How did India become the 3rd largest economy in the world?
As of my last knowledge update in January 2022, India was not yet the third-largest economy in the world. Economic rankings can change over time based on various factors such as GDP growth, exchange rates, and global economic dynamics.
However, if India has become the third-largest economy by your current date, it would likely be due to sustained economic growth, industrialization, advancements in technology, and demographic factors such as a large and youthful population. Policies and reforms aimed at improving business environments, infrastructure development, and international trade could also contribute to economic expansion.
India is predicted to become the third-largest economy by FY28, overtaking both Japan and Germany.
In that year, India’s GDP is estimated to be US$5.2 trillion, crossing the US$5 trillion benchmark.
Strategies to absorb oil price shocks and contain government borrowing at prudent levels would help India sustain high growth in the medium term.
Bijay Shankar Choudhary
The foundation of economic liberalization laid by Dr. Manmohan Singh was carried forward by Prime Minister Modi, as well as manufacturing got a lot of support under Make in India, exports took it further,
medical and agricultural products also got support, some times before India was in fifth place, due to Kovid and some other reasons, it is now the sixth largest economy in the world.
Indian is ranked 3rd in terms of PPP (purchasing power parity).
In terms of nominal GDP, India is now the 6th largest economy, as it outpaced France recently.
In terms of GDP growth rate, India is the fastest growing economy in the world.
3rd largest economy with no water for citizens in the country.
it is high time bjp govt. focuses on real issues like water scarcity in entire country, unemployment and now chinese incursion inside indian territory
Very happy to hear this positive thinking on Quora.
Hope it will be possible in Modi Ji Sarkar as people are fully supporting this Govt. and BJP Govt. also has been taking care of the country's economical growth faster for the past five years by taking various steps vigorously.
The main reason is population. India has started regaining it's historic position as world's largest economy.
India's population is more that 11 times of Japan's and unlike Japan it's growing.
Huge foreign investment
GDP growth rate above 5%
Hudchith Hoyya (Catch and Beat)
Our festivals are great. One festival is sufficient enrich the entire structures of society and filling bloods in every veins of society and life. Deepavali is great festival and called worship the light and Laxmi aadi devata of money and wealth and economy. Such a structure nowhere available in this world. Money will surge from the top to bottom and to farmers.
The world's largest economy was the United States, followed by China. However, India has been considered one of the world's fastest-growing major economies. The factors contributing to India's economic growth include:
1. Population: India has a large and growing population, which can be a demographic dividend, providing a large workforce and consumer base.
2. Market Potential: With its vast population, India represents a significant market for domestic and international businesses.
3. Economic Reforms: India has implemented economic reforms over the years to encourage foreign investment, ease of doing business, and liberalization of various sectors.
4. Technology and Innovation: India has a strong technology and IT sector, contributing to economic growth, outsourcing, and software services.
5. Entrepreneurship: The country has a vibrant entrepreneurial culture, fostering startups and innovation in various industries.
It's worth noting that economic rankings can change over time, and various factors influence a country's economic size and growth.
India has been positioned as one of the fastest-growing major economies in recent years.
Several factors contribute to India's significant economic standing:
Population: India has a massive population, which exceeds 1.3 billion people. This large population presents a vast market for goods and services and contributes significantly to the economy.
Economic Growth: India has experienced notable economic growth over the past few decades, making it one of the world's fastest-growing major economies. Its GDP growth rate has been consistently high compared to many other countries.
Service Industry: India's economy is diverse, with a strong emphasis on the service sector. Information technology, business process outsourcing, and other service-related industries have played a crucial role in India's economic development.
Manufacturing and Agriculture: India has a significant manufacturing sector and a strong agricultural base, contributing to its economic output.
Government Initiatives: The Indian government has introduced various economic and financial reforms to attract foreign investment, improve infrastructure, and boost overall economic growth.
Entrepreneurship and Innovation: India is known for its entrepreneurial spirit and a growing culture of innovation, fostering startups and technology development.
It's important to note that while India has shown substantial economic growth and potential, challenges such as poverty, inequality, infrastructure development, and bureaucratic hurdles still persist and impact the economy.
While India has a vast and promising economy, it's currently not the largest in the world in terms of nominal GDP. As of my last update, the United States and China were the two largest economies in terms of nominal GDP. Rankings can change over time due to various economic, political, and global factors.
Related-What is that one way or another that the Indian economy can become the largest in the world?
It cannot become now - All the previous 3 industrial revolutions have bypassed India - India has not geared up itself to take advantage of that -
India has become a high cost island - there are so many low cost producing economies willing to manufacture and be a factory for the world -
India is ho to at least take the best advantage of the current digital revolution-
India is trying to take advantage of being a knowledge economy for the world -
But the accumulated baggage over the years is hurting india badly -
India has to revolutionise its thinking -
What South Korea did earlier - don’t fritter away nation’s precious resources in all the fields by spreading it thin and ineffective - South Korea strategised 5 focus areas - created mammoth organisations of international scale and channelise all country’s resources towards it -
Similarly india should do in the fields where it has competitive advantages over several countries -
Create 5 new companies of the size of SBI, Reliance etc where government will play only a supporting role of not more than 40% in capital - identify 5 large private players like TATAs and help them strategise new knowledge areas -
This is the only way India can look forward to become one of the largest economies in the world - not in PPP terms but in Dollar terms over the next 10/20 years - to lift the millions out of poverty - to take India to greatest heights-
这是印度在未来10 - 20年内跃升为世界上最大经济体之一的唯一途径—不是以购买力平价计算，而是以美元计算—让数百万印度人摆脱贫困—把印度送上巅峰。
Related-Can India become the world's third largest economy if yes when?
YES. It’s definitely possible for India to become the world’s third largest economy.
During the lockdown, PM Modi primarily highlighted to make India’s economy of worth $5 trillion in the next 5 years which is colossal to hear & imagine for some time. Even though, the government has already put a step forward for the same.
According to recently published Economic Survey 2020–21, INNOVATION & RESEARCH are the two ways to shape the Indian economy into $5 trillion or to take it up to the third rank in the world. The need has been clearly emphasised in the survey to focus more on innovation & in the field of research.
Not only this, it has been suggested to spend a total of 2% of GDP on innovation & research while this accounts for even less than 1% in the present. This is rightly pointed out at the time when it has been suggested to establish National Research Foundation in newly announced, National Education Policy. Moreover, partnership with private sectors in these two fields is also the key higlight of the survey. Currently, this partnership accounts for ~37% of the total expenditure which is suggested to account for ~68% of the total expenditure.
Kee all these facts aside, the only need is to implement the decisions now & execute in the right direction. It may look like an impossible ‘dream’ but can be achieved in the forthcoming years.