Economic Superpower India: Voting has started in the country. People are casting their votes to form the government of their choice. However, it seems that PM Modi will easily get 5 more years to carry forward the rapid economic expansion in the country. Under the leadership of PM Modi, India is moving towards becoming an economic superpower of the 21st century. India is becoming a real alternative to China for investors looking for growth and for consumer brands and manufacturers looking to reduce risk in supply chains. India is attracting a lot of big companies to set up manufacturing units here. So, to what extent is it correct to say that India under Modi leadership can become an economic superpower?
India moved up 4 places during PM Modi’s tenure
India’s economy was worth 3.7 trillion dollars in the year 2023. Our country is the fifth largest economy in the world. India has moved up 4 places during the tenure of PM Modi. India is one of the fastest growing economies in the world. India’s per capita GDP has increased by 55 percent between 2014 and 2023. During this period, India has become the fifth largest economy from the ninth largest economy in the world. India has been the fastest growing among major economies for a long time. India will continue to grow at an annual rate of at least 6 percent for the coming few years. However, experts say that if India has to become an economic superpower, then it will have to aim for a growth rate of 8 percent or more.
When will India become an economic superpower?
Sustainable development will take India among the largest economies of the world. Many agencies estimate that India will become the world’s third largest economy by the year 2027. Above us, America will be at first place and China will be at second place. IMF and Goldman Sachs estimate that by the year 2075, India will be ahead of America in terms of economy. Our country will be the second largest economy in the world by the year 2075. Only China will be ahead of us. China’s economy is currently worth 17.786 trillion dollars. It is expected to reach $27.4 trillion by 2028 and $57 trillion by 2075.
And we will be ahead of America
America’s economy will also reach $51.5 trillion during this period. America is currently the world’s largest economy with $26,954 billion. But in 2075, America will slip to third place. Then India will be the second largest economy in the world and will be just behind China. Currently the size of India’s economy is 3.730 trillion dollars. It is expected to reach $5.5 trillion by 2028. By the year 2075, India’s economy can reach 52.5 trillion dollars.
Modern India is being built
What China did more than three decades ago, India is doing now. A massive infrastructure overhaul is underway, with billions spent building roads, ports, airports and railways. Here private investors are building the world’s largest green energy plant. In this year’s budget alone, a provision of $134 billion was made for capital expenditure to promote economic expansion. India has added approximately 55,000 kilometers (about 35,000 mi) to the national highway network between 2014 and 2023, a 60% increase in the total length. Infrastructure development has many benefits for the economy, including generating employment and improving ease of doing business.
power of stock market
The enthusiasm about India’s growth potential is reflected in its stock market, which is reaching record highs. The value of companies listed on India’s exchanges exceeded $4 trillion at the end of last year. Thanks to the strong rally, the National Stock Exchange of India has become the sixth largest exchange in the world, surpassing both the Shenzhen Stock Exchange and the Hong Kong Exchange. According to Macquarie Capital, retail investors alone hold 9% of India’s equity market value. While foreign investors are at slightly less than 20%. However, analysts expect foreign investment to increase in the second half of 2024 after the elections are over.
growing manufacturing strength
Asia’s third-largest economy has launched a $26 billion production-linked incentive program (PLI) to attract companies to set up manufacturing in 14 sectors ranging from electronics and automobiles to pharmaceuticals and medical devices. This has resulted in some of the world’s largest companies, including Apple supplier Foxconn, significantly expanding their operations in India. Tesla chief Elon Musk has also said that he is interested in coming to India. Musk may soon announce his investment plans in India. According to market research firm Canalys, up to 23% of iPhones will be made in India by the end of 2025, up from 6% in 2022.
India’s DPI is famous all over the world
In recent years, the country has also created many technological platforms. These are known as Digital Public Infrastructure (DPI). They have changed people’s lifestyle and businesses. For example, the Aadhaar program launched in 2009 provided identity proof to millions of Indians for the first time. The world’s largest biometric database has helped the government save billions of rupees by reducing corruption in welfare schemes. Another platform Unified Payment Interface (UPI) allows users to make instant payments by scanning QR codes. From coffee shop owners to beggars, Indians in every sector have adopted it. Today India’s UPI works in many countries.
Latest Business News