A robust global economic recovery looks unlikely under the gloom of the residual effects of the pandemic, rising interest rates, the impact of climate change, and growing uncertainties. However, amidst this shines a bright spot: according to estimates by the International Monetary Fund (IMF), Asia will contribute to almost 70% of global growth this year.

India and China are expected to generate about half of the world’s growth this year. The Indian economy continues to fare well despite global headwinds, and is expected to log a GDP growth of 6%–6.8% in FY 2024, against the global growth estimate of 3%. This growth could be attributed to multiple factors, including strong domestic demand and inflation-control measures.  

While India is defending its economy from global slowdowns, it is also laying the groundwork for long-term growth by sharpening its international trade strategy. The recent spree of Free Trade Agreements (FTAs) is a page out of this new playbook. FTAs are key to economic prosperity in today’s world, and are the cornerstone of a competitive economy, contributing to the prosperity of trading nations.

India has recently signed FTAs with the UAE and Australia and is currently in negotiations with the UK, the EU, Canada, and Israel. This expands India’s trade horizons well beyond its ‘Look East Policy’ followed since the turn of the century. The agreements will enable India to transform its role in the global value chain, and adopt modern trade elements like sustainability, labour, supply chain resilience, and digital trends. The FTAs are expected to create mutually beneficial opportunities for India and its trading partners around the world.  

This special edition of The Indian Tiffin brings together insights from business, policy, and consultancy on the strategic role of FTAs in the new global trade order that recognises India as a key trading partner.