India Would Become $5 Trillion Economy In 2026
India would become the fourth-largest economy in 2026 according to a recent report by the UK-based Centre for Economics and Business Research (CEBR). Also, India would achieve its economic target of achieving a GDP of $5 trillion the same year.
Highlights of the CEBR report
India has already become the world’s fifth-largest economy by overtaking the UK and France
India would surpass Germany to reach the fourth-position in 2026
India would battle with Japan and Germany for the third-position over the next decade
World Economic League Table 2020 report
The report is an annual calculation by CEBR in association with Global Construction Perspectives. The report is based on the 2019 data provided by IMF World Economic Outlook.
The report highlights that India would achieve its growth target but two years later than the government’s target. The Modi government intends to make India a $5 trillion economy by 2024. But it also brings into focus the economic-crisis India is facing on its home turf. India witnessed a growth decline of 4.5% in September quarter of 2019-20. The troubling thing is that it was a six-year low.
Economic crisis in India
India is facing an economic slowdown due to negligible investments. The slowdown has impacted the consumer sector because of weak job creation and financial stress among rural households. The report is silent on how India would come out of the dark clouds gathering over the economy and become the third-largest economy over the years.