UN report said that India will be the fastest-growing large economy in the world. India’s Economy is expected to grow by 7.3% in 2016 7.5 per cent in 2017. India passes China to become fastest growing economy. This is the result of the recent policies of the Indian government. India is classified as a newly industrialized country. India is on top by lagging china.
Term Economy growth
- Economic growth is the capacity of economy to produce goods and services.
- It is generally calculated from data on GDP and population.
- Economic growth can be measured by the following factors like-inflation, growth of population, technical progress and supply of natural resources.
Reasons of Fastest growth
- India is growing fast because of its young population, low dependency ratio, healthy savings and investment rates, and increasing integration into the global economy.
- Policies of the Indian government.
- India is a services and consumer-driven economy means spending on infrastructure to boost manufacturing output.
- India has capitalised its economy on its large educated population to become a major exporter of IT services, BPO services, and software services.
- India is also the fourth largest start-up hub in the world.
- Indian auto mobile industry is one of the largest in the world.
- One of world’s fastest growing E-Commerce markets.
- India has two major stock exchanges,Bombay Stock Exchange and National Stock Exchange of India which ranks 11th & 12 largest in the world.