India Needs 7.8% Growth to Be Nation With High Income

World Bank Calls for Raising Both Private and Public Investment From 33.5% to 40% of GDP by 2035

- Rhik Kundu

India must maintain an average annual economic growth of 7.8% to attain high-income/developed nation status by 2047, with a business-as-usual approach delivering welfare gains but falling short, the World Bank said in a report on Friday.

In its latest India Country Economic Memorandum, titled Becoming a High-Income Economy in a Generation, the World Bank noted that while this goal is achievable—given India's strong growth averaging 6.3% between 2000 and 2024—it will require reforms and their implementation to be as ambitious as the target itself.