India as a developed country: Developed by 2047? Yes

Source: The post is based on the article “Developed by 2047? Yes: If India’s per capita income in constant PPP dollars grows 4.1% annually, a very realistic prospect, it will be in the advanced economies club in a quarter of a century” published in The Times of India on 20thFebruary 2023. 

Syllabus: GS3- India economy and growth 

Relevance: Future prospects of Indian economy 

News: PM Modi, in his 2022 Independence Day speech, announced the goal for India in 2047. It will get the status of a developed country.  

What is the per capita income level in India? 

It measures the average income earned per person in a given area in a specified year. It is calculated by dividing the area’s total income by its total population. 

It is useful in evaluating people’s affordability and purchasing power. Per capita income indicates whether certain commodities and facilities are out of reach by average people in terms of financial aspects. 

India’s per capita income India’s per capita net national income or NNI was around 150 thousand rupees in the financial year 2022. In contrast, the gross national income at constant prices stood at over 146 trillion rupees. 

What are ways that can help India to improve its per capita income? 

-Increasing income for farmers. 

-Through government expenditure and investment in infrastructure.  

-Urbanizing India’s rural populations. 

-Becoming competitive in high-potential sectors. 

Can India get the status of a Developed nation by 2047? 

India’s start-up ecosystem is the third largest in the world after the US and China. Several prominent start-ups such as Ola, BYJU’S, Zerodha, Cred, Razorpay, and more have their head offices in the city which is often called the ‘Silicon Valley of India.’  

Innovation will be key in transforming India’s economy. Its progress in the Global Innovation Index 2022 from the 81st spot in 2015 to the 40th now is a good indicator of the road ahead. 

What should be India’s focus areas going forward? 

As per ‘UN State of World Population Report 2022’ in 2023 India will dethrone China, as the world’s most populous country. 

A hungry nation cannot be a developed country. As per the latest Global Hunger Index (2022) is ranked 107th among 121 countries.  

As per the World Inequality Report 2022, India is among the most-inequitable countries globally. It has the bottom half of the population earning Rs 53,610, but the top 10 percent earning 20 times at Rs 11,66,520.