History has come full circle, and the centre of economic gravity is again shifting from the West to the East. India with China will increasingly dominate global trade and investment. India’s growth can be even swifter, as it leverages its vast human resources with power of information technology and the internet.
With a population of 1.1. bn, India is the world’s second-most populous country and just marginally behind China, which has a population of 1.3 bn. Every sixth person on this planet is an Indian, and the country adds a citizen every two seconds. That means its population increases by more than 15m annually – In effect, by two Switzerlands or two Israels. India, with 2.4% of the world’s landmass, supports over 17% of the world’s population.
India has more than 100 airports; Indian Railways is the world’s second largest employer; and India has one of the longest road networks in the world, yet its passengers and cargo transportation is over loaded and needs huge investment to make it more efficient.
India’s GDP growth has seen spectacular acceleration in recent times, with a CAGR of 9% over the last three years. Indeed, growth over the 10th Five Year Plan (FY 03-07) at 7.6% was the highest in any Plan period.
As Indian economy accelerates to reclaim its share in the global economy, there are unprecedented opportunities and challenges.