Viral Acharya, ex-RBI deputy governor said greater competition means Indian firms will be forced to raise their standards to take on global rivals. That, in turn, means higher quality jobs and a larger manufacturing base.

Acharya, who was a deputy governor at the RBI between 2017 and 2019, said large firms that had benefited from the protectionist measures will initially lose some value, but the economy will benefit

US tariffs threats by Trump are pushing India to lower trade barriers, spurring competition and growth. Modi sees it as a big opportunity for businesses. Ex-RBI Deputy Governor Viral Acharya expects Indian firms to innovate and improve efficiency.

India's equity benchmark indexes are likely to open flat on Wednesday as investors remain anxious about the latest tariff threats from U.S. President Donald Trump and its potential impact on the world's largest economy.

US President Donald Trump has pledged to impose so-called reciprocal tariffs on imports from foes and allies alike from April 2, matching their levies to redress any perceived trade barriers for American companies.