Union Minister of Commerce & Industry Piyush Goyal today said the government's ambition is to increase the current $3.7 trillion economy to a $30-35 trillion by 2047 and to ensure the food and energy security of the nation.
Goyal, addressing a delegation of 35 journalists from 19 countries of Latin America and the Caribbean in New Delhi today, says the Modi government aims to make India a fully developed nation by 2047, and efforts are being made in this direction.
He said the Modi government is working on twin tracks – strengthening the macroeconomic fundamentals of India and focusing on ensuring food, healthcare and education.
“PM Narendra Modi’s vision to address the issues regarding the welfare of the poor, coupled with good governance over the last decade, has helped India transform from the 11th largest to 5th largest economy in the world and is on track to become the 3rd largest GDP by 2027,” says the Union minister.
He says India’s foreign currency reserves are now 4th largest in the world, twice since 2014, and the currency is amongst the best performing in developing countries. “India has witnessed the best-performing decade in the last 75 years of Independence, with inflation being halved in the past 12 years that has benefited the economy with interest rates in control.”
Notably, India's GDP was $3.4 trillion in 2022-23. Several international agencies, including the International Monetary Fund (IMF), have acknowledged India's economic rise. The U.S.-based global financial organisation IMF has called India one of the "star performers" that's estimated to contribute 16% to the global growth in 2023-24 alone.
The Centre for Economics and Business Research's (CEBR) in its December 2023 report said India seems "unstoppable" in its momentum to become the third economic superpower and touch the $ 10 trillion mark by 2035.
Over the next five years, it said, India's annual rate of GDP growth is expected to average 6.4%, after which the growth is expected to average 6.5% in the subsequent nine years. This growth trajectory will propel India from fifth place on the CEBR's World Economic League Table in 2022 to third in the global rankings by 2037, according to the London-based economic consultancy.
International ratings agency S&P Global has said India will become a $6.7 trillion (GDP) economy by 2030-31, growing on an average of 6.7% per year from 2023-24. It said the country's per-capita income will rise to about $4,500.
"Investment as a proportion of GDP reached a 10-year high of 34% in fiscal 2023. The government has played a key role in boosting investment by offering substantial support for infrastructure projects and by incentivizing manufacturing. We expect the Indian private sector to gradually increase investments given healthy corporate balance sheets," S&P said.
