India Market Monitor Q4 2023 - Investments

The Indian economy continues to demonstrate resilience as it maintains its growth trajectory aided by a narrowing current account deficit and near-record foreign exchange reserves, among other factors. The Reserve Bank of India’s (RBI) upward revision of its FY 2023-24 GDP forecast also adds buoyancy to the overall business sentiment. In addition, record inflows are being witnessed in the financial markets by domestic and foreign investors alike. However, government and private expenditure, along with the manufacturing sector, are showing some signs of weakness.

With this backdrop, here is a review of key trends witnessed in the investments sector in 2023:

-        Investments: Investment activity regained momentum in the second half of 2023; however, the year closed with a marginal decline in capital inflows compared to 2022. Land activity remained robust during the year, while opportunistic and core / core plus bets dominated the capital flows.

To delve deeper into our analysis of the real estate sector’s investment landscape in India in 2023, please click on the download button.