Navigate India's Post-Election Economic Landscape With ETFs

Economic Outlook of India:

• Despite market uncertainty post-elections, India's economic outlook is positive with growth projections revised upwards for 2024 and 2025 by the UN, IMF, and RBI.
• S&P Global Ratings upgraded India's sovereign rating outlook to 'positive' driven by robust economic growth and government spending quality.
• Nifty 50 performance during election years shows significant trends with markets stabilizing within months post-election results.

Government Policies and Manufacturing:

• The government aims to increase India's share of global manufacturing to 10% by 2047, focusing on business-friendly measures and reforms in land and labor laws.
• Coalition partners could assist in advancing stalled initiatives for land and labor reform crucial for expanding the manufacturing sector.

Market Sentiment and Political Landscape:

• Market volatility initially followed the unexpected election results in India, indicating a decline in Modi's influence, but markets have since resumed an upward trend.
• The formation of a coalition government has led to uncertainties, but the government's commitment to policy continuity and economic development remains stable.