Being an Indian, a sense of pride overwhelms us when our country is acknowledged as one of the fastest growing economies in the world, perhaps just a pace behind China. This fact fills us with pleasant sentiments, yet inflation, steep price rise, uneven distribution of income and red tapes are discouraging characteristics of our economy.
In terms of nominal GDP, Indian economy stands at the eleventh position in the world whereas by purchasing power parity (PPP), we are the fourth largest economy in the world. The stupendous growth of Indian service industry, triggered due to liberalization in 1990, takes all the credit for the north-bound growth of our nation’s economy. India is no more ‘a land of peasants’ where agriculture used to contribute as a dominant economic sector. Today, Indian services sector account for 55% of the country’s GDP. Industrial sector contributes 28% while agricultural sector contributes just 17% in the country’s GDP.
Despite agriculture being the feeble contributor to Indian economy, it is the major occupation for Indian populace, with around 52% of the population engaged in agriculture. On the other hand, the service industry employs 34% of the population and 14% population is employed in the industrial sector of the country.
Indian service sector is scaling upwards primarily due to the phenomenon success in information technology, software and information technology enabled services fields. The financial services like banking and insurance follows suit. Among major growth-driving industries in the country are chemicals, cement, food processing, mining, petroleum, steel, telecommunications, textiles and transportation equipment. Major agricultural produces in the country that add to the success pace are rice, wheat, cotton, oilseeds, pulses, jute, tea and sugarcane.
People employed in the service sector are said to be enjoying the best quality of life due to thick salary packages while majority of the population employed in agriculture has a miserable life. In India, the per capita income is Rs. 43,260, which is ranked 139th in the world. And its per capita PPP is Rs. 1,23,480, which is ranked 128th in the world. After liberalization, the Indian economy has witnessed a tremendous growth. According to the figures of 2007, India’s contribution to the World Trade is no less than 1.5%. India’s total trade, including total exports and imports, which was around $450 billion, as per 2006 figures.
The strong economic reforms, initiated in 1990, put the country on a fast-paced economic growth track, finally. Today, India is being seen as an emerging world economic power. The vast pool of talented human resources and a growing community of skilled professionals have been adding significantly to the nation’s growth. It has been predicted that India will get the status of one of the top economies of the world by the year 2020. There is no doubt about it though some stress also needs to be given on eliminating the economic disparity prevailing in the Indian society.