India has the world’s fastest growing democratic economy, with annual GDP growth between 7-9%. Industry sectors such as telecommunications, retail, aviation and transportation, infrastructure, clean technology, pharmaceutical and bio-sciences, and animation, to name a few, are all experiencing growth rates that are unheard-of in North America and Europe.
Some facts about the Indian economy:
- Today, India is the fifth largest economy in the world. Among the BRIC countries (Brazil, Russia, India, China), India is expected to deliver the highest growth rates over the next 50 years.
- By 2050, India is expected to be the world’s largest economy, surpassing the United States by 2040 and China by 2050.
- India has over 220 million households with more than 30% of the population living across 5,000 cities and towns.
- Half of India’s population, or over 550 million is under the age of 25 which has fuelled demand for consumer goods. Regional growth in India has also been driven by more local demand less reliance on exports.
- By 2025, India will have 25% of the global workforce with the average age which constitutes about 600 million people.
The growth in India’s consumer market will be primarily driven by a favorable population … translates into increasing consumer demand but also into a more value-conscious demand.
- In January 2012, India’s mobile subscriber based reach 940 million; by 2013 the country will be in the top 10 broadband markets.
- With the launch of 3G and 4G services and proliferation of computing devices (smartphones and tablets), the number of internet users is expected to increase from 80 million in 2011 to 400 million by 2015.
- Growing demand, policy support and increasing investments will continue to increase demand for services in the telecom sector.
- India will spend $1 trillion on infrastructure in the next five years of which 50% needs to be contributed from the private sector. Roads, railways, ports and powers are given strategic importance by government support.
- The construction boom in India will increase floor space from 8billion sq m in 2005 to 41 billion sq m by 2030.
- India has 110 ‘certified green buildings’ and is ranked fourth after US, Australia and Canada in amount of green floor area under construction.
- India currently has a power deficit ranging between 10-15% during peak hours—transmission losses are among the highest in the world (35%). Renewable energy is an economic imperative and will represent 20% of the energy mix by 2020.
- India has the 5th largest power-generation capacity in the world and thus, offers huge opportunities for the companies with plans to enter the Renewable Energy sector in India, including solar energy, wind energy, biomass and small hydro.
- India is the most vulnerable of all G20 countries to the impact of increased carbon emissions resulting affecting water, agricultural output, and food production.
- With increased urbanization, renewable energy, water, energy efficiency, municipal solid waste (MSW), green buildings, and smart IT are major focus areas for governments and the private sector.
Economic growth, driven by domestic and export consumption, backed by strong market fundamentals and innovation spirit remain the core attraction for global investments into India.