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Independent of its growing population, the Indian economy has been seen to touch new heights of success. Despite the limiting factors like poverty and disparity in income, Indian economy is considered as one of the fastest growing economies in the world. Liberalization policies have its unique contribution in growth, in market exchanges rates, trade volume and to boost demand. Indian economy with its diverse features has allowed opportunities to work in India to grow in several sectors like agriculture, handicrafts, textiles and other fields.
Agriculture has given 66% of its shares in growth of Indian economy and along with it the service sector is also taking speed to hold an important position in growth, in Indian economy. The Indian economy holds 12th position in market exchange rate, it is the fourth largest in purchasing power. Even following the recession of 2007 – 2009, India managed to keep its growth rate up to 9.668% in 2010. One of the strengths of India is its English speaking economy that has given new horizons to grow. Technical support and customer care support have given employment to a large number of youth giving wide employment to millions of people.
India is also expanding in manufacturing, aviation, tourism, retailing, and pharmaceuticals. It is expected that there would be appreciable growth in these sectors. India has a strong IT workforce which is next to agriculture in providing huge work opportunities to educated Indians. The IT hub has reason to smile for Indians as it is increasing each day. Future forecasts tell IT would be one of the principal industries of the country in coming years. The IT sector contributes 58.4% to national GDP.
India has seen strong growth its economy thanks to the Government’s efforts in recent years. But still it has to go a long way as the population is one of the major issues that has to be dealt with. Though India is ranked as 12th in the world in its market exchange rate, its unending population, poverty and illiteracy is neutralizing its power. Apart from this, India’s export capability has seen stiff competition from China’s remarkable export potential of manufactured goods.
Recently India’s emerging economic growth has slowed down to 4.50 percent, whereas China has been in first position in increasing economy with 7.80%. It is expected that ASEAN 5 (Vietnam, Malaysia, Indonesia, Thailand and Philippines) countries will soon hold a strong position in world economy, it was evident ASEAN 5 showed a growth rate of 5.7% in 2012 that clearly predicts their prosperous economies in the near future. Economists of the world predicted if the same situation exists, it would become hard for India to cope up with countries these countries growing economies.
India has struggled in last year because of its rigid and endless government policies imposing in restrictions on foreign investments. Too many regulations and red tape have avoided economic growth of the country.
But if the positive aspect is focused, India has great strength of education. Indian education system is in demand worldwide. It is one of the leading players in high-tech field contributed by highly qualified and educated workforce. But still, it is also limited as education expertise is not spread uniformly in the country; it remains restricted to some areas. Only a small number of people is able to get higher education, resulting in high rate of unemployment. Other bigger issues have also to be dealt by the country like electricity problem, water problem that dogs the energy sector. On the positive note controlling its population and speeding, economic growth will definitely make India one of the super powers of the world.