November 12, 2015 2:16 PM

printer

India can be a China-like global growth powerhouse of 2020s, provided it addresses challenges: EIU

India can be a China-like global growth powerhouse of the 2020s, provided it addresses several challenges, the Economist Intelligence Unit,EIU, has said. In a report, the EIU's Chief Economist Simon Baptist said India is the only country that has the potential to change the world in the 2020s, in the way China changed it in the 2000s.Saying that a key driver could be expanding India's industrial base, he said this was indeed the idea behind the government's ambitious 'Make in India' campaign. But he also noted that the share of the manufacturing sector in GDP, at 17 percent, has barely grown over the past 20 years. Basic skills and education are inadequate, and there is a huge gender gap in education and employment. A long-standing electricity deficit, and massive infrastructure needs are also key challenges.The EIU also underlined that one thing preventing the realization of India's economic potential is the maze of state-level regulations, and the lack of a truly national single market.The EIU also said that it is revising down India's 2018-2020 economic growth forecast, as the results of the Bihar elections imply that the NDA government will continue to lack a majority in the upper house of Parliament.

Most Read
View All arrow-right

No posts found.