Economic Analysis of India

1874 Words4 Pages
bulb-icon

Recommended: Brazil economic

ECONOMIC ANALYSIS OF INDIA
The Indian Economy is the tenth largest in the world by nominal Gross Domestic Product and the third largest in terms of purchase power parity.
India after the growth of over 9% during 2005-08, moderated to growth of 6.7% in 2008-09 because of the global financial crisis due to the fiscal and monetary space, but with time the economy recovered to growth of 8.4% in 2009-10 and 2010-11.
The slowdown in the economy began in the second quarter of 2011-12, when the growth rate declined to 6.70% from level of 8%. Growth has been in the range of 5.30 -5.50 % in the quarter four of 2012-13. The slowdown is not only confined to India. Globally there has been a general slowdown in the economy.
The growth rate of advanced economies declined from 3.0% in 2010 to 1.3% in 2012. Even the emerging economies have slowed down in this period, due to the result of slowdown in the export markets. China’s growth declined from 10.4% in 2010 to 7.8 % in 2012. Brazil’s growth dipped from 7.5% in 2010 to 1.5% in 2012.

(http://businesstoday.intoday.in/bt500/sector-wise-analysis.jsp)

GIST OF INDIA’S ECONOMIC SURVEY 2013

The Gross Domestic Product is to expand up to 6.7% in 2014; it warned that inflation and a high current account deficit (CAD) are the two major concerns in this year. This study states positive impact in the recovery of the global economy and the recent government policies including the steps to open-up foreign investment in various sectors like aviation and retail and others. According to the study India is on the track to meet its fiscal deficit target of 5.3% of Gross Domestic Product in current year, and to narrow it down to 4.8% of Gross Domestic Product in next year which is 2015.

The study reco...

... middle of paper ...

...plementing the policies for the rural development, as most of the population lives in rural India. There is a scope for large scale infrastructure development and need to efficiently carry out the other schemes, so that the benefits could penetrate to lower level of population. Tourism is thriving sector in India and there is a need to harness its potential. This would help in raising our Forex reserves and would create more employment opportunities.

Threats:

Corruption and terrorism are the major threats faced by India. This is because both hamper the trade and the growth of people, which is a necessity for the overall economic growth. The rising inflation, black-marketing and hoarding also poses threat to the economic development. Economic growth, mainly the exports, have downward trend because of the worldwide economic downturn and thus is a cause of concern.

Show More
Related

  • Ruths Chrisris: SWOT Analysis Of Ruth's Chris

    974 Words  | 2 Pages

    The runaway corruption in the country harms the business environment and causes collapse of various established institutions and industries.

    Read More

  • Analysis of Tim Hortons

    557 Words  | 2 Pages

    The global economy has been recovering from the financial crisis which occurs in 2008, then has a weak growth for most developed countries over 2012 and 2013. But economic activity in Canada has expanded at a faster pace than most other major advanced countries in 2012; however, economic performance in Canada has been unsteady throughout 2013 (The Economic review, 2013). After the last quarter in 2010 GDP growth rate grows rapidly, the GDP grows slowly but steadily in 2012 which remains at around 3 percent. Real GDP growth rate in Canada grows slowly in the first quarter of 2013, but increased by 5 percent in the second quarter ,then remains the same level until the first quarter of 2014 (Statistics Canada, 2014). In 2014, the Canadian government take a series economic action plan as a guide for the economy development such as improving investment conditions, ...

    Read More

  • Germany after World War II Part 1

    1079 Words  | 3 Pages

    In 2006 and 2007 the growth rate recovered to 3.9% and 3.4% but then dr...

    Read More

  • Comparing the Economic Power of India and Australia

    1295 Words  | 3 Pages

    These results can imply that the slow increase in life expectancy may have a negative effect on economic growth. In comparing the GDP per capita of the same countries, Australia $67,555.8 in 2012, India $1,489.2 and U.S. is $51,748.6. (Worldbank.org) The GDP per capita results implies that Australia is the wealthiest of the three countries. However, GDP would suggest otherwise. Australia is $1.532 trillion in 2012, India is $1.842 trillion in 2012, and U.S. is $16.244 trillion in 2012, this would suggest that the U.S. is the wealthiest. However, using the GDP per capita may provide a more accurate picture because it takes the GDP and divides it by the population to show the prosperity of the country. (Amadeo, 2014)

    Read More

  • Analysis Of Behind The Beautiful Forevers

    1748 Words  | 4 Pages

    This is necessary as the vast majority of individuals migrating from rural to urban centers has been steadily increasing with the level of economic growth seen within the past twenty years as mentioned earlier. Unfortunately, this situation has further shown the structural issues and inequalities of cities, as most migrants end up having a poor quality of life living in informal settlements as highlight substantially by Boo. As a means of tackling this, however, the Indian government has turned its focus on investing rural regions, developing the agricultural sector. Specifically, Boo mentions that “the prime minister, Manmohan Singh, had come down from Delhi to express his concern for the farmers’ hardships, and the central government’s determination to relieve it” (p. 138). While this is definitely important funds are not being divided justly. For starters, between rural and urban areas almost all investments are being targeting towards rural regions, which is only addressing issues of inequality in one section of the country. Furthermore, across rural areas inequalities of investment are quite often overlooked. Although, “one of the governments hopes was to stop villagers from abandoning their farms and further inundating cities like Mumbai, but Asha’s relatives knew nothing of these celebrated relief programs” (p. 138). Therefore, even though

    Read More

  • Economic Comparison of India and China

    1658 Words  | 4 Pages

    From April to June 2005, India’s GDP grew at 8.1 per cent, compared with 7.6 per cent in the same period the year before. More impressively, India is achieving this result with just half of China’s level of domestic investment in new factories and equipment, and only 10 per cent of China’s foreign direct investment…

    Read More

  • PEST Analysis of Indian Consumer Goods Retailing Market

    1319 Words  | 3 Pages

    Subramanian, Arvind. India’s Economy is stumbling? The New York Times. August 31, 2013: A19. Print.

    Read More

  • Swot Analysis Of Paint Industry

    854 Words  | 2 Pages

    The growth rate is estimated to be more than 2 times of GDP for decorative products. Given the thumb rule of 2 times of GDP growth the Indian paint industry is expected to grow between 8.5-9.4% for the fiscal 2013-14.

    Read More

  • PEST Analysis: The Indian Airline Industry

    1922 Words  | 4 Pages

    Overall India’s recent political environment has been largely unstable due to international events & continued tension with Pakistan.

    Read More

  • Subprime Crisis Case Study

    1576 Words  | 4 Pages

    Foreign banks began to reduce their holding in Indian Equities which leads to decline in stock price and weakening the currency. Since majority IT firms derive their revenue from US economy, thereby IT enabled services significantly hit by subprime crisis. In addition, coming recession in US has led to decline in demand for exports hence cause loss in export earning of India as well as cause unemployment or loss of

    Read More

  • Government Spending versus Tax Cuts: How Best to Stimulate Growth?

    1470 Words  | 3 Pages

    In the following report we have first tried to clear the concept of the multiplier then carried on with explaining various theoretical aspect of tax multiplier, government spending multiplier and planned investment multiplier. Then we have tried to compare the change in expenditure and change in GDP in Indian economy by providing data which was extracted through a secondary source.

    Read More

  • Economic Growth and Economic Indicators

    711 Words  | 2 Pages

    Economic growth is measured by the change in real GDP. Real GDP is the total value of all of the goods and services produced in a year, adjusted for inflation. GDP, though not the best indicator of the quality of life, nations with a high GDP correlate to nations with a higher quality of life. The changes in real GDP for 2013 general trend of increasing GDP and hence increasing economic growth. The latest estimate for fourth quarter fiscal year 2013 is 2.4 percent change in GDP. GDP increased in quarters 1-3 of 2013 but decreased in the fourth quarter. The decrease in the fourth quarter may be problematic for continued economic growth but the general trend of increasing GDP offsets this worry. (see Index 1)

    Read More

  • The Growth Story of India

    1013 Words  | 3 Pages

    Since Independence, India’s policy makers have been implementing the Five Year Plans with the aim of taking the nation forward. The objective of the 1st Five Year Plan was to revive the economy from the after effects of the British rule and to increase the volume of domestic savings. The 2nd Five Year Plan, known as the Nehru-Mahalanobis Plan, focussed on strengthening the manufacturing sector with special emphasis on the development of heavy industries. The public sector had a key role to play with respect to Industrialization. However, the growth rate of the Indian economy, during the first...

    Read More

  • Importance Of Indian Business Environment

    1243 Words  | 3 Pages

    The domestic businesses as well as international businesses face cut throat competition to enter and survive in the Indian market. They can survive only through customer satisfaction and providing high quality products. The increased foreign direct investment in India has supplemented the domestic capital formation and has improved the balance of payment. Banking, Insurance, communication, transportation, telecommunication, tourism, healthcare, education, consultancy, BPO and other service sectors contribute more than half of the national income in India. As a member of WTO India will reduce the tariff and non-tariff barriers and reduce and repay the foreign debt. Indian business environment is committed to the Indian economy through promoting increased living standards of the people in India. The world economy witnessed recession in the year 2008-09. The stability of the banks and financial institutions was questioned. India’s export sector, inflow of foreign investment, employment opportunities, capital markets, domestic demand of capital and consumer goods were affected due to economic slowdown. But the Indian private and public houses have struggled a lot to bring the Indian economy in the better position again. It is a fact that the Indian business environment is in much better position now and the Indian economy is growing at pace now.

    Read More

  • Ginzberg Theory Of Career Choice And Development Essay

    9922 Words  | 20 Pages

    Economy in the world is growing very steady. It is proved by the changes and evolution in the world economy profile in the short period of time compared to the previous years (Bradbury & Katz, 2009). Muhammad Mahmud

    Read More

More about Economic Analysis of India

Open Document