The coming decade is likely to see large improvements in India’s productivity according to Mirae Asset Global Investments, with the country’s infrastructure tapped for development.
In a note to investors, Mirae Asset Global Investments co-chief investment officer Rahul Chadha said infrastructure was a “vital area of improvement” for India and an area likely to undergo vast improvements in the next 10 years.
“To offer a personal example: I used to spend close to three hours a day commuting on trains when I was in Mumbai over 10 years ago, which took a lot of my energy. When I arrived in Singapore and Hong Kong my commute time was cut to 30 minutes,” he said.
“This is a simple personal example, but one can imagine the positive impact that reverberates throughout the economy when this happens across the country."
Mr Chadha said the development of infrastructure in India would be “not only limited to physical infrastructure such as roads and rails, but also through technology-enabled efficiency gains”.
These technological advancements will yield improvements in unique identification and e-governance processes and systems, Mr Chadha said.
“I am also hopeful that the government will remain on its path to becoming a cleaner government with less crony capitalism. We have already seen the turning point under the Modi government,” he said.
“India’s tremendous potential has always been there, and the people are hungry to prosper and do better in life. What the government has done, and hopefully will continue to do, is create the enabling conditions for India to realise its potential.”