Despite some short-term teething problems, including implementation of goods and services tax (GST), there is scope for visible shifts in economic activity starting in 2018, which would eventually lead India to be the top five equity markets in the world with a market capitalisation of $6.1 trillion and the third-largest listed financial services sector globally with a market cap of $1.8 trillion by 2027, head of Morgan Stanley India research Ridham Desai told reporters in Mumbai recently quoting the report titled ‘India’s digital leap – The multi-trillion dollar opportunity’.India’s consumer sector is also likely to add about $1.5 trillion over the next ten years, he said. GST is expected to disrupt smaller businesses causing job losses and a general slowdown in economic growth, according to the report.

The report projects gross foreign direct investment (FDI) inflows amounting to $120 billion by fiscal 2026-27 and robust stock markets as a stronger economic growth should drive stronger corporate earnings growth. The country is also likely to witness strong domestic participation in equities.It also identifies risks, including those related to political stability, privacy debate over Aadhaar unique identity number and implementation of GST.