India has potential to power next wave of global growth: IMF
Washington: India has the potential to power the next wave of global growth, supported by its strong economic foundations, private-sector dynamism and expanding technological capabilities, a senior International Monetary Fund official has said.
IMF Deputy Managing Director Nigel Clarke made the assessment after completing a five-day visit to India that included meetings in New Delhi, Mumbai and Chennai.
“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 in a statement issued from Washington.
It was Clarke’s first visit to India as an IMF deputy managing director. He met Finance and Corporate Affairs Minister Nirmala Sitharaman, Reserve Bank of India Governor Sanjay Malhotra and NITI Aayog Vice Chairman Ashok Kumar Lahiri.
“I was delighted to visit India for the first time as Deputy Managing Director of the IMF and engage with senior officials, business leaders, and other stakeholders in New Delhi, Mumbai, and Chennai,” he said.
Clarke thanked the three senior Indian officials for their “warm hospitality and constructive discussions”.
The IMF official described India as the world’s fastest-growing major economy and a central contributor to international economic expansion.
“India continues to be a key driver of global growth as the world’s fastest-growing major economy, supported by strong fundamentals and sound policy frameworks,” he said.
Clarke said his discussions with Indian policymakers covered the country’s economic outlook, changes in the global environment and measures needed to support sustainable and inclusive growth.
“Against a backdrop of heightened global uncertainty and evolving risks, preserving macroeconomic stability and resilience remains essential,” he said.
“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 also thanked the Indian government for supporting multilateralism and assisting other countries in the region.
During the visit, he met business leaders and examined the role of India’s private sector in the country’s economic expansion.
“I am grateful for the opportunity to engage with business leaders and was impressed by India’s private sector dynamism, deep talent pool, and rapidly evolving technological and manufacturing capabilities,” Clarke said.
He identified innovation, digital transformation, advanced manufacturing and wider technology adoption as important drivers of productivity and competitiveness.
“Our exchanges highlighted how innovation, digital transformation, advanced manufacturing, and technology adoption can boost productivity, strengthen competitiveness, and support higher-value activities,” he said.