For any student aspiring to pursue a career in economics, it is imperative to be aware of current happenings and key statistics in the domain. Staying abreast of current affairs will help sharpen your knowledge, which will ultimately enhance your ability to interpret and analyse real-world happenings - a much-desired skill in a quantitative field like economics.
If you are a student of economics or even a genuine economic enthusiast, this roundup of the Indian economic scenario in numbers should help deepen your knowledge of our economy, and hopefully, also get you started on the habit of reading up on current economic affairs if you’re not doing this already.
India’s GDP is estimated to have increased by 7.2 per cent in 2017-18 and 7 per cent in 2018-19, according to a statement by the Central Statistics Office. This means that we remain the fastest growing major economy in the world, and continue to be a candidate for the top three economic powers of the world over the next 10-15 years. This potential is backed by our strong democratic governance and global partnerships.
With an improvement in the economic scenario, investments have been buoyant in various sectors of the economy. Mergers and acquisitions activity in India reached a record US$129.4 billion in 2018, a 104.5% increase in value over the previous year according to Thomson Reuters Data, while private equity (PE) and venture capital (VC) investments reached US$ 20.5 billion, according to a report by Grant Thornton.
Other key facts
According to a collated report published by the Indian Brand Equity Foundation (IBEF), the following are some major developments in the Indian economic scenario:
Recent initiatives under the 2019-20 Interim Budget
The interim Union Budget for 2019-20 was announced by Mr. Piyush Goyal, Union Minister for Finance, Corporate Affairs, Railways and Coal, Government of India, in Parliament on February 01, 2019. It focused on supporting farmers, the economically weak sections of society, workers in the unorganised sector and salaried employees while continuing the Government of India’s push for better physical and social infrastructure.
Total expenditure for 2019-20 is budgeted at Rs 2,784,200 crore (US$ 391.53 billion), an increase of 13.30 per cent from 2018-19 (revised estimates).
Additionally, the Government of India, under the Make in India initiative, is trying to boost the contribution made by the manufacturing sector and aims to take it up to 25 per cent of GDP from the current 17 per cent.
Some of the recent initiatives and developments undertaken by the government are listed below:
What the future holds
India's gross domestic product (GDP) is expected to reach US$ 6 trillion by the financial year 2027, on the back of digitisation, globalisation, favourable demographics, and reforms.
Owing to Government of India's measures to strengthen infrastructure and reforms like demonetisation and Goods and Services Tax (GST), India's revenue receipts are estimated to touch Rs 28-30 trillion (US$ 385-412 billion) by 2019, according to IBEF.
According to a Boston Consulting Group (BCG) report, India is expected to be the third largest consumer economy by 2025, with consumption tripling to US$ 4 trillion owing to a shift in consumer behaviour and expenditure patterns.