The latest analysis by the World Bank brings to the fore the challenges of over 100 nations, including India, in the pursuit of high-income status. India is one of the more than 100 countries that will face "significant challenges" in the coming decades as they vie to become high-income nations, the World Bank report said. The report titled 'World Development Report 2024: The Middle-Income Trap' indicated that India may take up to 75 years to attain just a quarter of the United States' per capita income. According to a PTI report, this report further suggests that China could take more than a decade to move toward this milestone, while Indonesia might require nearly 70 years.
The report mainly focuses on the 'middle-income trap,' where rising incomes reduce economic growth, thus hardening getting out of middle-income brackets and advancing towards high income. Economies, according to the report, get stuck at the level of per capita income equivalent to 11% of that of the U.S. and cannot move forward beyond those middle-income brackets. Only 34 of the world's middle-income countries, whose per capita incomes range between $1,136 and $13,845, have graduated to higher-income status during the past 34 years.
The report describes several strategies for escaping the middle-income trap, based on the experiences of countries that have successfully made this leap. Central to this is the "3i" framework: investment, the infusion of global technologies, and fostering domestic innovation. Achieving these goals requires agile, adaptable state policies. However, the modern global economy presents significant challenges, and India faces substantial headwinds as it strives to avoid this trap. While the existence of this trap is still debated, the 2024 report provides a fresh perspective and new strategies for breaking free from it.
هذه القصة مأخوذة من طبعة November 2024 من Indian Economy & Market.
ابدأ النسخة التجريبية المجانية من Magzter GOLD لمدة 7 أيام للوصول إلى آلاف القصص المتميزة المنسقة وأكثر من 9,000 مجلة وصحيفة.
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هذه القصة مأخوذة من طبعة November 2024 من Indian Economy & Market.
ابدأ النسخة التجريبية المجانية من Magzter GOLD لمدة 7 أيام للوصول إلى آلاف القصص المتميزة المنسقة وأكثر من 9,000 مجلة وصحيفة.
بالفعل مشترك? تسجيل الدخول
WORLD DEVELOPMENT REPORT 2024 THE MIDDLE-INCOME TRAP
A World Bank report titled 'World Development Report 2024: The Middle-Income Trap' indicates that India may take up to 75 years to attain just a quarter of the United States' per capita income. The insights in the report provides a useful reality check for India's ambitious goals, such as becoming a developed economy by 2047 or reaching a $5 trillion economy within the next three years.
IN CONVERSATION: "We are working with a Vision 2035. I'm sure within next 5 years we will be ranking among the Fortune 500 companies.”
Sudarshan Pharma Industries Ltd., led by its promoters, Mr. Hemal V. Mehta, a chemical engineer, and Mr. Sachin V. Mehta, has established a strong foundation in specialty chemicals and bulk drugs. Their relentless enthusiasm is visible when they speak. Indian Economy & Market reached out, to piece together the company's achievements and new initiatives in detail.
Sudarshan Pharma Industries Ltd. A MULTIBAGGER IN MAKING
Sudarshan Pharma Industries Ltd. operates across various sectors in both the pharmaceutical and chemical industries, with a focus on specialty chemicals and intermediates, which find applications in Indian Le pharmaceuticals, paints, food products, and adhesives.
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The SEBI has streamlined rules for passively managed schemes to have the impact of letting more players in the mutual fund ecosystem and offering diversified, low-risk investment options to retail investors. It would increase market liquidity and attract participation from old as well as new Asset Management Companies (AMCs). Shivanand Pandit feels that MF Lite is going to democratize investment opportunities in the Indian financial market.
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The world today is packed with wealthy institutions and individuals that stand in revolt against the ideas of freedom and democracy. They do not like the idea of geographically constrained states with zones of juridical power.
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AS the US weaponises the dollar in the Russian and Iranian sanctions, there is increasing desire by other developing countries to seek alternative currencies for trade, investment, and reserves, as well as developing alternative multilateral clearance systems outside of SWIFT.
7 BEST PHARMA COMPANIES
The pharmaceutical industry in India is expected to reach $65 Bn by end of 2024 and to $130 Bn by 2030. India is a major exporter of Pharmaceuticals, with over 200+ countries served by Indian pharma exports. While Nifty's performance has been lackluster over the past month, several pharmaceutical stocks have shown resilience.
NEW INVESTMENT PRODUCT CATEGORY IS SEBI'S LATEST MOVE COMMENDABLE?
The Securities and Exchange Board of India (SEBI) has introduced a consultation paper proposing a new investment product category aimed at addressing a specific market need. This proposed asset class would offer investment options that sit between mutual funds (MFS) and PMS, filling a gap and providing greater flexibility in portfolio management. The new investment vehicle is designed for investors who are prepared to take on riskier market positions but find PMS schemes or AIFs out of reach. SEBI after reviewing the feedback and finalizing the regulations through stakeholder discussions, may issue the final regulations.
DECODING THE CHINA MYTH
Myths die hard. Among these is the great myth that China's poised to take over the world. Here, James Rickards debunks that myth.
What Is In Store For The Indian Economy?
Until the 2014 Lok Sabha elections, when the Bharatiya Janata Party secured 282 seats and Narendra Modi ascended to power, India experienced 21 years of coalition governments. A decade later, the BJP holds 240 seats in the Lok Sabha, and India is once again governed by a coalition. Fitch has indicated that coalition politics and a weakened mandate for the NDA could hinder the passage of ambitious reform legislation. It raises the question: Do coalition governments impede the economic reform agenda?
