India to become $26 trillion economy by 2047: EY report

Tags: Reports Economy/Finance

An EY report states that the Indian economy is likely to reach $26 trillion by the year 2047, which will also be the 100th year of India's independence.

An overview of the news

• The report also pointed out that the country's per capita income would cross $15,000, making it among the top developed economies.

• The report also pointed out that despite maintaining a steady but modest growth rate of 6% per annum, India would still be able to become a $26 trillion economy by 2047–48, with per capita income six times higher than current levels.

• According to the report certain factors have contributed to bring India to a position of high and sustainable growth.

• These include accelerated pace of economic reforms in critical areas such as social inclusion, financial inclusion, fiscal, physical and digital infrastructure.

• This has ultimately resulted in increased global competitiveness of Indian businesses and entrepreneurs.

• An area with major potential is services exports which are set to grow by 14% over the past two decades to reach $254.5 billion in 2021-22.

• Other enabling areas include 'digitalisation'.

Government’s efforts

• Government's focus on increasing the country's digital infrastructure

• Efforts towards e-governance

• A strong digital payment ecosystem

• Introduction of digital services in almost all domains

• Large telecom subscriber base of 1.2 billion

• 837 million internet users, etc.

Focus Areas

• macroeconomic stability,

• more energy independence,

• ease of doing business,

• power sector reform

What is EY report?

• Launched in 2011, EY Reporting is EY Global Assurance’s insights hub.

• It provides thought leadership on the issues global companies face in communicating corporate performance.