In spite of India's troubles over the past few years, more recent economic data indicate that India is heading in the right direction.
India's inflation, measured by the wholesale price index, dropped to 4.6 percent from 5.05 percent. The rupee has stabilized, gaining almost 3 percent against the dollar this year.
India's current account deficit, a key concern among investors, is shrinking. From October through December, India's CAD narrowed to $4.2 billion—or 0.9 percent of GDP—from $5.2 billion—or 1.2 percent of the GDP—in the previous quarter. The taming of the current account deficit is attributed mainly to the government's restrictions on gold imports and central bank measures.
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The new governor of the Reserve Bank of India, Raghuram Rajan, who took office in September, has also restored investors' confidence in India.
"He is one the world's top academic economists," said Arun Sundararajan, an economist at New York University's Stern School of Business and an expert on India. "In my view, there's a lot of optimism in putting him in charge because it means we will start getting world-class thinking on fiscal and monetary policy."
So what if the BJP doesn't win this month's elections?
"This is an economy that should be growing at 6 percent. All they need is to make some reforms to allow them to grow at the pace that they should be growing," JPMorgan's Garcia-Amaya said. "Even if the BJP doesn't win, it seems that finally politicians from both sides of the aisle are starting to understand what they need to do to unleash that potential."
—By CNBC's Silvana Ordoñez. Follow her on Twitter