india economy growth: India on track to becoming third-largest economy by FY31: S&P report

india economy growth: India on track to becoming third-largest economy by FY31: S&P report



India is on track to becoming the third-largest economy by 2030-31, driven by a projected annual growth rate of 6.7 per cent this fiscal, S&P Global said in a report on Thursday. The report also said that with 8.2 per cent growth rate in FY2024, continued reforms are crucial to improving business transactions and logistics, boosting private sector investment, and reducing reliance on public capital.

It said equity markets are expected to stay dynamic and competitive due to strong growth prospects and better regulation, and foreign inflows into Indian government bonds have surged since the country joined major emerging market indexes, with further growth anticipated.

To maximize trade benefits, India must develop infrastructure and geopolitical strategies, particularly regarding its extensive coastline, said the first edition of ‘India Forward: Emerging Perspectives’ report.

Nearly 90 per cent of India’s trade is seaborne, necessitating robust port infrastructure to manage increasing exports and bulk commodity imports, it added.

Noting that India faces rising domestic energy demands and can look to sustainable technologies, including renewables and low-emission fuels, balancing energy security with its energy transition plans, the report stated that agriculture will rely on advanced technologies and new policies to improve infrastructure and productivity.


The need is to address critical infrastructure issues such as irrigation, storage, and supply distribution to ensure food security and economic stability, it added. The S&P Global India Research Chapter’s inaugural study was launched here on Thursday.



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