“Well before 2030, we will be the world’s third largest economy and, thereafter, the world’s second largest economy by 2050,” Adani said, while speaking at the World Congress of Accountants.
India is on the cusp of extraordinary growth and will become the world’s third largest economy ‘well before’ 2030, Adani Group chairman Gautam Adani said on Saturday.
The country is on a path to emerge as a high-income nation without compromising its democracy and diversity, he said.
“Well before 2030, we will be the world’s third largest economy and, thereafter, the world’s second largest economy by 2050,” Adani said, while speaking at the World Congress of Accountants.
It took the country 58 years to get to its first trillion dollars of GDP, 12 years to get to the next trillion and just five years for the third trillion.
“Given the pace at which the government has been executing a vast multitude of simultaneous social and economic reforms, I anticipate that within the next decade, India will start adding a trillion dollars to its GDP every 12 to 18 months,” he said, adding that this will put the country well on track to be a $30 trillion economy by 2050 and with a stock market capitalization that will possibly exceed $45 trillion.
While these absolute growth numbers for India will be greater than for any other nation between today and 2050 – a nominal dollar-based GDP narrative still does not paint the real potential of India, he noted.
The significance of the scale of any GDP expansion must be normalized in terms of a nation’s purchasing power parity (PPP). In this context of PPP, India’s share of global GDP will be north of 20 per cent by the year 2050, he said.
According to him, the growth of the country’s consuming middle class will drive an unprecedented surge in demand which, in turn, will drive a surge in private and government expenditures as well as attract the highest levels of foreign direct investment.
The country is expected to record a 15 per cent increase and an all-time high of over $100 billion of FDI in the ongoing year, he said, adding that the FDI inflows are expected to touch a $1 trillion by 2050.
Adani said in 2021, the pace of unicorn creation in India was the fastest in the world as it added a unicorn every 9 days. Just like India’s internal demand leading to a surge in FDI – the number of start-ups being created will lead to a rise in venture capital (VC) investments.
“VC funding in India first crossed $1 billion in 2015. This year, VC funding will exceed $50 billion dollars. That is a 50X acceleration in just 8 years,” he noted.
Speaking on renewable energy, he said the combination of solar and wind power coupled with green hydrogen opens up unprecedented possibilities for India. He sees the country becoming a net green-energy exporter by 2050.
Adani said India will lead the global energy transition and his company is looking to make a massive investment in the renewable space.
“Over the next decade, we will invest over $70 billion in this space and build the world’s most integrated renewable energy value chain,” he said.
Recognising that a lot more needs to be done as the economy grows, he said, “What we cannot afford to do – is fall into the classic two-speed nation trap – where the top half of the society grows prosperous – and the bottom half remains poor.”
Our wealth creation must focus on both quantitative factors related to per capita GDP and qualitative factors that include education, skills, and healthcare, Adani noted.
News Source Link
#modernbusinessnetwork #modernbusinessindia #modernglobalnews #modernglobalbusiness #modernbusinessaward #Enterpreneurship #Startup #Enterpreneurlife #Smallbusinessowner #Sales #smallbusiness #supportsmallbusiness #handmade #shoplocal #shopsmall #investing #wealth #money