Noble Laureate Amartya Sen, in recent past, had said that India has taken a quantum jump towards the reverse side of economy since 2014 in parlance to economic development, but proving the Noble Laureate wrong, the latest data from the World Bank, confirms the absolute opposite.
Since the past four years, calculating from the beginning of the tenure of Narendra Modi as India’s Prime Minister, India has beaten some of the major World power, in regards to economic development, to secure its position as World’s sixth largest economy, piping France this year, reported the World Bank.
India led by PM Modi is expected to go past, according to statistics, United Kingdom by the end of this year if the gross domestic product (GDP) growth continues its 7 per cent plus growth trajectory.
The US is the World’s top economy followed by China, Japan and Germany.
World Bank data also suggested India’s gross domestic product had mounted to 2.597 trillion dollars at the end of last year, against 2.582 trillion for France.
Reports also confirmed the World Bank as stating that India is currently at the 10th spot, behind the United States, China, Japan, Brazil, Italy and Russia.
Furthermore, with a consistent gross domestic product performance of 7 plus growth, except for the financial year 2017-18, India left behind France, Brazil, Italy and Russia.
Between 2011 and 2014, India remained at the rank 10 for four consecutive years.
In addition the International Monetary Fund (IMF) project shows India is growing at the rate of 7.4 per cent in the year 2018, and 7.8 for the year 2019, leaving its nearest rival China behind at 6.6 per cent and 6.8 per cent respectively.
However, while India is growing fast and leaving developed countries behind, the countries per capita income continues to be minuscule when compared to the developed countries.
India’s per capita income is just 2,130 dollar, while that of France is 44, 930 dollar, Brazil at 10,220 dollar; Italy and Russia per capita income are 35, 910 dollar and 11,950 dollar, respectively according to International Monetary Fund.
India presently ranks 126 in terms of per capita income when compared to other nations– this is one rank up from the year 2016, as per the latest data.
And while India’s huge population continues to put pressure on the country’s resources, income inequality is a big issue too.
Oxfam survey earlier this year found that India’s richest populace, which is hovering around 1 per cent, contributed to 73 per cent of the wealth generated in India.
Latest data also showed how the money parking practise has doubled in Swiss Bank since the last two years, however, not all of it can be termed as black money.
While India is expected to surplus China’s population by 2024, financial pundits feel, the policy makers’ of India will have a tough challenge in not only making India grow at a faster rate but also to ensure an inclusive growth.