India's Economic Growth and Challenges

As of today, India is one of the fastest growing economies in the world, with much growth happening over the last two decades. This growth was largely due to public investment in infrastructure and rising household investments in real estate. India’s economy consists mainly  of a mix of agriculture, manufacturing, and service sectors that include IT and financial services. The service sector is their largest sector, contributing to about 60 percent of income in the Indian economy. A portion of India’s economy also consists of exports, which include refined petroleum, mineral fuels, and jewelry. 

India has seen benefits due to the rapid growth of their economy. According to worldbank.org, “the country is estimated to have halved the share of the population living in extreme poverty” between 2011 and 2019. Extreme poverty is categorized as those living on below $2.15 per day. 

However, India also continues to experience challenges. Child malnutrition remains high, with 35.5 percent of children under the age of 5 being affected, and the number rising to 67 percent in the 6-59 months age group. And according to CNN, about 60 percent of Indians live on less than $3.10 a day, while the top richest 10 percent control about 80 percent of the nation’s wealth. These statistics show a massive wealth gap between the population.

Despite challenges, India’s economy continues to grow, with India having aspirations to reach high middle income status by 2047. They have also set a goal of achieving net-zero status by 2070. Whether or not they will achieve this goal is still to be seen, but right now, they seem to be on the right track.