India set to become third-largest economy by 2030 by S&P Global Ratings
S&P Global Ratings has forecasted India's growth rate to be 6.4% in the fiscal year 2023-24, a slight decrease from the 7.2% recorded in the previous financial year. According to the rating agency, this growth trajectory is anticipated to persist at 6.4% in the subsequent fiscal year (2024-25), followed by an ascent to 6.9% in the subsequent year and a further increase to 7% in the fiscal year 2026-27.
S&P has indicated that India is poised to secure the position of the third-largest economy by 2030, foreseeing it as the fastest-growing major economy over the next three years. The transformation of India from a services-centric economy to one dominated by manufacturing is contingent upon the establishment of a robust logistics framework. The successful harnessing of the labor market's potential is intricately linked to the upskilling of workers and a heightened focus on increasing female participation in the workforce, with S&P emphasizing that achievement in these domains is vital for India to leverage its demographic dividend. Additionally, S&P notes the potential for significant growth in India's high-growth startup ecosystem, particularly in financial and consumer technology, fuelled by a burgeoning domestic digital market in the coming decade.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.