Indian Businesses Surge into Global Markets: Risk Appetite Hits Highs Despite Geopolitical Headwinds

Indian businesses are demonstrating remarkable optimism and a willingness to undertake calculated risks, planning major international expansions even amid persistent geopolitical tensions. A recent comprehensive survey indicates that the core of Indian industry is focused on capturing growth opportunities abroad, positioning the country as a major force in global trade.

According to the report, an unprecedented 98 per cent of Indian firms plan to increase their cross-border trade and investment over the next five years. This figure stands as the highest among all markets surveyed, signaling deep confidence in India’s outward-looking growth trajectory.

Resilience and High Risk Appetite Among Indian Firms​

The findings suggest a fundamental shift in mindset regarding global uncertainty. A remarkable 94 per cent of Indian respondents stated they are more willing to take calculated risks compared to five years ago. This local confidence level significantly exceeds the global average of 87 per cent.

This robust risk appetite is coupled with concrete strategic shifts. More than 9 in 10 respondents (91 per cent) have proactively recalibrated their capital allocation strategies in response to heightened global uncertainty. Furthermore, 94 per cent of firms are actively increasing their deployment in high-growth markets globally.

Long-Term Strategy and Capital Redeployment​

Senior leaders and institutional investors are focused on long-term repositioning, highlighting deep structural confidence in the economy. The report noted that 86 per cent of senior leaders and institutional investors in India are strategically adjusting their portfolios for the long run.

Moreover, Indian firms displayed the most expansionary cross-border outlook worldwide. An impressive 86 per cent expect their overseas capital deployment to increase over the next three years, considerably higher than the global average of 73 per cent.

Ajay Sharma, Head of Banking at HSBC India, commented that these findings signal a fundamental recalibration in how growth will be created and captured globally. He added that the combination of strong domestic growth, international ambition, and deepening connections is solidifying India's status as a highly dynamic force in global trade and investment.

Digital Assets and Preferred Global Corridors​

Indian businesses are anticipating that cross-border flows will increasingly adopt a regional nature, with 93 per cent of respondents expecting this trend. When identifying key global destinations, the UAE emerged as the top market, cited by 58 per cent of respondents, followed by the UK at 56 per cent and Saudi Arabia at 45 per cent. North America was noted by 43 per cent.

Beyond geography, the focus is heavily on technology and infrastructure. India ranked highest among surveyed markets, with 71 per cent citing AI and data infrastructure as a key determinant in market exposure decisions, exceeding the global average by 20 percentage points.

The future of finance itself is viewed through a digital lens. An overwhelming 98 per cent of respondents believe that digital assets will fundamentally reshape capital markets over the next decade. By 2035, nearly half (49 per cent) of respondents expect global markets to operate primarily on digital infrastructure.