India under the Modi government has witnessed innumerable changes and hence invited quite a few opinions about them from countries across the world. Experts from its neighbor and formidable economic competitor China opined that there is still a huge gap between the future dreams and reality for India.
“It is a fact that India’s economy has rapidly developed, therefore it has become more ambitious”, a researcher at the Beijing-based Chinese Association for South Asian Studies was quoted in a Chinese daily.
However despite the comments, India is moving ahead on various fronts and with organizations such as IMF sees India’s growth accelerating to 7.8% in 2019-2020, the only country in its list to manage this feat. And with improved systems with the introduction of reforms such as GST and moving up the ranks in ease of doing business, India’s future is certainly looking bright.
Nonetheless, despite the changes reflecting an optimistic scenario, China’s caution about India’s lack of inclusivity need not fall on deaf ears because according to WEF India was ranked at the 62nd place among emerging economies on an Inclusive Development Index, much below China’s 26th position and Pakistan’s 47th.
The index measures the “living standards, environmental sustainability and protection of future generations from further indebtedness,” the WEF quoted. Out of the three pillars that act as contributors to the index, India ranks 72nd for inclusion, 66th for growth and development and 44th for inter-generational equity. But on a rather hopeful note, despite having overall score, India is among the ten emerging economies with an ‘advancing’ trend. Only two advanced economies have yet shown this ‘advancing’ trend.
China, in the index has emerged first in the emerging economies race with GDP per capita growth (6.8 per cent) and labor productivity growth (6.7 per cent) since 2012, it also lags behind in inclusivity.
Thus, India although taking steps towards rapid progress must keep an open and inclusive attitude to ensure wholesome development.