Deepak Lalwani+Punjab AD_A4 Temp 16/05/2011 14:59 Page 39
The coming decade India is on a journey of economic "catch up" and this journey should extend well beyond this decade. A stronger economic base, as the country aspires to firmly resume growth of 9% + per annum, should help further raise confidence in India. The drivers of economic growth are: favourable demographics, an increasing savings and investment rate, an unleashing of latent entrepreneurial spirit, an improving (albeit slowly) infrastructure, improving education and increasing consumption. The Indian economy is also insulated against the worst effects of a global slowdown because it has a large domestic market which accounts for 57% of total consumption. And, exports account for only about 18% of GDP - this allows a degree of insulation against the worst of any global economic slowdowns. Earlier it was mentioned that it took nearly 60 years post independence for the milestone first trillion US dollars of GDP to be reached. With higher growth rates now (8%+ per annum) the next trillion is expected to be reached in 5 years by 2013. By the end of this decade India should have an economy nearly 400% larger than in 2008 as it reaches $ 4 trillion. This was the path followed by China and India will follow a similar one, albeit at a slower pace than China. The country should also be among the five largest economies globally by the end of this decade. From these numbers the business opportunities in most sectors is staggering. The fervent hope is that this decade will see, once and for all, a definite inclusive nature of sharing economic gains for all sections of society and that rural standards of living, education and healthcare are dramatically improved. India is not seen by Western developed powers as a threat militarily or economically. Hence its influence and increased role as a global emerging power will be supported and welcomed. This should help India play a greater role in world affairs, be it at G20 or BRIC meetings and hopefully in this decade the country realises its cherished dream - of finally becoming a permanent member of the UN
Security Council. India's confidence and global influence is seen to increase appreciably this decade compared to the past. The obstacles and risks that existed before will still require attention: corruption, bureaucracy, security threats, making doing business in India easier and very importantly, making economic growth inclusive so as to reduce poverty levels. Despite all the obstacles, India has much to look forward to in this decade. As does the world as it sees the largest democracy in the globe journey towards realising its destiny. Deepak N . Lalwani received two prestigious awards in 2010 from India and also an OBE in the UK. He is only one of two persons from India to be elected as a member of The London Stock Exchange, which he joined over 20 years ago.
Asian Voice & Gujarat Samachar - 2011
Finance Banking Insurance (FBI)