Business leader emphasizes the need for India to rethink its investment approach
New Delhi: India continues to lead as the fastest-growing economy worldwide, with expectations to surpass Germany to claim the third-largest economy position. During a discussion at the World Economic Forum in Davos, David Rubenstein, co-founder of the American firm Carlyle Group, expressed optimism that India could emerge as the world’s largest economy in the coming decades.
Rubenstein remarked, “I believe India could become the largest economy in 20 to 30 years.” He reassured that there are no concerns regarding US–India relations, mentioning that former President Trump maintained a generally favorable stance towards India, even appointing a trusted associate as ambassador.
Rubenstein shares insights on investment policies
Rubenstein advised Indian policymakers to not treat global private credit, private equity (PE), and private investments as merely Western-style methods. He noted that by fostering a thriving PE and private credit environment, Indian entrepreneurs will find opportunities to participate more actively in the market.
He defined private equity as investments put into companies that are not publicly traded, while private credit involves businesses providing loans directly rather than through banks. These innovative investment paths are gaining traction, and Rubenstein highlighted that his group has invested over USD 8 billion in various Indian sectors.
Discussion on the US-China trade relations
He also commented on the US-China dynamics, clarifying that Trump’s policies aimed to address trade imbalances rather than harm China. He mentioned that when China recognized the challenges it faced with the United States, it began diversifying its markets. This shift resulted in China achieving an annual surplus exceeding one trillion dollars by increasing its sales overseas.
