Indian businesses, investors reposition for long term amid global uncertainty: HSBC survey

Senior leaders and institutional investors in India are recalibrating strategies and positioning for long-term growth amid a volatile global environment, according to a survey by HSBC released ahead of its Global Investment Summit. 

The survey, which covered 3,000 international businesses and institutional investors across 10 markets, including 300 respondents from India, found that 86% of Indian participants are actively repositioning their strategies despite ongoing global uncertainties. 

Fundamental shift: Investments in high-growth markets

The findings indicate a fundamental shift in how Indian firms perceive and manage risk. About 95% of respondents acknowledged that economic volatility has become a defining feature of the global landscape, while 91% said they have recalibrated their capital allocation strategies in response. Notably, 94% are increasing investments in high-growth markets, and an equal proportion reported a greater willingness to take calculated risks compared to five years ago, well above the global average. 

Indian respondents also emerged as the most expansionary in terms of cross-border outlook. As many as 98% plan to increase cross-border trade and investment over the next five years, surpassing the global average of 93%. Additionally, 86% expect their cross-border capital deployment to rise over the next three years, compared with 73% globally. Around 93% anticipate these flows becoming more regionally oriented. 

Indian firms are increasingly focusing on diversification

The survey highlights that Indian companies are increasingly looking beyond domestic growth, focusing on diversification, new partnerships, and international expansion. Among preferred global markets, the UAE and Saudi Arabia were identified as key emerging economic partners while the UK and North America continue to hold strategic importance. 

Ajay Sharma, Head of Banking, HSBC India, said the shift reflects more than just a response to volatility. “It signals a deeper recalibration in how and where growth will be created and captured. With strong domestic momentum and expanding global ambitions, India is emerging as a major force in global trade and investment,” he said. 

Technology, particularly artificial intelligence (AI), is playing a central role in shaping this outlook. Around 71% of Indian respondents cited strong AI and data infrastructure as a key factor influencing market exposure decisions, significantly higher than the global average. Moreover, 91% said access to critical technologies will shape their international strategies over the next three years. 

Respondents expect AI to drive productivity gains, improve decision-making, boost innovation, and enhance customer experience, reflecting broad-based optimism around its potential. 

The survey also pointed to strong conviction in the future of digital finance. Nearly 98% of Indian respondents believe digital and tokenised financial infrastructure will fundamentally reshape capital markets over the next decade, the highest among all markets surveyed. About 49% expect global capital markets to operate primarily on digital infrastructure by 2035. 

India also appears relatively advanced in adoption, with 56% of respondents already implementing digital finance use cases while a smaller proportion reported limited understanding of the space compared to global and regional peers.