PM Modi Confident About India’s Economic Future
During his inaugural visit to Cyprus on June 15, 2025, Prime Minister Narendra Modi shared an optimistic outlook for India’s economy, stating the nation is set to become the world’s third-largest economy soon.
This visit marked the first time in 23 years that an Indian Prime Minister visited Cyprus. PM Modi made these comments at a high-level business roundtable in Limassol, alongside Cypriot President Nikos Christodoulides.
India’s Economic Growth
PM Modi highlighted that India, currently the fourth-largest economy globally, has seen significant growth in the last 11 years. He credited this improvement to consistent reforms, clear policies, a stable political climate, and enhanced business conditions.
"India is on course to become the third-largest economy. We have made substantial efforts in tax reforms, introduced the Goods and Services Tax (GST), adjusted corporate taxes, and streamlined many outdated laws to focus on making business easier," Modi said during the event.
He also pointed to the importance of digital innovation in India’s rapid growth, with over half of the world’s digital transactions happening in India, largely due to the success of the Unified Payments Interface (UPI). Modi mentioned ongoing discussions about introducing UPI-based digital payments in Cyprus.
Opportunities for Collaboration
PM Modi encouraged Cypriot businesses to tap into investment opportunities in India’s growing sectors such as civil aviation, shipbuilding, and green technology. He emphasized India’s knowledgeable workforce and its thriving start-up scene, particularly in advanced fields like artificial intelligence and semiconductors.
"Cyrpus has been a trusted ally for India, and there is a lot of potential for us to broaden our economic ties. The collaboration in tourism between our countries could also benefit both as strong tourist destinations,” he added.
Economic Initiatives Announced
Several initiatives were unveiled to strengthen economic ties between India and Cyprus. One notable agreement was signed between the NSE International Exchange and the Cyprus Stock Exchange, enhancing financial market collaboration.
The formation of the India–Greece–Cyprus (IGC) Business and Investment Council aims to boost cooperation in shipping, logistics, renewable energy, and other areas. Modi mentioned that many Indian companies see Cyprus as a strategic entry point into Europe for IT, finance, and tourism services.
Strengthening Partnership
Looking to the future, PM Modi and President Christodoulides reiterated their commitment to enhancing the India-EU Strategic Partnership. With Cyprus set to lead the EU Council in 2026, both leaders are optimistic about completing the India-EU Free Trade Agreement (FTA) by the end of 2025, which would enhance trade.
Business Discussions
The business roundtable saw participation from CEOs across various industries including finance, defense, and tourism. PM Modi noted that the insights from these discussions will help create a structured economic plan between India and Cyprus.
"With a shared vision and a focus on the future, India and Cyprus are on the verge of a new chapter of strong economic cooperation," Modi concluded on a positive note.
Following the event, PM Modi shared on social media, “Strengthening business connections! Engaging with top CEOs to invigorate trade between India and Cyprus. There’s immense potential in sectors like innovation and technology, and I discussed India’s reform achievements in the last decade.”
