After India overtakes UK to be 5th largest economy, ex-advisor says…
Written by Ishika Yadav | Edited by Chandrashekar Srinivasan
After reports Saturday India had overtaken the United Kingdom to become the fifth largest economy in the world, former chief economic advisor Dr Arvind Virmani predicted the country would rise to become the third largest – behind the United States and China (based on current figures) by 2030.Speaking to news agency ANI, he said: “Last year we were sixth… It was expected (that we would become the fifth) in 2022.” He said India is moving up the power scale and that ‘… India will become the third largest economy in the world by 2028-30.”According to data from the International Monetary Fund, India ranks behind the US, China, Japan and Germany in terms of the size of its economy in ‘nominal’ cash terms – around $854 billion. A decade ago India was 11th and the UK was fifth.With India now widely seen as one of the world’s fastest growing major economies, its lead over the UK is expected to widen in the next few years, experts told news agency PTI.India’s GDP expanded 13.5 per cent in the April-June quarter, the quickest pace in a year, to retain the ‘world’s fastest growing economy’ tag.However, experts fear rising interest costs and the looming threat of a recession in major world economies may slow the momentum in the coming quarters.Additionally, an uneven monsoon is also likely to weigh upon agriculture growth and rural demand. The slowing growth of the manufacturing sector at 4.8 per cent and the imports being higher than exports is also believed to be a matter of concern by economists.
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