India has had robust economic growth since 1991 when the government reversed its socialist-inspired policy of a large public sector with extensive controls on the private sector and began to liberalize the economy. The economy has responded well by posting strong growth in many sectors. A 2003 report by Goldman Sachs predicts that India's economy would be the third largest by 2050.
With over 20 million shareholders, India has the third largest investor base in the world after the USA and Japan. Over 9,000 companies are listed on the stock exchanges, which are serviced by approximately 7,500 stockbrokers. The Indian capital market is significant in terms of the degree of development, volume of trading and its tremendous growth potential.
The Indian economy has transformed into a vibrant, rapidly growing consumer market, comprising over 300 million strong middle class with increasing purchasing power. India provides a large market for consumer goods on the one hand and imports capital goods and technology to modernize its manufacturing base on the other. As of end-March 2000, the assets under management by the Indian MF industry stood at a staggering Rs 1,13,005 crore.Which is now over 500000 Crores as of April 2008
With the Indian GDP growing at close to 9%, India is poised to become the third largest economy by 2012 (surpassing Japan), India offers an unparalleled business opportunity for all. A study conducted by Business Today estimated that Indian youth in cities alone spends Rs 190,000 crore a year - $42 billion dollars!