Economy of India

Economy of India

The Economy of India is characterized as a developing mixed economy. It is the world's sixth-largest economy by nominal GDP and the third-largest by purchasing power parity (PPP). The country ranks 139th in per capita GDP (nominal) with $2,134 and 122nd in per capita GDP (PPP) with $7,783 as of 2018.

History

The History of the Indian economy can be traced back to the Indus Valley Civilization. During the medieval era, India was the world's largest economy, accounting for a quarter of the world's GDP. The British Raj period saw a major shift in the economy, with a significant decline in GDP.

Sectors

The Indian economy is broadly classified into three sectors: Agriculture, Industry, and Services.

Agriculture

Agriculture in India is the predominant occupation and the largest sector, contributing significantly to the national GDP. It employs a majority of the country's workforce and fulfills the food and nutritional requirements of the nation.

Industry

The Industry in India includes a range of industries, such as textiles, telecommunications, chemicals, pharmaceuticals, biotechnology, food processing, steel, transport, and insurance.

Services

The Services sector in India has the largest share in the Indian GDP with it being the source of employment for 27% of the workforce.

Economic Reforms

The Economic reforms in India refer to the liberalization measures undertaken in 1991, which led to the opening up of the Indian economy for global trade and investment.

Challenges

Despite the high growth rate, the Indian economy faces several challenges, including poverty, corruption, inadequate public healthcare, and unemployment.

See also

• Economic history of India
• Five-Year Plans of India
• Poverty in India
• Corruption in India

External links

• Indian Economy Net
• Reserve Bank of India