21 min
India’s growth. Impact on Indians living abroad. Geopolitics conversation. Bilbies Ingenious Hindi
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India's recent economic growth and demographic trends have led to discussions about the country's emergence as an economy of genuine scale. However, while India's GDP growth has outpaced China's in recent years, the reality is more nuanced. China is still a large economy with reasonable GDP growth, although the end of its economic exceptionalism has led to a search for alternatives. India's relative demographic trends suggest that future years when China's growth exceeds India's are likely to be the exception rather than the norm.
The COVID-19 era has shifted global working patterns, and India is uniquely placed to capture this through its scale, technology capacity, and English-speaking capability. India's nonalignment is also less cemented in the pandemic's aftermath, and the country is in a geopolitical sweet spot, courted by the Quad, China, and others. India has signed new trade agreements with the United Arab Emirates and Australia, and one with the U.K. is likely in the first half of 2023.
The pandemic has also spurred India to begin improving its physical infrastructure and narrow the gap with "world-class public digital infrastructure." Infrastructure spending represents 23% of total spending at the state government level, the highest in a decade, and central government spending on infrastructure is at an all-time high of 19%. The new national budget includes a one-third increase in planned capital investment spending, bringing the allocation up to 4% of GDP, which will have a high multiplier effect on growth and bolster private investment.
India's progress in clearing nonperforming loans during the pandemic is also likely to improve the provision of credit to the economy. Nonperforming loans as a share of total bank loans have declined from a worrying level of 11.2% in 2017 to 5%, with further declines likely.
While India's to-do list is long, economic development has no standard recipe. The rise of the Asian Tigers and China were unique, and India's rise will be unique as well. Despite its challenges, India's to-dos are what give the country upside potential.
#IndiaEconomy #studyabroad #G20India #IndiaGrowth #IndiaDemographics #EmergingMarkets #InfrastructureDevelopment #NonPerformingLoans #TradeAgreements #GlobalWorkingPatterns #Geopolitics #WorldBankSurvey #GDP #ToDosForIndia #RiskRewardTradeoff
#studyabroad
#studyoverseas
#studyabroad2023
#internationalstudent
#studyabroadvlog
#studyabroadjourney
#studyabroadlife
#studyabroadexperience
#studyabroadgoals
#studyabroadtips
#studyabroadadventures
#studyabroadinspiration
#studyabroadprogram
#studyabroadopportunities
#studyabroadcommunity
#studyabroadculture
India's recent economic growth and demographic trends have led to discussions about the country's emergence as an economy of genuine scale. However, while India's GDP growth has outpaced China's in recent years, the reality is more nuanced. China is still a large economy with reasonable GDP growth, although the end of its economic exceptionalism has led to a search for alternatives. India's relative demographic trends suggest that future years when China's growth exceeds India's are likely to be the exception rather than the norm.
The COVID-19 era has shifted global working patterns, and India is uniquely placed to capture this through its scale, technology capacity, and English-speaking capability. India's nonalignment is also less cemented in the pandemic's aftermath, and the country is in a geopolitical sweet spot, courted by the Quad, China, and others. India has signed new trade agreements with the United Arab Emirates and Australia, and one with the U.K. is likely in the first half of 2023.
The pandemic has also spurred India to begin improving its physical infrastructure and narrow the gap with "world-class public digital infrastructure." Infrastructure spending represents 23% of total spending at the state government level, the highest in a decade, and central government spending on infrastructure is at an all-time high of 19%. The new national budget includes a one-third increase in planned capital investment spending, bringing the allocation up to 4% of GDP, which will have a high multiplier effect on growth and bolster private investment.
India's progress in clearing nonperforming loans during the pandemic is also likely to improve the provision of credit to the economy. Nonperforming loans as a share of total bank loans have declined from a worrying level of 11.2% in 2017 to 5%, with further declines likely.
While India's to-do list is long, economic development has no standard recipe. The rise of the Asian Tigers and China were unique, and India's rise will be unique as well. Despite its challenges, India's to-dos are what give the country upside potential.
#IndiaEconomy #studyabroad #G20India #IndiaGrowth #IndiaDemographics #EmergingMarkets #InfrastructureDevelopment #NonPerformingLoans #TradeAgreements #GlobalWorkingPatterns #Geopolitics #WorldBankSurvey #GDP #ToDosForIndia #RiskRewardTradeoff
#studyabroad
#studyoverseas
#studyabroad2023
#internationalstudent
#studyabroadvlog
#studyabroadjourney
#studyabroadlife
#studyabroadexperience
#studyabroadgoals
#studyabroadtips
#studyabroadadventures
#studyabroadinspiration
#studyabroadprogram
#studyabroadopportunities
#studyabroadcommunity
#studyabroadculture
21 min