Team India’s World Cup Win And India's Economic Growth Share A Common Spirit, Says Neelkanth Mishra
Mishra said the underlying momentum in the economy is starting to emerge, even though recent quarterly data may not fully reflect it.
If Team India’s thrilling win had you cheering last night, economist Neelkanth Mishra wants you to know, that same energy is pulsing through the Indian economy. The Chief Economist of Axis Bank and Head of Global Research at Axis Capital drew a lively parallel between the women’s cricket team’s confidence and India’s growth story, saying much of the real work happens quietly, away from the spotlight, whether on the field or in the economy.
Mishra said that just as the hard work behind a sporting victory often goes unseen, India’s economic transformation is being built on several state-level initiatives and grassroots developments that do not always capture public attention.
“We are obsessed with what happens in Delhi, but so many big changes have happened at the state level," Mishra told NDTV Profit.
He also pointed that the economy is now creating significant risk capital through 11 crore investment folios building a whole new ecosystem.
Mishra also highlighted how the atmosphere in stadiums during World Cup matches reflected deeper societal changes. “Look at the crowd in the stadiums — that energy and enthusiasm are representative of the larger society. It also does a phenomenal push for empowering periodic labour force participation for women,” he said.
Mishra concluded that just as the women’s team’s confidence and the crowd’s support were key to their victory, the same spirit of confidence and participation is beginning to define India’s economic journey.
Mishra said the underlying momentum in the economy is starting to emerge, even though recent quarterly data may not fully reflect it.
"The next six months will be much better than the last six,” he said, adding that the Monetary Policy Committee (MPC) has acknowledged that growth remains healthy, though still slightly below estimates.
Fiscal Discipline and Early Recovery
Despite fiscal consolidation and tight monetary policy, Mishra said India’s fiscal 2025 growth rate held at around 6.5% year-on-year. “This was despite a 130-basis-point fiscal consolidation and monetary tightening that shaved off over 2% of GDP growth. Now, as monetary easing takes hold, we are seeing credit growth recover faster,” he explained.
He also suggested that some of the upbeat data from sectors such as autos will eventually cascade through the broader economy, driving acceleration across supply chains and upstream industries. This will provide meaningful support to earnings forecasts, especially as India had been lagging other major markets in terms of earnings momentum, he added.
Market Dynamics and FII Flows
Mishra said the relentless foreign investor selling seen in recent months was not only due to domestic concerns or asset losses but also because of the global reallocation of capital towards artificial intelligence-driven sectors.
He also added that it is premature to say the Indian economy will suffer because of AI, adding that the downside pressures may start to moderate soon.
