India's Economic Boom Leaves Questions Despite Robust GDP Growth

India's economic growth is over 8%, stock market is rising, and foreign investors are pivoting to India as an alternative to China. However, the growth is largely driven by strong public spending rather than private consumption and investment.

Important agricultural sector has underperformed. Job growth is slower than expected despite rapid GDP growth.

Former Indian government economist argues the high GDP growth numbers "don't add up" given slower private consumption and inflation. Questions veracity of data.

Foreign direct investment has collapsed even as foreign "hot money" flows increase. Lack of bricks-and-mortar investment commitments.

Reforms needed to ensure growth is inclusive and driven more by private sector. Global investors skeptical until gap between Modi's rhetoric and reality is closed.