India’s economic growth and stock market at odds?

India's economy is experiencing robust growth, yet the country's stock market benchmarks have underperformed compared to global peers. Analysts are investigating this disconnect as investors remain skeptical despite positive economic forecasts.
Why it matters
The divergence between India's macroeconomic performance and its equity market health is a critical concern for global investors and policymakers.
Hello, this is Priyanka Salve, writing to you from Singapore.
Welcome to the latest edition of " Inside India " — your one-stop destination for stories and developments from the world's fastest-growing large economy.
India's quarterly economic growth has exceeded expectations several times over the past year, defying a bleak global trade environment, high energy prices and geopolitical uncertainties. But this has failed to boost the country's key stock benchmarks, which have been among the worst-performing major indexes globally.
I spoke with experts to understand what's behind that disconnect.
Any thoughts on today's newsletter? Share them with the team.
India is beating growth expectations even as major economies such as the U.S ., China and Japan are seeing a slowdown. But the country's key stock benchmarks are struggling to reflect that strength, hinting at a festering disconnect between markets and the economy.
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