India's path to prosperity depends on the growth of all states, with some states performing better than others in terms of per capita income and economic outcomes, highlighting the need for policy interventions to address disparities and promote inclusive growth.
Thailand's new prime minister, Srettha Thavisin, must deliver on his promises to revive the economy, support small businesses, and address inequality after the country reported slower-than-expected economic growth and faces challenges such as a slowdown in China, high household debt, and rising interest rates.
India aims to become a $35 trillion economy in 25 years, with a plan to add $30 trillion to its economy in the coming years, according to Union Minister Piyush Goyal.
India's economy is experiencing consistent growth, and is predicted to become the fourth-largest economy within 18 months and the third-largest by 2028, driven by strong fundamentals and infrastructure development, while successfully reducing poverty; however, further reforms in areas such as patents, judicial, administrative, and process reforms are needed to boost economic growth.
India is projected to become the third largest economy in the world in the near future, but it needs to continue implementing reforms, improving infrastructure, and investing in education, according to World Economic Forum President Borge Brende at the B20 Summit in New Delhi.
India's economy is facing challenges as GDP growth declines, investment demand weakens, inflation rises, and job creation remains a major concern, highlighting the need for a comprehensive economic plan to address these issues.
India has seen an increase in its tariffs and trade policy measures in recent years, reversing the trend towards liberalization and increasing trade restrictions, which is a global phenomenon as many countries are adopting industrial policies to promote domestic production and exports; however, the effectiveness of these policies and their impact on economic growth and job creation remain to be seen.
India is positioning itself as an alternative to China in the global supply chain, aiming to become a major manufacturing hub and increase its role in the production of goods, as the world seeks solutions to supply chain disruptions caused by health crises and geopolitical events.
India's recent achievements and economic growth have positioned it as a rising global power, but the country must address its challenges in poverty, job creation, education, and inequality in order to fully realize its potential.
Indian Prime Minister Narendra Modi discussed India's achievements during its presidency of the G20, highlighting its human-centric model of development and its response to the pandemic, which has gained recognition and appreciation from the international community; he also emphasized the importance of including the Global South and Africa in global affairs and addressing their needs. Additionally, Modi noted India's efforts in promoting renewable energy and the democratization of technology, while acknowledging the challenges of cybercrime and the need for global cooperation. He expressed confidence in India's future economic growth and its potential to become one of the top three economies in the world by 2030 and a developed country by 2047.
India's GDP growth reached a four-quarter high of 7.8% in Q1FY24, with private consumption and services picking up pace, but challenges lie ahead with the sustainability of services growth and concerns over the monsoon and agriculture sector.
India has experienced political stability under Prime Minister Modi, leading to legal reforms, improvements in welfare systems, and infrastructure development, which has positioned the country for growth and influence in various spheres, including space exploration, sports, and entertainment, but challenges such as poverty, education, and employment still need to be addressed.
India's economic rise is seen as inevitable due to factors such as a consumer boom, context-appropriate innovation, a green transition, a demographic dividend, access to finance, major infrastructure upgrades, policy reforms, geopolitical positioning, and a diaspora dividend, although challenges such as unbalanced growth, unrealized demographic potential, and unrealized ease-of-business and innovation potential still need to be addressed.
India has successfully achieved its finance track objectives during its G20 presidency, including strengthening Multilateral Development Banks, creating a global regulatory framework for crypto assets, promoting financial inclusion through digital infrastructure, resolving debt for lower and middle-income countries, and financing sustainable cities, among other accomplishments, according to Finance Minister Nirmala Sitharaman.
The virtuous cycle of scale, innovation, and democracy in India is leading to more talent staying or returning to the country, which contributes to economic growth and strengthens the social contract, ultimately creating a promising future.
The global economy is slowing down, but India and other developing countries are experiencing strong growth, while the G7 countries and China are struggling; however, the growth in developing countries is being engineered under conservative fiscal conditions, making it more sustainable, in contrast to the debt-fueled growth in the West and China. China's economic model is facing challenges, as it needs to shift from an investment-based model to a consumption-based one, but it lacks the administrative capacity to provide necessary services to its citizens. The world economy is experiencing a redistribution of power, with rising middle powers playing major powers against each other to secure concessions. While the world economy slows down, there are signs of improvement for individuals, with real wages turning positive in Western countries and labor's bargaining power increasing.
China's economy has entered deflation territory and the debt crisis has worsened, while India's economy is thriving with GDP growth expected to exceed 7% and unemployment rates at a 12-year low; it is predicted that India will surpass China in per capita income by 2044 due to factors such as female education expansion, labor force growth, and higher total factor productivity growth.
Despite concerns over the strong US economy and the slowdown in China, emerging markets may still see opportunities for growth due to factors such as a slow divorce from China, India's appeal as an alternative, South Korea's tech market, Mexico's trade links with the US, and the potential for rate cuts in developing economies.
With the right reforms, India has the potential to become the next engine of global growth, benefiting from major economic re-alignments caused by China's slowdown and the US diversifying its supply chains. Major corporations are already investing in India, recognizing its potential. However, India needs to overcome challenges such as high tariffs, infrastructure improvements, and regional cooperation to fully realize its manufacturing potential and attract foreign investment.
India's Finance Minister, Nirmala Sitharaman, is hopeful that the country can achieve its target of 10.5% nominal economic growth this fiscal year, and is prioritizing growth over taxing diesel vehicles.
Under PM Modi's leadership, India is uniting to achieve the vision of "One India Great India", with the country experiencing social, economic, and political transformation and making significant strides in various sectors such as agriculture, healthcare, and infrastructure.
India's goal of becoming a $5 trillion economy may be challenged as economists predict that nominal GDP growth may fall below the budgeted estimate of 10.5% for the current fiscal year, primarily due to subdued wholesale inflation.
India's goal of achieving 6.5% real GDP growth in FY24 may be complicated by lower-than-anticipated nominal growth, potentially delaying the country's aim of becoming a $5 trillion economy by another year.
