India global growth could play a major role in the next phase of the world economy, according to International Monetary Fund (IMF) Deputy Managing Director Nigel Clarke.
Clarke said India has the potential to power the next wave of global growth. He pointed to the country’s strong economic fundamentals, private sector strength and expanding technology capabilities.
Following his September 7–11 visit to India, Clarke described the country as the world’s fastest-growing major economy. He also highlighted its growing contribution to global economic activity and the strength of its policy frameworks.
During the visit, Clarke met Finance Minister Nirmala Sitharaman, Reserve Bank of India Governor Sanjay Malhotra and NITI Aayog Vice Chairman Ashok Kumar Lahiri.
He also held discussions with government officials, business leaders and other stakeholders in Mumbai and Chennai.
India Global Growth Depends on Macroeconomic Stability
Clarke said his discussions covered India’s economic outlook, the changing global environment and measures to support sustainable and inclusive growth.
Global uncertainty remains elevated, with economic risks continuing to evolve. Clarke said maintaining macroeconomic stability and building resilience would remain important for India.
“We discussed the importance of maintaining nimble policies, keeping inflation in check, and advancing reforms that can lift productivity, strengthen competitiveness, and sustain strong growth over the medium term,” Clarke said.
He also acknowledged India’s continued support for multilateralism and its assistance to other countries in the region.
Technology and Skills Can Support India Global Growth
Clarke highlighted India’s private sector dynamism, large talent pool and expanding technological and manufacturing capabilities.
His meetings with business leaders highlighted the potential of innovation and digital transformation to improve productivity. Advanced manufacturing and wider technology adoption could also help businesses move towards higher-value economic activities.
For companies, these trends could create opportunities across technology, manufacturing, digital services and other productivity-focused sectors.
Clarke also stressed the importance of continued investment in skills. Responsible technology adoption will be important to ensure that the gains from economic growth reach a wider section of society.
Reforms to Strengthen Productivity and Competitiveness
The IMF’s message places productivity and competitiveness at the centre of India’s medium-term growth prospects.
Policy flexibility could help India respond to changing global conditions. At the same time, reforms that improve productivity could strengthen the economy’s ability to sustain growth.
For businesses, a stable macroeconomic environment and stronger policy frameworks can support investment and long-term planning.
India’s Role in the Global Economy
India’s growing economic scale gives it an increasingly important role in global growth.
Clarke said the country’s combination of economic fundamentals, private-sector activity, technology adoption and manufacturing capabilities provides a strong base for future expansion.
“India has the potential to power the next wave of global growth, and the IMF remains a close partner in supporting the country on this journey,” Clarke said.
