India economy, the third largest economy in the world, in terms of purchasing power, is going to touch new heights in coming years. As predicted by Goldman Sachs, the Global Investment Bank, by 2035 India would be the third largest economy of the world just after US and China. It will grow to 60% of size of the US economy. This booming economy of today has to pass through many phases before it can achieve the current milestone of 9% GDP.
The history of Indian economy can be broadly divided into three phases: Pre- Colonial, Colonial and Post Colonial.
The Union Budget for 2012-13 was announced by Mr Pranab Mukherjee, the Union Finance Minister in the Parliament on March 16, 2012. It gives an overall picture of how the Indian economy has been performing.
Some key highlights of the Union budget 2012-13 are as follows:
• Gross Domestic Product (GDP) is estimated to grow by 6.9 per cent in 2011-12
• India's GDP growth in 2012-13 expected to be 7.6 per cent +/- 0.25 per cent
• GDP growth rate during FY 2011-12 is estimated to be 6.9 per cent
India is projected to see a faster growth of 7.5 per cent this fiscal, on the back of higher savings and investment rates, even as most of the Asia-Pacific economies are likely to expand at a slower pace, as per a United Nations (UN) report. "We expect it to expand by about 7.5 per cent in 2012-13," said Nagesh Kumar, Chief Economist, United Nations Economic and Social Commission for Asia and the Pacific (ESCAP).
The Indian economy is one of the fastest growing economies and is the 12thlargest in terms of the market exchange rate at $1,430.02 billion (2010 India GDP). In terms of purchasing power parity, the Indian economy ranks the fourth largest in the world. However, poverty still remains a major concern besides disparity in income.
The Indian economy has been propelled by the liberalization policies that have been instrumental in boosting demand as well as trade volume. The...