Quarter of the Century, Halfway to Greatness: This is India’s Story

As the final hours of 2024 tick away, the air feels heavy with reflection. A new year always brings a fresh start, but this one carries more weight than usual. This December 31st marks the close of the first quarter of the 21st century, a period of profound transformation for India.

In 2000, India’s economy was the 13th largest in the world. Today, it is the 5th largest and has its eyes set on the podium, projected to overtake Germany and Japan by 2030.

These are no flukes of economic luck; they are the result of hard work on a scale that only India can summon.

Once hesitant to claim its seat at the global table, India is now confidently carving out space as a heavyweight contender. A nation that clung to the security of government jobs and engineering degrees has blossomed into one where entrepreneurship and innovation are as much part of the employment vocabulary as medicine and law.

This welcoming change isn’t just economic — it’s cultural, personal, and vastly compounding. India is no longer chasing someone else’s dream. The American Dream that once lured its best and brightest has made room for a new aspiration: the Indian Dream. For 25 years, this dream has fueled growth and ambition, propelling India into an era-defining phase of development.

Today, the Indian Dream is about billion-dollar valuations, marquee IPOs, and startups that make Silicon Valley stop and take notice. It’s the kind of grit that sees kids in small towns building apps that rival global giants and families turning age-old businesses into digitally savvy enterprises.

What Happened When India Stopped Playing It Safe?

Let’s rewind to the year 2000. Y2K was the tech world’s obsession, going to McDonald’s was considered a big family outing, and the very idea of having groceries delivered to your doorstep felt like a fever dream. India, freshly unshackled by the economic liberalisation of the 1990s, was inching out of its shell, unsure but eager. Below the surface of uncertainty, the engines were revving. The IT boom was putting Bangalore on the map, and the middle class was beginning to flex its muscles. It was a time of cautious ambition, of testing the waters before the plunge. What no one fully grasped then was how transformative the plunge would be.

In the early 2000s, relatives returning from the U.S. brought not just hugs but suitcases stuffed with luxuries that were either unavailable or prohibitively expensive in India. A box of chocolates from Costco or a pair of Nike sneakers felt like a glimpse of another world.

Today, those suitcases are lighter. The “gifts” are now limited to novelty items because what once symbolized the privileges of the West is now readily available at home. From luxury cars to world-class technology, India has truly caught up. The joy of a loved one returning from overseas isn’t tied to what they bring anymore; it’s simply in their homecoming. India, once starved of global luxuries, now has them in abundance — and that shift carries a deeper significance. It is not just economic maturity but a growing sense of pride and self-sufficiency.

Back then, the markers of success were clear: a secure government job, or if you dared to dream bigger, a career as a doctor or engineer. These professions offered stability, prestige, and the closest thing to a guarantee in an uncertain world. But fast-forward to 2024, and success has taken on new forms. Entrepreneurship is no longer a fringe pursuit but a celebrated path. Even content creators — people who spin stories, share skills, or simply entertain — are carving out spaces that didn’t exist 25 years ago.

The Indian Dream no longer requires leaving; it thrives right here.

Bharat has grown up, and the nation’s priorities reflect it.

No Tale of Indian Private Markets is Complete Without Public Markets

Not to be forgotten amidst all this reminiscing are Indian public markets, that have undergone their own coming-of-age story. At the turn of the century, Dalal Street was rife with inefficiencies. Scandals, lack of transparency, and an investor base that treated the stock market like a glorified lottery system didn’t exactly inspire confidence. However, stringent reforms led by the great efforts of the Securities and Exchange Board of India (SEBI), the introduction of electronic trading, and a growing appetite for investment transformed the landscape.

Fast forward to 2024, and the number of IPOs has shattered records. Tech unicorns, pharmaceutical trailblazers, and consumer goods startups are driving the narrative. Even more impressive is the rise of the high net-worth investor base. Apps have made trading intuitive, and millions of Indians now view the stock market not as a spray n’pray but as a strategic means of wealth creation.

Meet The Silent Engine Behind India’s Booming Economy

However, while Dalal Street captures the headlines with record-breaking IPOs, it is the private markets that quietly drive India’s growth story.

Early 2000s, private equity and venture capital were niche playgrounds, largely dominated by infrastructure and real estate. By 2015, they had turned into lifelines for tech startups. Names like Nykaa, Urban Company, and Zomato were no longer anomalies, inspiring a flood of foreign investors like Sequoia and Accel.

In the 2020s, private markets have become the backbone of traditional and sunrise sectors alike, such as healthcare, deep-tech, and renewable energy. Annual deal value now tops $50 billion, and the world is watching.

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Once an exotic corner of the economy, private equity and venture capital are now central to shaping India’s future. Private market allocators — India’s high-net-worth individuals (HNIs) and family offices — are no longer content with just traditional investments in their portfolios. They see private markets as engines of wealth creation, economic transformation, and a means to achieve true portfolio diversification.

The Calm Eye in the Global Storm: India’s Playbook for 2025 — CIO Insights

The world India enters in 2025 is not without its turbulence. A shift from a rules-based global trade system to a more transactional one has thrown many nations off balance. Growth, once fueled by rising tides of global trade, now depends on each country charting its own course.

For India, this is both a challenge and an opportunity. The stakes are high, but so is the potential. Domestic reforms like GST have unified India’s market, and digital advancements like Aadhaar and UPI have unlocked new levels of efficiency and inclusion. The question is not whether India can weather the storm — it’s how much it can gain while doing so.

And while the internet is awash with predictions about what 2025 holds for Indian private markets, our Chief Investment Officer David Wilton, a seasoned leader with decades of experience at institutions like Morgan Stanley, the World Bank Group and the International Finance Corporation, offers a thirty-thousand-foot view, showing how these markets are not merely weathering the tides but positioning themselves to thrive in 2025 and beyond:

1. Resilient Foundations

   India’s growth is built on structural reforms and infrastructure investments that unify its market geographically and digitally. The Goods and Services Tax (GST) streamlined commerce across states, while infrastructure spending has improved connectivity. Meanwhile, Aadhaar, UPI, and the Digital India initiative have created a digital backbone that makes everything from payments to business innovation seamless.

2. A Hedge Against Global Volatility

   In a world moving toward transactional trade frameworks, India’s domestic consumption and innovation-driven growth offer stability. The shift from global dependency to self-sustained growth positions India as a hedge against global economic uncertainty.

3. The Timing Advantage

   Historical data shows that periods of low fundraising often yield higher returns in private markets. With venture capital fundraising subdued and private equity fundraising climbing steadily, 2024 and 2025 are shaping up to be exceptional vintage years.

4. Sector-Specific Growth

   India’s private markets are brimming with sector-specific opportunities. Healthcare, bolstered by rising incomes and government initiatives, is exploding. Fintech, powered by UPI and digital infrastructure, is driving financial inclusion. Meanwhile, technology and innovation remain India’s trump cards, underpinned by its skilled workforce.

5. Maturing Exit Ecosystem

   The inflow of foreign capital into large private equity funds is creating smoother exit pathways for early-stage investments. This ecosystem maturity ensures better liquidity and governance, reducing risks for allocators.

Honestly? India’s Just Getting Started, And So Are We

The past 25 years have set the stage for an extraordinary future. India’s growth isn’t just an accident of favourable demographics or a momentary burst of innovation. It is the result of deliberate policies, cultural evolution, and an unparalleled spirit of ambition.

As global trade becomes more transactional, India’s self-sufficiency shines. Its domestic consumption, resilient foundations, and vibrant private markets ensure that it can weather external storms and chart its own path. The Indian Dream, once a whisper, is now a roar — heard not just in the boardrooms of Mumbai or Gurugram but across the globe.

Over the past two years, Oister has been weaving itself into the fabric of India’s private markets, driven by the Indian Dream — a vision of growth, opportunity, and shared success. We bring diligence, expertise, and a strong network to help investors become part of this journey, striving not just to witness the dream but to help shape it into reality.

For Indian HNI Allocators, the Time Is Now

For private market allocators, India offers not just opportunity but an unmatched promise of growth. With robust foundations, sector-specific opportunities, and a maturing ecosystem, India is no longer a market to watch — it’s a market to invest in.

So, as we enter 2025, let’s celebrate the 25 years that have brought us here and look ahead to the 25 years that will define the next era. Because here’s the thing about India: It doesn’t just dream big; it delivers bigger. If the past quarter of the century was about catching up, the next will be about leading. The Indian Dream is alive, thriving, and ready to inspire the world.

Here’s to India, to its dreamers, doers, and disruptors.

The best is yet to come. ✨

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