India's Economic Growth: Driven by Policy Distortions, Not Market Forces, Says Bernstein, ETBFSI
• A report by Bernstein warns that India's current economic growth is driven by government policy distortions and tax incentives rather than genuine market forces. • The analysis highlights that Production Linked Incentive (PLI) schemes, which allocated over Rs 287 billion since FY2023, have artificially boosted profitability in the electronics and electric vehicle sectors. • Bernstein argues that celebrating the earnings growth of successful companies while ignoring the losses of those funding the incentives creates a misleading picture of economic health.
bfsi.economictimes.indiatimes.com


