India at Crossroads: Accelerate Reforms to Sustain Economic Momentum

India's recent economic achievements might be at risk unless it speeds up structural reforms in critical sectors such as jobs, manufacturing, and innovation, warned brokerage firm Bernstein in a letter to Prime Minister Narendra Modi.

The note praised India's current macroeconomic stability and growth driven by capital expenditure, but cautioned against complacency. It emphasized the rapid global shift in supply chains and technology, particularly in artificial intelligence, which could threaten India's services sector.

Bernstein highlighted agricultural bottlenecks and inefficiencies in power distribution as additional concerns, urging decisive action in research, development, and infrastructure to ensure sustained economic progress.