'India Will Become Engine Of World Growth': PM Modi Highlights Nation's Agreements, Policy Shifts

Prime Minister Narendra Modi on Friday said India is poised to emerge as a major driver of global growth and a foundational force in the evolving world order, highlighting the country’s economic rise, reform agenda and technology-led transformation.

Addressing the ET Now Global Business Summit 2026, PM Modi said the past decade had witnessed significant global upheavals, ranging from the pandemic to geopolitical tensions and supply chain disruptions, but asserted that India had turned challenges into opportunities.

“The past decade of the 21st century has been disrupting the global pandemic. There is tension and war in different parts of the globe, and supply chain breakdowns are shaking the balance of the globe. The world has seen a lot in the past decade,”

he said.

He added that crises often reveal a nation’s true potential and said India had demonstrated resilience during this period.

“I am very proud that in the midst of many disruptions, this decade has been a time of unprecedented development for India. It has been a time of great delivery and a time of strengthening democracy,” the Prime Minister said.

INDIA’S ECONOMIC RISE AND GLOBAL ROLE

Recalling India’s economic position a decade ago, PM Modi said the country had moved steadily upward despite doubts about its trajectory.

“When the last decade began, India was the 11th-largest economy. But today, India is rapidly becoming the third-largest economy in the world,” he said.

He stressed that India would play a defining role in shaping global growth in the coming decades.

“The century of change you are talking about, India is going to be a great foundation for it. India will drive the growth of the world. It will become a new engine for the growth of the world,” he said.

The Prime Minister noted India currently contributes more than 16 per cent to global growth and expressed confidence that this contribution would continue to increase.

NEW WORLD ORDER AND RESILIENCE

PM Modi said the global order formed after the Second World War was transforming, as earlier assumptions about stable supply chains and uniform development models were breaking down.

“The world is moving towards a new world order,” he said, adding that the earlier system was based on a “one size fits all” approach that is now losing relevance.

He said nations are increasingly focusing on building resilience, adding that India had adopted this vision early through the founding principles of NITI Aayog.

FREE TRADE AGREEMENTS AND POLICY SHIFT

The Prime Minister said India’s free trade agreements were now widely discussed internationally, attributing the change to improved governance and clarity in policy.

“There’s a lot of discussion these days about India’s FTAs. We are able to sign these trade deals because today’s India is full of self-confidence and ready to compete with the world,” he said.

He said earlier policy uncertainty and governance challenges had weakened global confidence, but reforms had changed perceptions about India.

REFORMS, TECHNOLOGY AND GOVERNANCE

Highlighting reforms, PM Modi said his government had shifted policymaking towards outcomes rather than mere expenditure.

He described India as riding a “Reform Express,” with technology and innovation serving as core drivers of growth. He cited the Unified Payments Interface (UPI) as a key example of reforms driven by conviction.

“It’s not just an app; it’s a testament to the remarkable convergence of policy, process, and delivery,” he said, adding that digital reforms had expanded financial inclusion.

The Prime Minister also highlighted increased capital expenditure, infrastructure investments and initiatives such as university townships, economic regions and high-speed rail corridors as steps aimed at strengthening productivity and employment.

AI AND FUTURE PREPAREDNESS

PM Modi underlined that artificial intelligence would bring transformative disruptions globally and said India was preparing itself for that future.

Referring to the upcoming Global AI Impact Summit to be hosted in India, he said the gathering of world leaders and technology experts would help advance efforts toward building a better world.

Reaffirming the government’s long-term vision, PM Modi said India’s policies were guided by the goal of becoming a developed nation by 2047, stressing that decisions taken today were aimed at securing the future of coming generations.