Indian Economy: Current Problems and Future Prospects

2000

The Journal of Asian Studies, 2002

As we enter the Eleventh Five Year Plan, the prospects on the growth front are encouraging. Growth has averaged close to 9 per cent per annum in the last three years of the Tenth Plan, thus more than making up for a slow start in the first two years. Such a good growth performance is unprecedented and leads us to wonder whether we have actually scaled another invisible barrier and placed our economy on a high growth path. It is possible that with the correct set of policies and dedicated effort by both the Central and State governments, we will not only be able to maintain this momentum of high growth into the near future but may be able to raise it to 10 per cent per annum. This is what the Eleventh Plan attempts to do over the next five years. This high growth rate has become possible because of the historically high savings and investment rates which we are now witnessing. Our savings rate, after stagnating for almost two decades, has touched 34 per cent of our GDP and the investment rate has crossed 35 per cent of our GDP. These high rates, which are based on improvements in both private and public savings, are likely to go up in the future because of our young population profile. This will be adequate to support a growth rate of 9-10 per cent. Our economy has also demonstrated resilience in meeting the challenges posed by the march of globalisation. In the last two decades, our industry-both large and small-has restructured and become globally competitive. We have, over the past few years, been able to create an environment conducive to creativity and enterprise,

SSRN Electronic Journal, 2011

It is well known that at the end of the last and during the present century the Indian economy performed much stronger than during the first decades after independence. In common discourse this improved performance is usually linked to the change in policy framework which was introduced in 1991 and thereafter continued by successive governments. As a result far reaching regulation of

2020

Economic model of India had not changed after the country established its Independence. Even though economic reform that started in 1991 had not changed that model either. The GDP decreased in 2019, the level of poverty is high, and India became semi-agrarian country. Current government of Narendra Modi has been making reforms but the results are less successive for the last months of 2019 and those rates are decelerating. Economic history of China and other “Eastern tigers” shows how these countries achieved industrial growth during short period of time. What it means that the economic policy should be changed in the first place, and only then the GDP per capita will grow. Consequently, India will finally become a post-industrial society.

This paper provides an update on the historical and recent performance of the Indian economy. It reviews India’s growth performance, and the supporting performance of savings and investment, productivity and international trade. It highlights the performance of a dynamic sector (automobiles) and a laggard sector (agriculture) and comments on the structure of income growth in recent times. It also points out emerging constraints on rapid economic growth, e.g., increasing regional and personal inequality, rising unemployment, infrastructural constraints and the fiscal deficit. It assesses the prospects for economic growth in the near term.

Diss. University of …, 2006

Vikalpa: The Journal for Decision Makers, 2012

O n 29th November, 2012, the Central Statistical Organization (CSO) came out with an estimate of 5.3 per cent growth for the Indian economy during the second quarter (July-September) of the current fiscal year against the 5.5 per cent growth during the first quarter (April-June). The quick estimate of 5.4 per cent growth of real gross domestic product (GDP) for the first half of the current fiscal year is not a very encouraging figure, though the stock market has taken it favourably. This is because the market might have perceived it as the lower turning point of the current slowdown. At this juncture, addressing questions about the prospects for the Indian economy in the short term, medium term, and long term is critical for individual business and collectively for the national developmental aspi

The status of India in the world has reached a new level with every country looking upto us as a new avatar which was never before and the good example is the visit of the heads of the states of five permanent members of the Security Council in the year 2010. The main reason for this changed perspective is because of the growing Indian economy, which has withstood the global recession, when other countries are struggling. In 2011, there awaits a few challenges for the Indian economy. The present article will discuss about the emerging challenges for the Indian economy in 2011 and the various suggestions for the growth of the economy. It also highlights certain positive outcomes of 2010.