India's Ambitious Path to Becoming a Developed Nation

According to a recent World Bank report, India must maintain an average growth rate of 7.8 percent over the next 22 years to achieve its goal of becoming a developed nation by 2047. This ambitious target builds on the country's strong economic performance over the past two decades, which saw an average growth rate of 6.3 percent from 2000 to 2024.

Key Strategies for Growth

The report outlines several critical strategies for India to reach high-income status, including boosting total investment to 40 percent of GDP by 2035, raising overall labor force participation to over 65 percent, and accelerating productivity growth across industries. Additionally, the report emphasizes the importance of investing in human capital and increasing female labor force participation rates to 50 percent by 2047.

Policy Priorities for Sustained Growth

To sustain the necessary growth rate, the World Bank recommends policy action in four critical areas: increasing investment, enhancing job creation in high-productivity sectors, strengthening trade and technology adoption, and ensuring balanced state growth. These measures aim to build on India's recent economic achievements, including an impressive 8.2 percent GDP expansion in the financial year 2023-24.

Looking Ahead

With the Economic Survey projecting growth between 6.3 percent and 6.8 percent for 2025-26, India's journey towards becoming a developed nation by 2047 is both challenging and promising. The World Bank's report serves as a crucial roadmap for India, highlighting the need for bold reforms and effective implementation to achieve this long-term ambition.