15-09-2017, 11:30 AM
India's economy is the sixth largest in the world measured by nominal GDP and the third by purchasing power parity (PPP). The country ranks 141st in GDP per capita (nominal) with $ 1723 and 123rd in per capita GDP (PPP) with $ 6,616 as of 2016. After economic liberalization in 1991, India achieved a medium-term growth of the GDP of 6-7% per year. In the years 2015 and 2017 India's economy became the world's fastest growing largest economy outpacing China.
The long-term growth prospect of the Indian economy is positive because of its young population, corresponding low dependency ratio, healthy savings and investment rates, and increased integration into the world economy. India surpassed the World Bank's growth prospects for the first time in fiscal year 2015-16, during which the economy grew by 7.6%. Growth is expected to have declined slightly to 7.1% for fiscal year 2016-17. According to the IMF, India's growth is expected to rebound to 7.2% in fiscal 2017-18 and 7.7% in 2018-19.
India has one of the fastest growing service sectors in the world, with an annual growth rate of more than 9% since 2001, which contributed to 57% of GDP in 2012-13. India has become a major exporter of IT services, business process outsourcing (BPO) services and software services with revenues of $ 154 billion in fiscal year 2017. This is the fastest growing part of the economy. The IT industry remains the largest employer in the private sector in India. India is the third largest start-up in the world with more than 3,100 tech start-ups in 2014-15 The agricultural sector is the largest employer in India's economy, but contributes to a decline in its GDP (17% in 2013-14). India ranks second in agricultural production. The industrial sector has maintained a constant share of its economic contribution (26% of GDP in 2013-14). The Indian automobile industry is one of the largest in the world with an annual output of 21.48 million vehicles (mainly two and three wheels) in 2013-14. India had $ 600 billion retail market by 2015 and one of the fastest growing e-commerce markets in the world.
The long-term growth prospect of the Indian economy is positive because of its young population, corresponding low dependency ratio, healthy savings and investment rates, and increased integration into the world economy. India surpassed the World Bank's growth prospects for the first time in fiscal year 2015-16, during which the economy grew by 7.6%. Growth is expected to have declined slightly to 7.1% for fiscal year 2016-17. According to the IMF, India's growth is expected to rebound to 7.2% in fiscal 2017-18 and 7.7% in 2018-19.
India has one of the fastest growing service sectors in the world, with an annual growth rate of more than 9% since 2001, which contributed to 57% of GDP in 2012-13. India has become a major exporter of IT services, business process outsourcing (BPO) services and software services with revenues of $ 154 billion in fiscal year 2017. This is the fastest growing part of the economy. The IT industry remains the largest employer in the private sector in India. India is the third largest start-up in the world with more than 3,100 tech start-ups in 2014-15 The agricultural sector is the largest employer in India's economy, but contributes to a decline in its GDP (17% in 2013-14). India ranks second in agricultural production. The industrial sector has maintained a constant share of its economic contribution (26% of GDP in 2013-14). The Indian automobile industry is one of the largest in the world with an annual output of 21.48 million vehicles (mainly two and three wheels) in 2013-14. India had $ 600 billion retail market by 2015 and one of the fastest growing e-commerce markets in the world.