Curated By: Business Desk
Last Updated: August 01, 2023, 11:36 IST
The Standard Chartered Bank assumes Gujarat to be the leading state in terms of per capita income by fiscal year 2030.
The Standard Chartered report assumes an annual nominal GDP growth of 10% in the coming years with external trade and household consumption to play a major role in the growth of GDP.
The per capita income of India is expected to grow by 70 per cent in the next 7 years and is likely to reach $4000 from the present-day levels of $2,450. As per the report of Standard Chartered Bank, this will help India reach a GDP of $6 trillion by 2030. The major portion of this jump will come from external trade and household consumption, the report added. External trade will play a major role in propelling the growth of the economy of India. It is expected to reach $2.1 trillion by 2023, which is double the current levels.
https://www.moneycontrol.com/news/business/india-to-transition-to-upper-middle-income-economy-before-end-of-this-decade-standard-chartered-11066731.html
In 2011, the per capita income was $1,413 which in 2021 stood at $2,150. According to the research conducted by Standard Chartered Bank, the second factor for the economic growth of India is household consumption. The combined contribution of Delhi, Haryana, Telangana, Gujarat, Andhra Pradesh, and Karnataka stands at 20 per cent of the nation’s GDP. By 2030, these states are expected to achieve a per capita GDP of $6,000 (Rs 493794).
Presently, Telangana tops the table with the highest per capita income when compared to other states. In fiscal year 2023, this state has an average income of Rs 2,75,443 followed by Karnataka with Rs 2,65,623, Tamil Nadu with Rs 2,41,131, Kerala with Rs 2,30,601, and Andhra Pradesh with Rs 2,07,771. However, as per the report these rankings are likely to change.
By 2030, Gujarat is anticipated to lead the ranking in terms of per capita income followed by Maharashtra, Tamil Nadu, Karnataka, Haryana, Telangana and Andhra Pradesh. The larger states like Uttar Pradesh and Bihar which constitutes the major chunk of the population in India are expected to stay below an average annual income of $2000 (Rs 164598) by fiscal 2030. Despite all this, the anticipated per capita income of these states is twice their present income in fiscal 2020.
India is currently lagging behind 127 countries in terms of per capita income based on purchasing power parity. At present, India is the fifth largest economy in the world. Prime Minister Narendra Modi has previously said on multiple platforms that India will become the third-largest economy by the completion of his next term if he gets re-elected in 2024.
