The Republic of Bharat, the most populous country with its rapid growing economies in the world, is considered as a major power and heading for economic superpower. As of today, the Indian economy’s domestic dynamics continue to be strong through negative cross border spill overs and adverse global developments can act anytime as a deterrent to achieve the potential high growth path in current financial year.

India’s real per capita income has increased fourfold. China’s sharp economic slowdown has raised alarm bells around the world, but it has also thrown into relief the rise of another demographic powerhouse next door. The Indian economy grew at an impressive 7.8 percent annual rate in the second quarter of this year, and on Aug. 23, the country reached an important milestone by becoming the first to land a spacecraft on the moon’s potentially water-rich South Pole. Moreover, India’s ascent, unlike China’s, has not been accompanied by an increasingly assertive foreign policy or an appetite for other countries’ territory.

As India’s geopolitical, economic and cultural clout grows, so does its global footprint. China’s “decline,” as some have begun to call the conclusion of the nation’s four-decade-long economic boom, opens new opportunities for the Indian economy, and other developing and emerging countries.

Earlier this year, India reached another milestone when its population officially surpassed that of China, which had been the world’s most populous country for more than 300 years. While China’s shrinking, rapidly aging population is likely to impede economic growth and might curtail its geopolitical ambitions, India — one of the world’s youngest countries, with a median age of 28.2 — is poised to reap a huge demographic dividend.

However, the driving force behind India’s emergence as a major global power is its rapid economic growth. While India’s GDP is still smaller than China’s, it is currently the world’s fastest-growing major economy and is projected to account for 12.9 percent of global growth over the next five years, surpassing the US’ 11.3 percent share.

In addition to fueling a consumption boom, India’s youthful population is driving innovation, as evidenced by the country’s world-class information economy and its recent moon landing, which the country managed to achieve despite a national space budget equivalent to about 6 percent of what the US spends on space missions. Having already surpassed the UK, its former colonial ruler, India’s GDP is poised to overtake that of Japan and Germany to become the world’s third-largest economy by 2030, behind the US and China.

India is entering a period of strategic opportunity or what Shri Narendra Modi has referred to as (‘Amrit Kaal’). The country is projected to be the fastest growing major economy this year, while China’s growth slows. India also stands to benefit from US-China rivalry, as countries seek to decouple supply chains away from China, particularly in areas with critical and emerging technologies.

India’s G20 presidency has offered some nascent signs. Its climate and DPI agendas are important – DPI in particular offering a potential low-cost, software equivalent to China’s ‘Belt and Road’ Initiative.

India’s G20 presidency is the culmination of a year of milestones. The country has become the fourth to land on the moon, surpassed China as the world’s most populous country and overtaken the UK as the world’s fifth-largest economy. In June, Prime Minister Narendra Modi received a red-carpet welcome in Washington, DC.

India’s rapid growth and development in the recent years is very clear with the developments in the Indian infrastructure such as in aviation, railways, oil and gas, roads and bridges, and shipping. [1] Ministry of shipping and waterways (MoPSW) Government has planed of 44 port projects worth INR 22900 cr till 2024-25. Government also working on the guidelines for Public private partnership (PPP) has bring new policy to support shipbuilding industry in India that will also accelerate the Indian economy.[2]

A Free Trade Agreement (FTA) with India supports the government’s strategy of continuing to develop the United Kingdom status as an independent trading nation which seeks trade and investment opportunities, champions free trade, champions free trading in all regions of the industry. Total trade in goods and services between the UK and India was 3.63 billion pounds in the four quarters to the end of Q1 2023, an increase of34.2% ie 9.2 billion pounds in current prices from the four quarters to the end of Q1 2022. [3]

Recently India has been building airport at remote locations of the country for faster travel, supply of aid and assistance. The new Vande Bharat Express is a new achievement in Indian Railway system.

As of August 2021, India has a total of 139 operational airports, up from 123 in 2014, according to the Ministry of Civil Aviation. The Indian government has also announced plans to develop 100 new airports by 2024, according to the Ministry of Civil Aviation. The aviation industry is optimistic about India's potential for growth due to a growing middle class and young population with a greater propensity to travel. The privatisation of airports has also provided a significant boost, with huge investments being made. The industry experts predict that the growth in the aviation sector will fuel tourism, both of which have shown resilience and are recovering from the COVID-19 pandemic. India's aviation market is currently the third largest and fastest growing in the world, with enormous potential for further growth. [4]

The agriculture and food production sector is the sixth largest and ranks fifth in terms of production, consumption, exports and growth. The sector contributes 9 percent and 11 percent of GDP in manufacturing and agriculture, respectively, and makes up for 13 percent of India's exports and 6 percent of total industrial investment. As per the latest Annual Survey of Industries, there are 39,319 registered food processing units in the country that employ approximately 1.7 million people in food and beverage manufacturing. India ranks second in terms of global food production and is the world’s largest producer of many. It is the world’s largest producer of milk, pulses, and spices, and has the world’s largest cattle herd (buffaloes), as well as the largest area under wheat, rice and cotton. It is the second largest producer of rice, wheat, cotton, sugarcane, farmed fish, sheep & goat meat, fruit, vegetables and tea. India, global agricultural powerhouse, has plans to reduce wastage of agricultural produce by 50 percent in the next two years, significant step in the development of Indian agricultural sector. India has the second-largest road network in the world, spanning a total of 5.89 million kilometers (k). This road network transports 64.5% of all goods in the country and 90% of India's total passenger traffic uses road network to commute. The highways sector in India has been at the forefront of performance and innovation. The government has successfully rolled out over 60 road projects in India worth over $10 bn based on the Hybrid Annuity Model (HAM). HAM has balanced risk appropriately between private and public partners and boosted PPP activity in the sector.

Asset recycling, through the toll-operate-transfer (ToT) model has been taken up by the National Highways Authority of India (NHAI) for 100 highways. The first two bundles of 9 highways each were monetized successfully for an investment of over $2 bn.

As one of the biggest reforms in the road transportation industry in India, the NHAI has gone ‘Fully Digital’, with the launch of a unique cloud-based and Artificial Intelligence-powered Big Data Analytics platform – Data Lake and Project Management Software. The entire project management workflow of NHAI is transformed from manual to online portal based, wherein the complete project execution operations including ‘workflow with timelines’ and ‘alert mechanism’ have been configured. All project documentation, contractual decisions and approvals are now being done through portal only. The GoI has given a massive push to infrastructure by allocating about $1.4 Trilion for infrastructure to be invested until 2025.

The market for roads and highways in India is projected to exhibit a CAGR of 36.16% during 2016-2025, on account of growing government initiatives to improve logistic infrastructure in the country.[5]

Conclusion

The Indian economy is moving forward at full ahead on steady course with right helm, in a few years’ time India is no doubt going to become a super economic power, while driving at this stage India has to cater her interest and also strengthen and calibrate geopolitical situation at global platform in a very precise manner which suits to country for its growth In all respects and its domestic as well as international affairs.

References:

[1]https://www.google.com/url?sa=t&source=web&rct=j&opi=89978449&url=https://www.rba.gov.au/publications/bulletin/2020/dec/economic-developments-in-india.html%23:~: text%3DIndia%27s%2520economy%2520has%2520grown%2520rapidly,incomes%2520have%2520increased%2520four%252Dfold.&ved=2ahUKEwi3naKEo6uBAxURfWwGHaIFDdgQFnoECBQQBQ&usg=AOvVaw0PFcFXHCWuuG8LZcM_tVNE

[2]https://www.google.com/url?sa=t&source=web&rct=j&opi=89978449&url=https://infra.economictimes.indiatimes.com/amp/news/ports-shipping/govt-has-pipeline-of-44-port-projects-worth-rs-22900-cr-till-2024-25-sarbananda-sonowal/96701482&ved=2ahUKEwj30PTd_beBAxUjI0QIHfq4CJcQFnoECC0QAQ&usg=AOvVaw2IfmolvW28KZeYMucITzIR

[3]https://www.google.com/url?sa=t&source=web&rct=j&opi=89978449&url=https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1178833/india-trade-and-investment-factsheet-2023-08-18.pdf&ved=2ahUKEwjl9qKhgLiBAxXBI0QIHbnaA5MQFnoECA4QBQ&usg=AOvVaw1YnDw DC2qkuM-AUeXYXbkO

[4]https://www.google.com/url?sa=t&source=web&rct=j&opi=89978449&url=https://www.panacheacademy.com/future-of-aviation-industry-in-next-10-years-job-security-in-the-aviation-industry/%23:~:text%3DFuture%2520of%2520India%27s%2520Aviation%2520Industry%26text%3DThe%2520fleet%2520might%2520include%2520440,the%2520world%2520average%2520of%25203.9%2525. &ved=2ahUKEwj_zPSvgriBAxXkMUQIHWU_CdEQFnoECBAQBQ&usg=AOvVaw2I4HRO3XdeEpupr7G9acLI

[5]https://www.worldbank.org/