New Delhi: India's economy could double in size to more than $8 trillion over the next decade as structural reforms, infrastructure investment and formalisation continue to raise the country's growth ceiling, global investment firm KKR has said in its latest outlook.
India has already crossed the $4-trillion mark and remains on track to double again over the next 10 years, KKR said in its 'Thoughts From the Road - Europe and Asia' report for October 2026.
"India remains one of the clearest examples of how patient, structural reform can pay off over a decade rather than a quarter," the report said, arguing that the country's growth story is far from mature.
Reforms that 'reset the growth ceiling'
KKR said reforms undertaken since 2014, including the Goods and Services Tax, the Insolvency and Bankruptcy Code, labour-market formalisation, digitalisation and sustained infrastructure spending, have "quietly reset the country's growth ceiling".
The investment firm sees these changes supporting a durable 10-11 per cent nominal GDP growth path, with further gains possible even from reforms that have already been implemented. "We do not see this as a story that has run its course," the report said. "There is still meaningful upside to be unlocked from reforms already on the books, not just from new ones yet to come."
Increased formalisation of the economy has also lowered the risk premium attached to Indian cash flows, KKR said, improving the durability of the growth outlook.
Services, GCCs and AI
Services exports are emerging as another major pillar of growth. KKR said Global Capability Centres are increasingly taking over from traditional IT services as an important growth engine, with services already accounting for more than half of the contribution to India's real GDP growth.
The report also pushed back against concerns that artificial intelligence could undermine India's technology-services industry. Instead, KKR expects domestic IT companies to embed AI into their service-delivery systems, potentially making the technology "the next leg of growth" rather than merely a disruptive threat.
On the consumer front, KKR said rising incomes and consumption remain among its strongest structural investment themes in India, although elevated crude oil prices around $100 a barrel could temporarily slow the consumer story.
Sources:
Moneycontrol: India economy can double to $8 trillion over next decade as reforms lift growth ceiling
ABP News (IANS): From $4 Trillion To $8 Trillion - Report Says India's Economy Could Double In 10 Years
India has already crossed the $4-trillion mark and remains on track to double again over the next 10 years, KKR said in its 'Thoughts From the Road - Europe and Asia' report for October 2026.
"India remains one of the clearest examples of how patient, structural reform can pay off over a decade rather than a quarter," the report said, arguing that the country's growth story is far from mature.
Reforms that 'reset the growth ceiling'
KKR said reforms undertaken since 2014, including the Goods and Services Tax, the Insolvency and Bankruptcy Code, labour-market formalisation, digitalisation and sustained infrastructure spending, have "quietly reset the country's growth ceiling".
The investment firm sees these changes supporting a durable 10-11 per cent nominal GDP growth path, with further gains possible even from reforms that have already been implemented. "We do not see this as a story that has run its course," the report said. "There is still meaningful upside to be unlocked from reforms already on the books, not just from new ones yet to come."
Increased formalisation of the economy has also lowered the risk premium attached to Indian cash flows, KKR said, improving the durability of the growth outlook.
Services, GCCs and AI
Services exports are emerging as another major pillar of growth. KKR said Global Capability Centres are increasingly taking over from traditional IT services as an important growth engine, with services already accounting for more than half of the contribution to India's real GDP growth.
The report also pushed back against concerns that artificial intelligence could undermine India's technology-services industry. Instead, KKR expects domestic IT companies to embed AI into their service-delivery systems, potentially making the technology "the next leg of growth" rather than merely a disruptive threat.
On the consumer front, KKR said rising incomes and consumption remain among its strongest structural investment themes in India, although elevated crude oil prices around $100 a barrel could temporarily slow the consumer story.
Sources:
Moneycontrol: India economy can double to $8 trillion over next decade as reforms lift growth ceiling
ABP News (IANS): From $4 Trillion To $8 Trillion - Report Says India's Economy Could Double In 10 Years
