View: The ‘Modi-fication’ of India is still thrilling markets

In late 2013, Goldman Sachs Group Inc. expressed optimism about India amidst a growth slowdown, titling its report "Modi-fying Our View," referring to Narendra Modi, then a favored prime ministerial candidate. However, a decade later, Modi's zeal for reform has waned, with the BJP's promises now more modest. Despite this, global financial industry support for Modi remains high, with expectations of increased overseas capital post-elections. This new investor-Modi compact focuses on what he won't do, such as following authoritarian paths like China's Xi Jinping or pursuing ultra-low interest rates like Turkey's Erdogan. With a favorable environment for investors, Modi's potential third term is anticipated to bring increased investment, guided by discretionary incentives and protective trade barriers.

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