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India is increasingly being seen as a rising economic power, with the potential to become a wealthy nation by 2047, marking 100 years of its independence, Washington Examiner reported.
According to Washington Examiner, over the past two decades, the country has recorded strong economic growth. Since 2003, India's economy has expanded at an average annual rate of over 7%. If this momentum continues for the next 20 years, India could cross the high-income threshold, with per capita GDP exceeding $15,000 in 2025 terms. Sustained growth at this level would also help the country avoid the "middle-income trap" that has stalled economies such as Brazil, South Africa, and Turkey. India's growth prospects are supported by favourable policies, demographic strength, and a growing technological base. One of its biggest advantages is its young population. With a median age of around 28, India is significantly younger than the United States and China. Over the coming decades, a large number of young people will enter the workforce, boosting productivity and driving consumption. This demographic trend is expected to support a strong domestic market, reducing reliance on exports for growth, as reported by Washington Examiner. To fully leverage this advantage, policymakers are focusing on improving productivity. Investments in infrastructure--such as highways, airports, ports, and logistics corridors--are accelerating. A more efficient transport network is expected to strengthen supply chains and support the expansion of the domestic economy, Washington Examiner reported. As per Washington Examiner, at the same time, global shifts in supply chains are working in India's favour. Western companies, particularly from the United States, are increasingly moving operations away from China. Major firms like Apple are expanding their presence in India, bringing capital, technology, and expertise that can enhance productivity and innovation across sectors. Technology is another key pillar of India's growth story. The country's digital infrastructure--including identity systems, mobile payments, and online public services--has brought millions into the formal economy. This digital expansion is improving efficiency, boosting tax revenues, and enabling small businesses to access funding and scale operations, as per Washington Examiner. India also stands out for its strong entrepreneurial culture. A growing startup ecosystem, supported by venture capital, is driving innovation in areas such as financial technology, artificial intelligence, and e-commerce. These developments are helping India move towards higher-value economic activities, Washington Examiner reported. Despite these strengths, challenges remain. Issues such as bureaucratic inefficiencies, corruption, and political divisions continue to pose risks. However, the government under Prime Minister Narendra Modi has initiated gradual reforms in areas like taxation, the judicial system, and education to support long-term growth, as reported by Washington Examiner. According to Washington Examiner, historical trends show that countries can transition to high-income status through sustained investment, expanding labour forces, and technological adoption. India appears to possess all three. Investor confidence also reflects this optimism. Global technology firms and major financial institutions are increasingly backing India's growth story. The strong performance of the Indian stock market, which has delivered average annual returns of around 15% over the past two decades, further reinforces expectations that India could emerge as a major economic and political power in the years ahead, as reported by Washington Examiner. (ANI)
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