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Resource centre on India's rural distress
 
 

Charting the economic journey ahead -C Rangarajan

-The Hindu

India has no choice but to grow fast, given the present level of per capita income

The big question before India is where its economy will be 25 years from now. By 2047, India will complete 100 years after Independence. By that time, will India achieve the status of a developed economy, which means achieving a minimum per capita income equivalent to $13,000? We also need to know what the global situation would be like because India cannot be decoupled from the rest of the world.

India’s economic journey started with Independence. It is not realised often that India’s economic progress in the first half of the 20th century under British rule was dismal. According to one estimate, during the five decades, India’s annual growth rate was just 0.89%. With the population growing at 0.83%, per capita income grew at 0.06%. It is not surprising that immediately after Independence, growth became the most urgent concern for policymakers.

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