persistent Systems, a leader in outsourced software product development. In addition, we also invest in Metropolis Healthcare, which specializes in healthcare testing, and Dreamfolks, which focuses on airline lounges.
As I shared with my fellow panelists at Times Network’s India Economic Conclave conference, I believe India is at the start of a long-term bull run, partly because of the Indian government’s drive to digitalize the country. Meanwhile, its young population also plays a crucial role. Currently, over 40% of Indians are below the age of 25, and based on UN data, the projected median age for 2023 is 28, which is approximately 10 years younger than China's. Having a larger share of working-age people in the population is expected to boost economic growth and innovation for India.
While in New Delhi, I also paid a visit to the office of Penguin Random House India, which will be publishing my first book dedicated to Indian investors. This book aims to empower readers by offering practical guidance, strategies and perspectives tailored specifically to the Indian investment landscape.
As the world continues to grapple with recession fears, India emerges as a bright spot with investors and businesses increasingly recognizing the immense growth potential that India offers. PM Modi’s recent trip to the US has further underscored this significance, with global tech giants including Google, Amazon and Microsoft all having announced substantial investments and commitment to collaborating on the development of India's digital infrastructure. I can't wait to return to the country soon and witness the exciting changes that are about to unfold.