GDP to quadruple to $ 4.5 trillion by 2020: Edelweiss

Driven by a nominal annual growth rate of 13 per cent, India's GDP is set to quadruple over the next ten years and India is likely to be a US $ 4.5 trillion economy by the year 2020, according to a report.

As per the report 'India 2020, Seeing Beyond' released by Edelweiss Capital, per capita income is expected to triple from present level of USD 1,017 to USD 3,213. "Annual incremental savings may go up 3.8 times from the present Rs 19,00,000 crore to Rs 72,00,000 crore. Domestic consumption expenditure is set to triple from Rs 30,00,000 crore in 2009 to Rs 113,00,000 crore. Infrastructure investment is set to triple from Rs 21,00,000 crore in XI plan to about Rs 62,00,000 crore."

According to Naresh Kothari, President, Edelweiss Capital, while two decades of economic reforms have moved India decisively from the traditional Hindu growth rates of 3�]5% into the orbit of 7�]9% growth rate, the question on everyone's mind is whether we can grow as good as the previous decade, if not better."

"This report attempts to address some of these issues. India's growth is fundamentally domestic consumption driven. Young population (median age of 26), growing middle class (larger than the population of the United States) and rising incomes make the consumption story growth strong going forward as well. While some of the growth is known intuitively, I am sure the size of the opportunities would be eye openers. I am confident this report will be an edifice for driving future growth strategies," he said.

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