Davos 2024: While world is fighting for land, India is winning foreign investments at World Economic Forum

Produced by: Tarun Mishra Designed by: Manoj Kumar

India's Presence at Davos

India is making a substantial impact at the World Economic Forum (WEF) in Davos, showcasing its technological progress, business growth, and female leadership. Various initiatives and spaces, including the WeLead Lounge and India Engagement Center, emphasise on country's innovation and startup ecosystem.

Technological Giants and AI Focus

Leading Indian technology and consulting companies such as Wipro, Infosys, Tata, and HCLTech are actively participating at Davos, highlighting India's capabilities in key technologies, with a special emphasis on artificial intelligence (AI).

Strategic Promotion Amid Population Milestone

India's robust representation at Davos comes after surpassing China as the world's most populous country in the previous year. The nation strategically positions itself as an innovative global business hub, offering opportunities for investors seeking growth.

Economic Growth Amid China's Slowdown

India has also positioned its relatively rapid economic growth as a bright spot for investors, especially as China's economy experiences a slowdown. China's GDP increased by 5.2% in the past year, while India achieved a growth of 7.2%.

State Pavilions Competing as Tech Hubs

States like Maharashtra, Tamil Nadu, Telangana, and Karnataka have also established their presence at Davos, positioning themselves as competitive tech hubs for manufacturing and AI. They are expecting trillions of dollars worth of investment in the next few years.

Challenges and Opportunities

Despite India's promotional efforts, challenges persist, including net migration trends, currency depreciation against the dollar, and price sensitivity among consumers and businesses. However, American secretary of state Antony Blinken applauded India for its success story and growth.

Foreign Investment Surge and Industry Shifts

In recent years, India experienced a surge in foreign direct investment, growing from $36 billion in 2014 to $70.9 billion in 2023. Major global manufacturers, including Dell, HP, and Lenovo, are now committed to local production in India. Apple has exemplified the trend by diverting production from China to India.

Big Push for Semiconductor Industry

India is actively encouraging investment from U.S. chipmakers, hosting events like SemiconIndia. Companies like AMD and Micron have also announced substantial investments in India's semiconductor sector, contributing to the country's technological advancement.

India's Rise Amid Global Dynamics

As India ascends on the global stage, the country is benefiting from China's challenges, particularly in accessing key technologies. The democratic stability of India, coupled with strong growth, positions the country favourably, attracting attention and investments at international forums like Davos.