INDIA AS A DEVELOPED COUNTRY (Syllabus: GS Paper 3 – Economy)

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Context: Niti Aayog recently announced that India's ambitious goal is to transform into a 'developed nation' by 2047, boasting a $30 trillion economy in its centenary year of independence, driven by substantial policy changes and governance reforms to be achieved by 2030.

  • India's growth is closely interlinked with the growth of states. This will be the guiding spirit of India's inclusive and sustainable vision for the next quarter century.

Where does India stand?

  • India's Economic Classification: India is categorized as both a "developing economy" and a "lower middle-income country."
  • GDP Comparison: When examining the absolute level of GDP, India stands as one of the world's largest economies, although the United States and China maintain a significant lead.
  • Per Capita Income: It is a crucial factor in classifying a country as "developed." In this aspect, India lags behind even Bangladesh.
  • Progress in Human Development: India has shown consistent progress on various Human Development Index (HDI) metrics, with a focus on three critical factors:

oHealth and longevity of its citizens

oQuality of education

oStandard of living

  • Life expectancy at birth in India: It has risen from approximately 40 years in 1947 to nearly 70 years today.


Developed Country

  • There is no accepted universal definition of developed/developing country.
  • A Developed Country is characterized by industrialization, a high quality of life, a well-developed economy, and advanced technological infrastructure when compared to less industrialized nations.
  • On the other hand, developing countries are either in the midst of industrialization or are predominantly agrarian and pre-industrial in nature.


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