There is no gainsaying the fact that India is a fastest growing major economy in the world and has been so consistently over the past several years except during COVID pandemic. When the world’s two largest economies, USA with GDP of USD 28 trillion and China with a GDP of USD 18 trillion, are struggling to attain a growth rate of ~2.5% and ~5.0% respectively, Indian economy is well on track to achieve a GDP growth of 6.5% marching far ahead of developing economies as a whole @4.1%, developed economies @1.7% and the world@2.7%. However, can a growth hovering around 6-7% steer India to anywhere near the target? Well, the answer lies in looking at another metric i.e. per capita income. While India’s GDP growth rate is stupendous, alas, its per capita income of USD 2500 is one of the lowest in the world, far below China’s USD12500 and global average of USD 13000, and not even comparable with USA’s USD 83000. In order to attain a status of a developed economy, India’s per capita income should be at least USD 14000 for which it has to grow consistently @7.8% per annum through 2047 as per a World Bank report, which is not impossible but extremely challenging.
About Author: Satyendra Kumar Singh, B.Tech. (Chemical Technology) + M.B.A., is proprietor of Satsha Management Services-an award winning design engineering and management consulting company (www.satshamanagement.com). He possesses approximately 30 years’ experience in engineering consultancy in process and energy industries. Satyendra has authored several papers on energy, business and management, which have been published in some renowned journals/magazines such as ‘Chemical Engineering’, ‘Process Worldwide’, ‘Modern Manufacturing India’. He may be reached at satyendra.singh@satshamanagement.com, Ph. +919811293605.
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