India

The Economic Times | English | News | Jan. 23, 2026 | UndeterminedEconomic Growth

David Rubenstein, co-founder of the Carlyle Group, provided insights on the global economic outlook, US-China relations, and India’s economic future during an interview at the World Economic Forum in Davos. Despite initial concerns, President Trump’s tariff policies have not triggered the predicted recession or high inflation, with the US economy currently growing at around 3%, unemployment at 4.4%, and inflation below 3%. Rubenstein noted that while Trump’s pro-business stance generally pleases corporate America, not all policies are uniformly supported or implemented, and business leaders adapt to regulatory changes pragmatically.

Rubenstein highlighted the evolving US-China dynamic, acknowledging that despite tariff tensions, China maintains a record trade surplus through increased sales in other markets. He believes Trump and Xi Jinping will continue diplomatic engagements, but neither sees the other as their main problem. Instead, US concerns focus on Russia, Ukraine, the domestic economy, and upcoming midterm elections. The bipartisan continuation of tariffs under President Biden signals a sustained, complex US-China economic competition. Rubenstein emphasized the emergence of a bipolar economic world dominated by the US and China, but predicted that India could become the world’s largest economy within 20 to 30 years due to its young, growing population, in contrast to China’s aging demographic.

Regarding private equity, Rubenstein asserted that despite recent public market strength focused on a few mega-cap stocks, private markets have historically outperformed and remain robust and thriving, especially in India. He noted the growth and increasing competition in India’s private equity and credit markets over the past 25 years, expressing optimism about India’s economic trajectory supported by a capitalist-friendly government. Rubenstein advised Indian policymakers to foster homegrown private investment and encourage the return of Indian talent from abroad to further stimulate growth.

On investment strategy, Rubenstein recommended diversification across public equities, public credit, and private investments, with many US endowments holding 20-30% in private markets. He acknowledged higher expected returns but increased risks in emerging markets, now often termed the Global South. Carlyle balances AI investments with other sectors, recognizing AI as a transformative but still early-stage phenomenon while also identifying value in undervalued industries.

Lastly, Rubenstein addressed global geopolitical risks, expressing skepticism about an imminent Chinese takeover of Taiwan, citing lessons from Ukraine and China's prolonged peace. He emphasized the need for private equity firms to blend youthful innovation with experienced leadership to navigate future challenges. Carlyle plans to continue expanding its presence in India across sectors including credit and infrastructure, fueled by India’s large population and growth potential.

CNBC | English | News | Jan. 23, 2026 | UndeterminedEconomic Growth

China is shifting from being primarily a global exporter to becoming a major overseas investor, focusing on regions that attract U.S. strategic interest. Chinese Vice Premier He Lifeng emphasized the need for a fair international environment for Chinese businesses, as investments in factories and technology face risks amid rising global tensions. China's trade surplus hit a record $1.2 trillion in 2025, with significant growth in Belt and Road Initiative countries, especially in Latin America, the Middle East, and Africa. The Financial Times' FDI Intelligence survey forecasted China as the largest source of outward foreign direct investment in 2026, surpassing the UAE and India.

Chinese overseas investments are increasingly concentrated in technology and manufacturing sectors, partly driven by tariffs pushing Chinese electric vehicle companies to localize production abroad. Companies like autonomous delivery vehicle maker Neolix have begun expanding globally, obtaining licenses and forming partnerships in countries like the UAE and Portugal, with plans to deploy over 10,000 vehicles internationally and enter European markets. Beyond distant markets, intra-Asia trade is a growing "mega theme," with China establishing local operations in countries like Vietnam and benefiting from increased renminbi transactions, which accounted for 60% of Asian trade in 2024.

Southeast Asia has become China's largest trading partner, supporting a 5.5% growth in China's global exports last year despite a 20% decline in shipments to the U.S. due to ongoing trade conflicts. U.S. companies like FedEx are adjusting to these shifts by enhancing their presence in Asia, reflecting broader "re-globalization" trends amid U.S.-China tensions. Chinese companies are responding by hiring more foreign relations experts to navigate complex international business environments and expanding manufacturing abroad.

Additional context includes China’s slow retail sales growth of 0.9% in December 2025, a record low birth rate, and progress in the AI sector, with Chinese models reportedly only months behind U.S. competitors. The chip market remains dominated by Nvidia and Huawei despite increased domestic IPOs. Chinese markets showed moderate gains amid geopolitical tensions, highlighted by the Hang Seng Index's 3.7% year-to-date rise. Upcoming economic events include Chinese Vice Premier He Lifeng's visit to Switzerland and industrial profit reports for December.

Hindu Business Line | English | News | Jan. 23, 2026 | UndeterminedBizdev-Partnering

TATA Group Chairman N Chandrasekaran expressed strong interest in investing in Telangana during a meeting with Chief Minister A Revanth Reddy at the World Economic Forum summit in Davos. The group plans to set up new manufacturing plants in the state and support government initiatives such as the rejuvenation of the Musi river.

The Telangana delegation presented their “Telangana Rising 2047” vision, which includes upgrading major stadiums in Hyderabad, a project TATA has agreed to support. The group also plans to invest in the hospitality sector by establishing hotels in key temple towns like Medaram, Vemulawada, and Bhadrachalam.

Discussions included a world-class resort on the expanding Srisailam highway, leveraging local attractions and infrastructure suitable for business conferences. TATA is ready to partner on this resort initiative. Additionally, the group is optimistic about future investments in AI data centers, semiconductor production, and electric vehicle manufacturing in Telangana.