India's Economy

Today the population of India is more than 1.1 billion and it is growing at 1,55% per year. Indian Economy is third in Asia, behind Japan and China.

India Economy Forecast

Its total gross domestic product or GDP in the year 2008 was 1,21 trillion dollars. GDP is divided into three major parts: services (54%), industry (29%) and agriculture (18%). Even though that India capitalize on the large number of the well-educated become software workers, there are still more than 700 million people, living on 2 dollars per day. Also there is a large part of middle class Indians that earn between 4,166 to over 20,800$ per year. It is estimated, the middle class will be 10^th times larger in 2025.

The rapid growth of the software sector is modernizing India's economy by boosting its service exports. As a result personal computer penetration is 14 per 1000 Indians. By 2010, over 300 million cell phone users were counted the country. India's biggest investment partner is the United states. The total 13% share, inflow of direct investments has reach more than 16 billion dollars by the end of 2008. Automatic approval is given only of there is 100% foreign equity which depends on the type of industry. Such investments are sought trough out ports, roads, petroleum export and import and mining.

The external debt of India grown from 126 to 230 billion dollars for only three years (2005-2008). Foreign assistance was reaching 3 billion dollars in 2006. The United States provided 126 million dollars in developing assistance. The World Bank is planning to require for India up to 3 billion dollars for education, health care, and the infrastructure.