India has surpassed several global economies in terms of total GDP over the last decade. However, its per capita income remains low. A report by Llama Research now urges the country to shift focus toward increasing individual prosperity.
Growth Must Reach the People
The report emphasized that India’s next phase of growth must benefit its citizens directly. Although India ranks among the top 10 global economies, it ranks the lowest in per capita income. Llama Research explained, “This isn’t a flaw, it’s a window of compounding potential.”
Key Strengths Driving India’s Momentum
According to the report, India has many advantages. These include manufacturing expansion, rising income tiers, and rapid digital transformation. Additionally, the report cited India’s tech-savvy population, sound policies, macroeconomic stability, and room for long-term capital formation.
“India is not just rising in rank,” the report stated, “it’s building the foundations to lead from the ground up.”
Roadmap to Viksit Bharat by 2047
India aims to become a developed nation, or ‘Viksit Bharat’, by 2047. To achieve this, the Economic Survey 2024–25 stated India must sustain an average growth rate of 8% at constant prices for the next 10 to 20 years.
From Fragile to Fast-Growing
In 2013, India was part of the “Fragile Five” — a term coined by Morgan Stanley for struggling emerging markets. Today, India has transformed. It now stands as the fifth-largest economy and continues to grow rapidly.
The IMF projects that India will overtake Japan and become the fourth-largest economy in the current financial year.
Impressive Growth Numbers
India’s growth remains strong. In 2021–22, the economy expanded by 8.7%. It grew by 7.2% in 2022–23, followed by an impressive 9.2% in 2023–24. In 2024–25, India is expected to grow by 6.5% in real terms, as widely anticipated.
Final Take
India’s economic rise is clear. But now, the challenge lies in ensuring that prosperity reaches every individual. With strong fundamentals and a clear vision, India is laying the groundwork for inclusive growth in the years ahead.