- Current Scenario of development in various parts of the country
- Governments Efforts
- Some traditional and scalable business in India
- Suggestions to achieve $5 trillion economy in the next five years
- Way Forward
Unlocking a hundred $50 billion economies across the country
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- India aspires to be a $5 trillion economy in the next five years.
- To realize this vision, India need to decentralize its efforts by unlocking hundreds of $50 billion economies across the country.
- This is done by encouraging states to set targets and develop road maps to contribute to the national effort.
Current Scenario of development in various parts of the country:
- India has hitherto grown unevenly, with some regions contributing to the country’s gross domestic product (GDP) much more than others.
- For Example, the gross state domestic product (GSDP) of Maharashtra is projected to be a little more than a tenth to the country’s GDP, the highest among all states.
- Such a development model is neither environmentally sustainable nor inclusive as it puts disproportionate pressure on a fast-growing region’s infrastructure and resources.
- This pattern of development model is repeating itself in other existing and emerging pockets of growth.
- The Oxford Economics predicts that all the top 10 fastest-growing cities in the world for the next 15 years are going to be in India.
- Surat tops this list and is expected to add close to $100 billion to GDP during this period.
- However, there is absence of decent working conditions, a part of the compensation from laborers are taken back and workers have negligible opportunities to partake in the region’s growth.
- By 2035, Bengaluru city is stated to be the largest economy among Indian cities.
- However, it is currently facing its worst water crisis in history, in addition to other sustainable-development-related challenges.
- The ‘Cities in Motion’ Index, which compares cities on indicators of competitiveness, sustainability and quality of life of inhabitants, ranks Bengaluru (highest among Indian cities) at 153rd
- Chennai was ranked at 88th place in the Sustainable Cities Index, which ranks cities on the parameters of “people, planet and profit”.
- There is a large scope for the development of Traditional sustainable and scalable business practices in India that promotes inclusive development, local infrastructure growth and reduction in migration.
- Hence, the central government has developed its Aspirational Districts Programme, focused on human development.
- Andhra Pradesh has introduced a new law to reserve jobs for locals in private industrial units and factories.
- States like Karnataka, Gujarat, Madhya Pradesh and Maharashtra are considering similar initiatives.
Some traditional and scalable business in India:
- The coir and areca tableware industries in Kerala
- Banana and other natural fiber industries in Tamil Nadu
- Clay product industry in Gujarat
- Lantana furniture industry in Uttarakhand
- The bamboo industry in Tripura and other North-Eastern states
Suggestions to achieve $5 trillion economy in the next five years:
- A special focus should be given to the laggard states, or regions, so that inclusive development can be achieved.
- The inward-looking model of developing only specific region needs to give way to the outward looking development
- India need several anchors to engage resources of different magnitudes, capable of setting off development cycles within and around the region rather than focusing on a few big magnets to attract enormous human and financial resources.
- To be sustainable, economic and human empowerment need to be coupled with political empowerment.
- Aspirational Districts Programme of central government need to enlarge in size and scale to cater the traditional sustainable business flouring in remote corners of India.
- Citizens need to work with governments and bureaucrats more closely to set performance targets and fix accountability in case of non-performance.
- With an inclusive and sustainable vision for growth, all Indian states can contribute to a $5 trillion economy by 2024-25.
- A harmony between human, economic and political empowerment of citizens is the key to achieve this goal.
- Furthermore, Indian union government has to be neutral towards whichever party is in power in the states and support all in this national endeavor.