In recent decades, India has emerged as a prominent player in the global economic landscape, captivating the attention of investors, policymakers, and businesses worldwide. India today is a vibrant democratic republic aspiring to achieve prosperity for all Indians. As a nation with growing global influence, India is also making important contributions for the well-being of people beyond its borders. Many of India’s economic strategies, initiatives and achievements, in its developmental journey have received global accolades and offer learnings for other nations.
The Indian growth story is a testament to the nation’s resilience, innovation, and sustained economic reforms that have propelled it onto the global stage. As the world’s fifth-largest economy today, India grew at one of the highest rates among major economies in FY22-23, reaching 7.2%, according to the World Bank’s most recent India Development Update (IDU). India’s growth rate was over twice that of emerging market economies and ranked second among G20 nations.
Domestic Economic Drivers
Over the years, India has implemented a series of economic reforms aimed at liberalizing various sectors, fostering ease of doing business and attracting foreign investment. Initiatives such as the Goods and Services Tax (GST) and the Insolvency and Bankruptcy Code (IBC) have streamlined processes, enhancing the overall business environment.
India’s demographic dividend is another important factor in its prosperity. The young and dynamic population serves as a driving force for economic growth. With a large proportion of its citizens in the working-age group, India has the potential to fuel productivity, innovation and consumption, contributing significantly to economic expansion.
Ancient Wisdom in Modern Wellness
India being the ancient civilization it is, has had a rich health, wellness, and medicinal culture. The establishment of the world’s first and only Global Centre for Traditional Medicine by the WHO and the Government of India at Jamnagar, Gujarat is a recognition of India’s contribution and potential in the field of traditional medicine. Today, Yoga and Ayurveda are well recognized across the world as a means of not only physical health, but also to alleviate stress, achieving mind-body-consciousness balance and fighting many diseases like diabetes, obesity, and depression.
Pandemic Response and Policy Making
The global pandemic posed unprecedented challenges, and India’s response showcased foresight and independent policymaking. While many nations focused on managing demand, India targeted supply-side bottlenecks, preventing unsustainable financial strains and inflation spikes witnessed elsewhere. India’s pragmatic approach has kept both issues at manageable levels, a testament to its resilience in the face of adversity.
Digital Transformation for Inclusion
On the socio-economic front, over the last few years, India has built a digital transformation model which has helped it move towards inclusion and a good quality of life for all. The spread of mobile phones and internet, opening of millions of bank accounts, unique digital identity in the form of Aadhaar, and digital payments model of UPI have formed the base of Digital India on which new-age technologies are being mounted to solve local and global societal issues.
Citizen-Centric Digital Approach
One important component of India’s digital transformation has been its citizen centric approach. This has been not only in terms of service delivery, but also in effective government outreach to the people that has instilled a digital culture into an otherwise technologically resistant and cash-based economy. Importantly, the fact that it is low cost and easily scalable, allows it to be effectively replicated in other developing countries often experiencing digital divide and resource constraints like India did.
Women-Led Development Initiatives
India is also charting new course through women-led-development. Government has launched a number of policies focusing on women on wide ranging issues such as education, financial inclusion, entrepreneurship, skill development, housing, etc.
Climate Action and Sustainability
Despite developmental challenges, India has set ambitious sustainability goals, particularly in combating climate change. The Lifestyle for Environment (LiFE) initiative, launched at COP26, emphasizes sustainable living and has been integrated into India’s energy transition strategy. The LiFE initiative has been integrated with several policies in the energy transition strategy offers valuable inspirations for the world in holistically tackling climate change in a cost-effective manner.
According to International Energy Agency (IEA), India’s economy is already 10 percent more energy efficient than both the global and G20 average. India’s efforts in global cooperation for climate mitigation and resilience not only exemplify leadership but also beckon the world to unite in addressing environmental challenges.
Knowledge Sharing for Global Prosperity
India’s growth story is multifaceted; it’s a global tapestry of experiences, best practices and cultural knowledge. As India continues to evolve and contribute to the world, there’s immense potential for other nations to learn, adapt, and collaborate. The Indian growth story is an ongoing saga, an ever-expanding chapter in the annals of global progress, promising a future where diverse nations can share in the prosperity of each other’s successes.
This article is derived from the background note for CII Global Economic Policy Forum. To know more write to firstname.lastname@example.org.