India faces the same challenges as the rest of the world, stop selling yourself: Citi's Jane Fraser

Despite global headwinds, the challenges facing India are similar to those of other countries, and as such, India’s long-term growth remains intact, Citi Chairman and CEO Jane Fraser said on Thursday.

“The long-term story in India is very intact,” Fraser said during a fireside chat at the Citi India 2026 conference in Mumbai. “Stop selling yourself to the short-term challenges everyone faces as opposed to the long-term potential and trend the country is inexorably moving through.”

India is one of Citibank’s most important markets, given its global role, economic strength and client base, and the second largest region in terms of headcount, Fraser said. Most of the bank’s clients have major centers in India, not only in terms of technology but also in terms of market participation, helped by the fact that some of the largest clients are also Indian, she added. “This is a reflection of the role that India plays globally.

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She contrasted India’s forward-looking mindset with the more cautious economic strategies seen in parts of the West. “There are countries and societies that protect what they have and in the process have somewhat reduced what they have. Unfortunately, my country of origin, the UK, is one of many such countries in Europe at the moment. Then there are countries and societies where they build what they need, even if it means disrupting what they have. That is India,” she said.

Discussion with PM

Fraser, who met Prime Minister Narendra Modi on Wednesday, said the government’s message was “very clear”: a commitment to a reform agenda, an important role for the private sector and support for various industries.

Other talking points included digital transformation, the evolution of artificial intelligence (AI) and investment in Artificial intelligence infrastructure, energy security and the challenges of war in West Asia and the growing focus on renewable energy sources.

“(The prime minister) said it’s not all rosy. There are some challenges. But then he had a very clear vision and thought of a few priorities that the government would focus on,” Fraser said, adding that she appreciated and found comfort in the prime minister’s vision and transparency.

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While India remains a complex market and needs more work, it remains one of the fastest-growing major economies despite global headwinds, she said. One reason is that companies in India are building what is needed, even at the cost of disrupting existing structures, Fraser added, adding that she hopes artificial intelligence and digitization will help unlock more of these new vectors and businesses in rural and landlocked parts of the country.

Dual race in AI

Fraser noted that a two-pronged race is developing in AI: businesses are competing to deploy the technology to reduce risk and increase efficiency while rushing to neutralize new AI threats.

“These new models unlock a number of areas that could be a threat to us in the future. So this second race is making sure that we’re putting in the capabilities to make sure that the downside of that is mitigated and that we’re prepared for bad actors,” she said.

“Investment will slow down if the war continues”

Fraser said Citibank’s business activity remains strong so far and global growth is sustained thanks to the resilience, agility and adaptability of global companies.

“With so much transformation going on, we’re seeing a lot more M&A activity. When things are moving so quickly, in many cases it’s cheaper to buy something than to try and build it yourself. I think some of that sentiment has also fueled a lot of business activity,” she said, adding that big investments also ensure steady capital-raising activity.

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But she warned that rising global debt remains a serious problem and that if the conflict in West Asia continues, the world could move into a “new equilibrium” where strained supply chains and energy shortages begin to cause much greater economic damage.

“That’s worrying. I think some in the market think that we’ve done as good a job as any company in the last couple of years, that it’s going to continue and everything will continue to go right. I think that’s probably a bit optimistic,” she said. Uncertainty around interest rates due to high government debt remains a concern, Fraser added.