In the next few years, India will become a developing country at the speed of a leopard. Hence, in the next 5 years i.e. by 2028, India’s share in world economic growth will be 18%, which is a little less than 16% at present. This has been mentioned in the recent report of the IMF. In 2022, the size of the Indian economy was 282 lakh crore rupees, which could be 500 lakh crore by 2028. India and China together account for 50% of the world’s economic growth. India’s GDP growth rate could be 6.3% this year, CRISIL Chief Economist D. K. Joshi says that the physical infrastructure in the country is growing rapidly and this has had a direct impact on the products.
10 things that indicate areas of progress are on the move 1. Production beyond pre-Covid levels: The country’s manufacturing units are delivering up to 76.3% of production capacity to meet rising demand. This level is higher than in 2019. At that time 75% of the production capacity of the factory was being utilised. 2. Steady decline in unemployment rate: The unemployment rate in the country reached over 8% in May, 2023. Now it has come down to 7.1%. 39.97% of the country’s population is employed while 40.87% of the eligible labor force is overworked. 3. Foreign exchange up 22%: India’s foreign exchange reserves have grown by 22% so far in the current fiscal year. In comparison, the stock in China grew by only 1.9%. Currently, India is the fifth largest foreign exchange reserve holder.
4. Confidence 1.5 times that of Europe: Indian consumers have the highest confidence in the economy. User index is 90. Which is 60 in Eurozone. Consumer confidence continues to decline across the Eurozone and the US, with the exception of England. 5. Relief now on the inflation front: In RBI survey, the middle class believes that the prices of essential items are coming down.
Prices of most items are 7-8% higher than last year. The inflation rate was 12% in September, 2021 which has come down to 6.3%. 6. Air travel increased by 40%: The number of passengers on international air routes from the country’s cities increased by 40.5%. On the other hand, international cargo has increased by 22.5%. The number of foreign tourists in the country has also increased by 22.6%.
7. Vehicles grow at 25-30%: Commercial – Non-Commercial vehicle registrations in India are growing at 25%-30% annually. This is the case in selected countries of the world. More than 2 lakh vehicles have been registered every month in India this year. 8. Rupee breaks less than others: The Indian rupee remained strong in September against all currencies except the US dollar. The rupee depreciated by 0.3% against the dollar.
The Chinese yuan fell 0.7%, the euro 2.2% and the British pound 2.5%. 9. Rising steel-cement demand: Steel consumption in the country rose 17.9% in September, the highest in 9 months. Cement demand has also increased by 18.9%. It is also the highest in 9 months. This is the biggest indication of rapid infrastructure development. 10. Homes in highest demand since 2019: Housing Price Index (HPI) rose 5.1% year-on-year. This growth is the highest since 2019. Advances given by banks to real estate have also increased by 38% to Rs 28 lakh crore.