India FY25 to 50
India's GDP is expected to reach US$ 5 trillion by FY25 as that to be achieved by digitization, globalization, reforms and demographics.
According to a recent study published in the journal Lancet shows that India will be become the world's third largest economy by 2050 to overtake Japan as the third largest economy in the world by 2050 and continue in that position till 2100 followed by Nigeria, China, and the USA.
The study showed also, that China would rise to the top in 2035 in the reference scenario for the GDP, but would be superseded by the USA again in 2098.
CORONA in India
In August, Prime Minister Narendra Modi allocated $2 billion to upgrading the country’s health system as a part of $1.46 trillion assigned for infrastructure projects to boost the sagging economy after CORONA effects.
As reported India’s services sector continued to recover, with the main index rising to 49.8 in September from 41.8 in August. While that’s a marked improvement from April’s record low of 5.4, a number below 50 suggests it’s still in contraction territory.
Technology and Innovation
India's Verizon Business Group mentioned that it has one of the fastest-growing tech and telecom markets, is poised to play a key role in the global economy and the future of technology and innovation.
Verizon operates three business units in India offers a suite of managed network and security services and advanced communications.
Also, it holds an internet service provider, international and national long-distance and a virtual network operator licenses.
India tax exemptions for Gulf investments
As per Indian Ministry of Finance, India is communicating with Saudi Arabia, Kuwait, Qatar and Singapore, and foreign pension funds in America, Norway and Denmark to make these funds invest in long-term energy projects in India like clean energy sources, communications, water, sewage treatment plants, food, industrial complexes and in education.
It is worth noting that the Abu Dhabi Sovereign Wealth Fund became the first foreign fund to obtain 100% tax exemption for long-term investments in infrastructure in India.
India made an agreement with Bangladesh that India would use the port of Chittagong to deliver goods and various commodities to the northeastern Indian states such as Tripura State as the mountainous terrain and long distances prevented those states from providing what they needed through the well-known Indian ports.
Also, as per steps it has taken in response to the Chinese military attack, India opened up to Taiwan as one of the these steps as allowed several leading Taiwanese companies in the fields of electronics and information technology to invest in India on the other hand preventing Chinese companies from participating in Indian infrastructure tenders, tightening investment controls for Chinese investors, and prohibiting the use of 118 In application of Chinese mobile phone applications.
The Statistics show that trade exchange between India and Taiwan has grown. Its total value increased from 4.78 billion dollars in 2015-2016 to 7.18 billion dollars in 2017-2018, And it would have risen more in 2019-2020, had it not been for the current global recession due to the Corona pandemic.
Indian economy is the fastest growing in the world and is expected to be one of the top three economic powers in the world over the next 10-15 years that in the first quarter of FY2019-20, India’s GDP was US$ 477.67 billion.
Now the question or the challenge for us is how to deal and utilize this growing economy, as it creates other economic options and competition with the Chinese's dragon.
Farhan Hassan Al Shammari