India is one of the fastest growing economies today. In fact, it is second only to China in terms of GDP growth rate. India’s rise and growth in last few decades is simply phenomenal. The purchasing power of Indian population has also witnessed a substantial rise. Thanks to growing reputation of India in service industry, India commands a premium over other emerging countries when it comes to attracting foreign investment. If China made hay on the virtue of its manufacturing capabilities, India has emerged as the one of the largest service providers in the world in many business verticals.
The strength and robustness of Indian economy was truly reflected during world economic crisis of 2008 and even during Asian financial crisis of 1998. The last two years have wreaked havoc on almost all the major world economies. The developed countries had it worst and some analysts say, it was the worst economic crisis faced by the world since the days of Great Depression in 1930s. However, to India’s credit, the country remained isolated from the worldwide slump. The growth rate remained above 6% when actually most of the economies were witnessing negative growth rate. There were no major corporate bankruptcies recorded, no loss of jobs or any other such financial catastrophe. That definitely keeps India in a different league. Today, India is the most attractive Foreign Direct Investment (FDI) Avenue in the world and that shows trust of the investors in growing Indian economy.
The growth of Indian economy is attributed to several factors. One, India has a very large customer base that is yet to be tapped completely. India has no less than one billion plus population and that also means one billion potential consumers. With rising growth in economy, standard of living has also increased and with that, aspirations of the population. Indians are looking for top brands in mobile phones and accessories and they are willing to indulge themselves.
The rapid growth of economy can also be attributed to presence of new sunshine industries like IT, BPOs and Health and Insurance among others. These industries have generated millions of jobs and huge revenues for Indian economy. Indian economy is definitely on the fast track to become economic powerhouse of the world.