India to Contribute 30 Percent of Global GDP Growth: Amitabh Kant
India is poised to contribute 30% of the global GDP between 2035-2040, according to Amitabh Kant, G20 Sherpa and former CEO of NITI Aayog. Speaking on the second day of the 'CII Annual Business Summit 2024' in New Delhi, Kant highlighted the significant structural reforms that have propelled India from being among the "fragile 5" to the "top 5" economies globally.
Kant emphasized that extensive reforms across various sectors have driven India’s robust growth rate, which has averaged 8.4% over the past three quarters. He projected that by 2027, India will surpass Germany and Japan in economic size. During his address on the ‘Future of Globalisation: Challenges for Indian Industry,’ Kant noted that analysts are predicting that 30% of global GDP growth will be attributed to India between 2035 and 2040.
Kant also called on Indian businesses to collaborate closely with state governments to expedite their development. He advocated for the creation of 12-13 “champion states” that could achieve annual growth rates of 10-11%.
Recent reports support Kant’s optimistic outlook. An S&P Global report indicated that India will become the world’s third-largest economy by 2030, also identifying it as the fastest-growing major economy over the next three years. Additionally, the United Nations has revised India’s growth forecast for 2024, raising it by 70 basis points to 6.9%, up from an earlier estimate of 6.2% made in January.
These positive projections underscore India’s emerging economic prominence on the global stage. The combination of strategic reforms and robust growth rates signals a transformative period for the Indian economy, positioning it as a central driver of global economic growth in the coming decades. Kant’s insights underscore the critical role that continued reforms and collaborative efforts between businesses and states will play in sustaining this momentum and achieving these ambitious growth targets.
