Archive · 17 Jan 2026
India Anchors South Asia Growth Amid Global Uncertainty
Many top economists think the world economy might get worse this year, but they see India and South Asia as bright spots.
India is growing fast with low inflation, and many people think new technology like AI will help even more.
Even though there are some problems with trade, India is doing well and making changes to help businesses.
Most economists don't think there will be big changes in money or tax rules soon.
They also think the US dollar might get weaker, which could help some countries.
53% of chief economists expect global economic conditions to weaken in 2026, down from 72% in September 2025.
South Asia is seen as the brightest growth spot among emerging regions, with India anchoring the outlook.
India's GDP grew by 8.2% year-on-year in the September quarter, with near-zero inflation.
36% of respondents anticipate a significant positive impact of AI investments on growth over the next two years.
Most economists expect monetary and fiscal policies to remain unchanged in the year ahead.
- Who
- Chief economists surveyed by the World Economic Forum
- What
- Global economic outlook and South Asia's growth prospects
- When
- 2026, with data from September 2025
- Where
- Global, with focus on South Asia and India
- Why
- Mounting trade headwinds, asset valuations, debt, geo-economic realignment, and AI deployment
- Global Economic Outlook
- 53% expect weakening, down from 72% in September 2025
- South Asia Growth
- 66% expect strong or very strong growth
- India's GDP Growth
- 8.2% year-on-year in September quarter
- India's Inflation
- Near-zero
- AI Impact on Growth
- 36% anticipate significant positive impact
- Monetary Policy
- 66% expect no change
- Fiscal Policy
- 85% expect no major changes
Sources
Uncertainty Around Tech, AI Stocks Remain High Globally In 2026: Report
MARKETS-U.S. stocks jittery, Fed chair talk ripples through markets
India anchoring SA as world’ brightest growth spot : WEF
Why so many stocks are suddenly defying gravity
FII short positions show India lagging AI boom, says Mihir Vora
