India: an overview

A parachutist dives with the Indian flag into the Adelaide Oval. Credit: Getty

 

India is the second most populous nation in the world. It exhibits exceptionally high levels of poverty, malnutrition and disease, yet is also emerging as a world superpower, owing to its consistent and rapid growth. In the past seven years, its economy has experienced an average annual increase of 7 per cent.

India’s economy is based largely on agriculture, which accounts for more than half of the country’s workforce and around 19 per cent of its GDP. However, its recent growth is attributed to the expansion of its service sector, which makes up over half of its economic output.

This includes a significant IT and software sector. Large sections of the population are educated and English-speaking, which has allowed the country to become a major exporter of IT services and workers.

Strong domestic demand and the rapid growth of key sectors have allowed India to recover quickly from the global financial crisis of 2008. As Europe and America continue to struggle, the key economies of the future are rapidly consolidating their positions.