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India’s HSBC Manufacturing PMI rose to 55.4 in January 2026 — a two-month high, recovering from December’s two-year low. New orders accelerated, robust domestic demand, and employment skyrocketed.

India’s Production Linked Incentive schemes are live across 14 sectors, with cumulative incentive outlay running into tens of thousands of crores. The logic is straightforward: produce more, sell more, unlock the subsidy.

In January 2026, UNCTAD confirmed what many in Indian manufacturing had hoped: FDI inflows to India surged 73% to $47 billion in 2025, driven largely by investments in manufacturing aimed at integrating India into global supply chains.

India’s office market hit an all-time high in 2025, with 78.2 million square feet of gross leasing — led by Global Capability Centres, which accounted for 45% of all office absorption. In Bengaluru alone, GCCs leased nearly a third of the national total.

The RBI repo rate currently sits at 5.25% — the lowest it has been in years. Home loan rates moved to 8.10%, and India’s largest banks are actively competing for the home-loan customer. The Jan-Mar 2026 quarter is being called one of the most favourable borrowing environments for home buyers.