FTAs way forward for trade-based growth
India to remain fastest-growing large economy in the world for next 30 years, as the country has maintained sustained growth of 6–7% and hopes to push it to 8% at constant prices, said Minister for Commerce & Industry Piyush Goyal has assured a national business event https://www.commerce.gov.in/ .
Addressing the CII Annual Business Summit 2025 on 29 May in New Delhi, he said, “Even amidst international upheavals, we are among the better-performing emerging markets. Today, India holds the 4th largest foreign exchange reserves in the world at about US$690 billion.
“Our inflation has remained below 4% for the last three months. The Reserve Bank has done a commendable job balancing liquidity and currency management https://www.investindia.gov.in/.”
Goyal highlighted India as an attractive investment destination. “Over the past 20–25 years, Indian companies have delivered nearly 20% CAGR returns, making India a compulsive investment destination. FDI inflows are consistently breaking records. We are back on track on the growth trajectory, working through international trading relations,” he underlined.
He cited progress on various Free Trade Agreements (FTAs), including those with the UAE, Australia, the UK, the four EFTA countries (Iceland, Liechtenstein, Norway, and Switzerland), and the ongoing bilateral trade agreement negotiations with the USA https://fieo.org/.
“We are well on track with our bilateral trade agreement with the USA and making fast progress with the European Union’s 27-nation bloc. We have also launched negotiations with New Zealand,” he stated https://www.nseindia.com/.
The EFTA countries have committed US$100 billion in Foreign Direct Investment (FDI) to India over the next 15 years. This is expected to crystallise into a total investment of US$500 billion. Furthermore, the large ecosystem that will be created around this investment has the potential to attract an additional US$500 billion https://www.bseindia.com/.
“We are not aiming small,” added Goyal, emphasising that this figure does not include investments from the Norwegian Pension Fund and represents pure FDI. He further highlighted that this is the first Free Trade Agreement (FTA) in the world to include such a forward-looking investment clause.
Goyal expressed pride at India’s continued economic progress and stated that the IMF has projected that by 2027, India will be the world’s third largest GDP. He added that despite global volatility, uncertainty and complexity, India remains the fastest-growing economy and continues to power global growth through growth in India.
The Minister underlined that growth through trade, resilient supply chains and innovation would remain incomplete without inclusive growth https://sbi.com.in/.
Highlighting the Government’s sustained push for ease of doing business, the Minister said that over 40,000 compliances have been reduced, several laws have been decriminalised, and nearly 2,000 obsolete laws have been removed from the statute book.
He noted that the Jan Vishwas Bill reflects the trust between the people of India and the Government of India. “The Act promotes self-certification, encourages businesses to offer suggestions to improve ease of doing business, and simplifies people’s lives. It reflects a government that trusts its stakeholders,” he said, acknowledging CII’s important role in this journey.
Speaking on the role of technology and future-readiness, Goyal appreciated the continuous engagement between CII and the Government.
He elaborated, “CII has acted as a bridge between aspirations and Government actions. As the Government promotes Artificial Intelligence (AI), we recognise CII’s role in skilling people, MSMEs and industries, understanding regulatory frameworks, and ensuring responsible AI adoption https://www.ibef.org/.
“This includes assessing AI’s impact on business and employment, as well as the need for skilling and reskilling professionals to embrace smarter, more efficient technologies in public interest,” he said.
He further stated that renewable energy coupled with storage is now available at Rs.3.30 per kilowatt hour in India — among the lowest globally.
“Solar and wind plus storage make a compelling case for data centres to come to India. We have a large interconnected grid with low-cost clean energy to power these centres,” he pointed out, adding, “This is not just about sustainability — it is an economic case https://www.makeinindia.com/home/.”
Touching on inclusive growth, Goyal said, “India’s growth is based on three tracks — strong macroeconomic fundamentals; a nation respected across the world as a trusted partner; and a nation of 140 crore aspirational Indians. On these three tracks, we are preparing for Viksit Bharat 2047 — a journey of growth through speed, skill and scale.” Fiinews.com
