The economy of India seems to be improving every year with new market trends in the country. India is competing with the U.S in terms of the economy. China tops the list of leading economies in the world. A long term forecast offered by Standard Chartered, a U.K based multinational bank, insists that India would very soon overtake the U.S economy which is in the second position. Here we talk about how the economy of India would behave in the year 2030.
India Overtakes U.S Economy In The Year 2030
Standard Chartered has come up with a prediction report on the economic performances of various countries. This prediction is based on nominal GDP and purchasing power parity exchange rates. According to the forecast, China tops the world economy. In the year 2030, it is said that the Indian economy would outperform the U.S economy. Thus it would rank 2nd in the leading economies of the world.
Reason For The Economic Growth In India
The U.K based multinational bank also lists the reasons for the steady economic growth of India. The future growth is attributed to the current financial reforms in the country like Good Service Tax(GST) and Indian Bankruptcy Code(IBC). GST came into the picture in the year 2017, and it simplified the tax regime of the county. The IBC generally deals with the bankruptcy and insolvency laws. The long term forecast report of Standard Chartered Bank on the economic growth of India is based on one key principle. The share of world GDP of each country in the world is about to converge based on the share of the world’s population.
Impact of Jobs On Economic Growth
It is, of course, good to know that half of the Indian population comes under the category of young people. Population in other global countries seems to be an ageing population. This is one of the major reasons for the growth in the economy of India as pointed out in the forecast report of the Standard Chartered Bank. Thus it is expected that with the increase in young population, i.e. people under the age of 25 consumerism would be encouraged. Massive demand for employment is expected in the country in the near future. In the year 2030, about 100 million new job opportunities would be created in the manufacturing and service sector.
It is important the country works on improving skills and must encourage women workforce participation. Ease of labour laws and avoiding the economic inequalities would help people to meet up to the demands of the massive employment.
The above rightly talks about the economic growth forecast report of India in the year 2030.