India's Economy Booms, But Stocks Lag Behind

India's economy is exhibiting strong signs of growth, but its stock market remains under pressure. The country's real GDP surged 7.8% year-on-year in Q1 FY27 (April-June 2026), a significant rise from the previous quarter. However, Indian equities have not mirrored this growth, sparking concerns about investors' risk appetite.

Investors may be shifting capital to other assets, such as global stocks, gold, and crypto, potentially boosting adoption across centralized exchanges (CEXs) and decentralized exchanges (DEXs). The volatility in the USD/INR exchange rate adds currency risks for both domestic and foreign investors.