Facts Why India in the Next Global Economy

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(Newswire.net — March 27, 2020) — When discussing the global economic powerhouses, people often discuss the likes of China, the USA, Germany and Japan. One country which is often overlooked but one which is on the rise and fifth behind these nations is India. India will be the next global economy and an area that any international entrepreneur should have a serious interest in. Read on to discover key facts about India’s economy.

Fastest Growing

India is the fastest-growing trillion-dollar economy in the entire world with a nominal GDP of $294 trillion. It recently overtook both the UK and France and ranks third when GDP is compared in terms of purchasing power parity at £11.3 trillion. 

One of the BRICS Nations

India is one of the BRICS nations which are developing countries but predicted to surpass many of the biggest economies by 2050 to become the key suppliers of manufactured goods, services and raw materials. BRICS is a grouping acronym for the nations of Brazil, Russia, India, China and South Africa.

Strong Services Sector

India was once an agrarian nation following their independence, but this has changed drastically over the years with the emergence of manufacturing and services. It is the latter which now dominates making up over 60% of its economy and 28% of employment – it is also the fastest-growing sector in the entire world. This is largely built up of IT and software services which has grown from nothing in 1990 to roughly $70 billion 20 years later.

Poverty Remains an Issue

Despite the fact that India has one of the fastest growing economies in the entire world, it is also still a country that has great poverty with around a third of the population living below the poverty line. India ranks 70th in terms of average annual income with 50% of jobs being in the agriculture sector (which remains huge despite the emergence of manufacturing and services).

Fuel is India’s Biggest Export

Despite being the biggest producer of milk in the world and second-biggest producer of fruit and veg, fuel is India’s most valuable export with around $48.3 billion of petroleum products (much already refined) being exported in 2018.

It is Attracting Foreign Entrepreneurs

As you would expect with such a fast-growing economy and large population, there are many foreign entrepreneurs that eye India as the perfect place for a new startup. While this certainly can be a smart move, it is important to understand that there will be unique challenges and obstacles to overcome which is why it is always worth speaking to an expert consulting company like RSM. Experts like this will be able to help you to overcome issues and hit the ground running so that you can go on to find great success in a flourishing economy.

It is clear that India’s economy is on the rise and has already overtaken many notable powerful countries in recent years. This only looks set to continue in the coming years and this makes it an enticing prospect for entrepreneurial minded individuals.