Economy Policy
India at WEF 2026: Growth, trade confidence and why Davos is watching India closely
From trade leverage to AI and clean energy, India’s Day 1 at Davos signals confidence—and rising expectations.
India’s opening day at the World Economic Forum this year delivered a clear message: the country is no longer at Davos to sell potential. It is here to assert relevance.
As the five-day summit began under the theme “A Spirit of Dialogue”, India featured prominently in conversations around global growth, trade recalibration, technology and investment execution. From comments by the World Economic Forum’s president to the scale of India Inc’s presence on the promenade, Day 1 positioned India as a country the world must now factor into its economic decisions.
What was said: India’s growth gives it trade leverage
The strongest validation came from World Economic Forum president Børge Brende, who framed India’s rise not as aspirational but structural.
Speaking to India Today on Day 1, Brende said India’s economic momentum has reshaped its leverage in the global economy, allowing New Delhi to negotiate trade deals on its own terms. “India can make deals on trade that are in India’s interest,” he said, adding that the country no longer needs to rush into agreements or act defensively.
Brende anchored that confidence in numbers. He described India as the fastest-growing large economy, contributing around 20% of global growth. “That is incredible,” he said, noting that India’s confidence today is backed by data, not rhetoric.
In a separate interview with NDTV, Brende reiterated that India could account for nearly one-fifth of global growth this year, citing the acceleration of economic reforms as a key reason. He said the speed and force of recent reforms had exceeded expectations, making him more bullish on India’s outlook.
On trade corridors, Brende said a US–India trade agreement is likely at some point, given the direction of engagement between the two economies. He also said the timing appears right for progress on India–EU trade talks, arguing that both sides now stand to gain.
How the world responded: Confidence, but with caution
While India’s growth story drew attention, the global mood at Davos remains cautious.
Brende acknowledged that global trade is slowing amid tariffs, geopolitical tensions and supply-chain realignments, but said it is not collapsing. “We still expect 3% growth in trade this year,” he told India Today. “Trade is like water, it finds its way.”
That caution is reflected in the WEF Global Risks Report 2026, which flagged geoeconomic confrontation as the top near-term risk, ahead of armed conflict and environmental threats. Around half of global respondents expect a turbulent environment between 2026 and 2028, reinforcing why investors are closely watching large, stable growth markets like India.
A symbolic early interaction underscored India’s positioning. As reported by Web India 123, India’s Ambassador to Switzerland Mridul Kumar met World Bank Group president Ajay Banga at Zurich Airport as he arrived for Davos. The Indian mission said the exchange touched on India’s development priorities and cooperation with the World Bank, signalling continuity in institutional engagement.
Why corporate India mattered on Day 1
If government messaging set the tone, corporate India set the scale.
More than 100 Indian CEOs are in Davos this year, alongside a large central and state government delegation. Indian IT majors — TCS, Wipro, Infosys, HCLTech and Tech Mahindra — have established prominent lounges along the main promenade, with artificial intelligence emerging as the dominant theme.
Wipro is positioning itself around “AI and beyond”, while TCS is highlighting the embedding of AI across every service it delivers, PTI reported. The physical visibility of Indian firms reflects a broader shift: global interest in India is increasingly tied to execution capability, not just cost or talent supply.
State governments also used Day 1 to sharpen their pitch. Maharashtra Chief Minister Devendra Fadnavis told IANS that international funds are increasingly viewing India as a key investment destination, citing strong global confidence in the country’s growth story.
Fadnavis highlighted Maharashtra’s MoU conversion rate of 55–60%, rising to over 70% for Davos-linked proposals, positioning execution as India’s next credibility test.
Clean energy and capital commitment enter the conversation
Day 1 also delivered a tangible investment signal. PTI reported that Indian entrepreneurs launched LNK Energy, a clean-energy platform with a planned ₹10,000 crore investment over five years, on the sidelines of the forum.
The platform will span solar manufacturing, green fuels and renewable energy generation, aligning with India’s push on energy security, decarbonisation and domestic manufacturing. The announcement added substance to India’s clean-energy narrative at Davos, moving it beyond policy intent.
Day 1 takeaway: India’s moment—and its test
The dominant takeaway from India’s first day at Davos is clear: India has moved from being a growth story to a growth anchor.
But with that elevation comes sharper scrutiny. Investors, policymakers and business leaders are now watching how India converts visibility into outcomes — trade progress, capital deployment, technology adoption and job creation.
Davos has heard India’s confidence before. What makes 2026 different is that the world now expects delivery.
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