Digital Desk | New Delhi, Nov 7 (IANS) India has managed to cushion the economy from higher energy prices and AI fears, so the story should not be one of concern about India losing its way in a world of AI, but one of remarkable resilience and opportunity, according to a new HSBC Global Investment Research report.
The AI frenzy has sucked capital into a narrow sector and a few, selected economies.
Returns, at least for a while, have been stunning.
But, given recent jitters, it’s worth to widen the perspective again.
“That’s where India comes in, bypassed by much of global capital in recent quarters.
The challenges, in investors’ minds, are easy to recount: the absence of a vibrant AI hardware sector, the risk that services exports might suffer as AI is adopted more widely, and the spike in global energy prices, which historically hit India hard.
Well, time for a rethink,” said HSBC economists.
India’s economy has weathered these challenges so far with remarkable ease.
After a little pull-back earlier this year, around the height of the conflict in the Middle East, activity has bounced back.
“For one, India has managed to cushion the economy from higher energy prices, with the current account deficit not blowing out as in previous such....
