India’s Economy Could Still Be Poor Despite Moving Up to the Third Spot: D Subbarao
At a recent book launch event, D. Subbarao, the former governor of the Reserve Bank of India (RBI), offered his predictions for the country’s economy. In addition, he outlined the country’s anticipated growth and developmental requirements. Speaking to the assembly in Saudi Arabia, D. Subbarao emphasized that India would remain impoverished even after Prime Minister Narendra Modi’s aim for it to become the world’s third-largest economy by 2029.
As growing wealthy does not always equate to becoming a developed country, he argued, this does not warrant jubilation. “In my opinion, that’s possible (India becoming the third-largest economy), but it’s not a celebration,” said D Subbarao. Why not? “We are a large economy because we are 1.40 billion people,” he said. Furthermore, humans are a component in manufacturing. Thus, the reason our economy is enormous is because we have people. But our nation is still impoverished.
D Subbarao continued, saying that at USD 4 trillion, India now holds the fifth-place ranking in the globe. India presently holds the 139th rank in the League of Nations in terms of per capita income, with USD 2600, according to PTI.
He also said that, out of the G-20 and BRICS countries, India is the poorest. D Subbarao made more recommendations, stating that there is a clear agenda for the future that calls for accelerating development and making sure that the rewards are distributed.
Recalling PM Modi’s pledge to make India a developed nation by 2047, Subbarao asserts that four prerequisites must be met for India to achieve this goal. They are accountability, the rule of law, a powerful state, and autonomous institutions.
An economist, banker, and former IAS official, D. Subbarao, served as the 22nd Governor of the Reserve Bank of India. He worked for Dr. Manmohan Singh, the former prime minister. The former governor of the Reserve Bank of India has been commenting on current macroeconomic problems in both national and international media outlets on a regular basis.
