S&P Report shown positive outlook for Indian Economy: Highlights of the report
In a report published on Tuesday, S&P Global predicted that by 2030, India's GDP would have increased from 6.4% in 2023 to 7% in 2026.
The country, which is currently the fifth largest economy in the world behind the US, China, Germany, and Japan, will reach 7% in the 2026–2027 fiscal year. By then, India will have become the fastest growing major economy in the previous three years.
India's Economy may rank 3rd Globally by 2030
India's GDP may grow by 7% in the 2026–2027 fiscal years. By 2030, India's economy will rank third globally, and over the next three years, it is expected to grow at the fastest rate among major economies, according to S&P.
S&P's "Global Credit Outlook 2024" predicts that India will be the world's fastest-growing emerging market. The key question is whether or not India can become the next major global manufacturing hub.
The report also stated that India's GDP is expected to grow by 6.4% in the fiscal year 2023–2024, down from 7.2% in the previous year. Ratings agency expectations state that growth will remain at 6.4% in 2024–2025; however, the following year, it will rise to 6.9% and in 2026–2027, it will increase to 7%.
According to the report, a strong logistics framework will be critical in transitioning India from a services-dominated to a manufacturing-dominant economy.
Report suggests importance of Strong logistics framework for Indian Economy
The rating agency emphasizes the significance of India emerging as a global manufacturing hub, emphasizing the country's significant opportunity. It emphasizes the significance of building a strong logistics framework to shift India's economic landscape from one dominated by services to one dominated by manufacturing.
S&P emphasized on the importance of unlocking labor market's potential
To unlock the labor market's potential, S&P recommends improving worker skills and increasing female labor-force participation. The agency believes that success in these areas will enable India to make full use of its demographic dividend.
According to the report, success in these two areas will allow India to realize its demographic dividend. S&P believes that India's thriving domestic digital market can fuel the development of the high-potential startup ecosystem, particularly in financial and consumer technology, over the next decade.
Also read: GDP figures released on Thursday, and they showed higher-than-expected growth of 6.8%
S&P's viewpoint comes just a few days after India experienced a faster-than-expected 7.6% growth rate in GDP for the September quarter.
OTT India updates you with the latest news, Country’s no.1 digital news platform OTT India, Keeps you updated with national, and international news from all around the world. For more such updates, download the OTT India app on your Android and IOS device.
.