New Delhi: India is likely to follow Japan as the second largest economy in Asia by 2030 when his GDP is also projected to surpass Germany and the UK to rank as no.3 of the world, IHS Markit said in a report on Friday.
At present, India is the sixth largest economy in the world, behind the US, China, Japan, Germany and England.
“Indian nominal GDP measured in the term dollar is expected to increase from $ 2.7 trillion to 2021 to $ 8.4 trillion in 2030,” said IHS Markit Ltd..
“The rate of rapid economic expansion will produce the size of Indian GDP beyond Japanese GDP in 2030, making the second largest economy in the Asia-Pacific region.” In 2030, the Indian economy would also be greater than the largest Western European economy in Germany, France and England.
“Overall, India is expected to continue to be one of the fastest growing economies in the world over the next decade,” he said.
Long-term prospects for the Indian economy are supported by a number of major growth drivers.
“The important positive factor for India is a large middle and growing middle class, which helps encourage consumer spending,” Ihs Markit said, estimating that the country’s consumption expenditure would double from $ 1.5 trillion at 2030 to 2030.
For fiscal years Full 2021-22 (April 2021 to 2022 March), India’s real GDP growth rate is projected to 8.2 percent, a rebound from severe contraction 7.3 percent year-to-year in 2020-21, IHS Markit said.
The Indian economy is expected to continue to grow strongly in the 2022-23 fiscal year, at a speed of 6.7 percent.
The rapidly growing domestic consumer market and a large industrial sector have made India an increasingly important investment destination for multinational quality in many sectors, including manufacturing, infrastructure and services.
Indian digital transformation which is currently being carried out is expected to accelerate the growth of e-commerce, change the retail consumer market landscape during the next decade.
“It attracts a leading global multinational international in technology and e-commerce to the Indian market,” according to the report.
“In 2030, 1.1 billion Indians would have internet access, more than doubled than about 500 million internet users in 2020.” The rapid growth of e-commerce and 4G shifts and 5G smartphone technology will increase the Unicorn planted at home soaring during a pandemic, said IHS Markit.
“The big increase in FDI inflows to India has been proven for the past five years has continued with strong momentum in 2020 and 2021,” he said.
This, he said, is being driven by a large inflow of investments from global MNC technology such as Google and Facebook who are interested in Indian Indian domestic consumer markets.
Being one of the fastest growing economies in the world will make India one of the most important long-term growth markets for multinational companies in various industries, including manufacturing industries such as autos, electronics and chemicals, and services industry such as banking, insurance, asset management, care Health and Information Technology.
India overtook Japan as the second largest economy of Asia by 2030: IHS
