Street Smart
Business Today India|September 15, 2024
The Indian economy is expected to touch 30-35 trillion in 2047 from 3.93 trillion in 2024. That is expected to have a ripple effect on the stock markets and equity investors are set to benefit
RAHUL OBEROI
Street Smart

WHAT WILL BE the state of the stock markets in 2047? Reading the tea leaves makes one thing clear: the next 23 years are going to be an exciting ride for India. Over the past three decades, the equity markets in India have undergone a remarkable transformation—evolving from desktops to smartphones and from ring-based to algorithm trading—defying all expectations. Going ahead, there are expectations that the economy could reach $30-35 trillion by 2047. This growth could potentially be beneficial for equity investors as more and more of them are flocking to the markets.

Analysts predict a strong stock market ecosystem in India by 2047, supported by favourable demographics, technological progress, and economic expansion, making it an ideal destination for investment. Manoj Bahety, Founder & Fund Manager, Carnelian Asset Management & Advisors, says, “Investing in India today is a once-in-a-lifetime opportunity. The most important mega-trend is the demographic dividend, which will drive structural changes across sectors. India will contribute around 25% to the incremental global workforce and remain the youngest country for the next 30 years.”

This demographic dividend will lead to a consumption boom, presenting India as a global wonderland of industry and commerce. All these bode well for the Indian stock market, which is expected to undergo significant changes in terms of policy, and technology, and will see greater participation from smaller cities by 2047, when India celebrates its centenary of Independence.

TECH ADVANCEMENT

Technology will play a crucial role in driving innovation in the Indian market. It will make transactions easier and cheaper, attracting more investors. “Increased algorithmic trading will make markets more efficient. As India’s share of the world GDP grows, there will be more global integration, enabling seamless cross-border trading and investment,” Bahety says.

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