HOW MUCH THE INDIAN ECONOMY HAS CHANGED FROM 1947 TO TILL TODAY?

As in yesteryear, in 2022, India has completed its 75 years of Independence. The history part of the Independence is everyone aware of so not going into detail part of that. But after Independence from a humongous period of rule, India rose from the ashes like a Phoenix bird. But immediately after the independence, India was like a clueless child who doesn’t know which career stream to choose as he hasn’t had any experience till then so, any decision taken can’t be judged by others whether it is good or bad and after waiting and analyzing by seeing many countries around India’s model as of today can be called as a good and successful one because recently India has surpassed The United Kingdom to become 3rd largest economy in the world and also in the current year as Bloomberg’s reports say that India would be the only country which will not be facing any recession in upcoming years after the series of events took place worldwide for eg the collapse of various big banks like Silicon Valley Bank and Signature Bank.

Now we’ll see some key events (ups and downs) from the glorious journey of 75 years.

1. Economic Policies and Planning: In the early years after independence, India adopted a planned economic model with the implementation of five-year plans. These plans aimed to promote industrialization, build infrastructure, and reduce poverty. The emphasis on public sector-led development laid the foundation for key industries such as steel, coal, and heavy machinery. However, the centralized planning approach also led to inefficiencies and slow economic growth.
2. Liberalization and Global Integration: In 1991, India embarked on a path of economic liberalization and globalization. The government implemented a series of reforms to open up the economy, encourage foreign investment, and dismantle protectionist policies. This shift led to a surge in foreign direct investment, the entry of multinational corporations, and the integration of Indian companies into global supply chains. The liberalization measures unleashed the entrepreneurial spirit, fostered innovation, and contributed to rapid economic growth.
3. Service Sector Boom: One of the most significant transformations in the Indian economy has been the emergence of the service sector as a key driver of growth. Industries such as information technology, business process outsourcing, and telecommunications have witnessed exponential expansion. India has become a global hub for IT services, catering to international clients and generating employment opportunities for millions of skilled professionals. The service sector's contribution to GDP has surpassed that of traditional sectors like agriculture and manufacturing.
4. Infrastructure Development: India has made substantial investments in infrastructure development, including transportation networks, power generation, and urbanization projects. This focus on infrastructure has facilitated trade, improved connectivity, and boosted productivity. Initiatives like the construction of highways, the development of ports, and the expansion of airports have played a vital role in supporting economic growth and attracting investments.
5. Social and Human Development: The Indian economy's progress is not solely measured by GDP growth but also by advancements in social and human development indicators. Efforts to improve access to education, healthcare, and basic amenities have contributed to an upliftment of the population. Government initiatives like the National Rural Employment Guarantee Act (NREGA) have provided job security and income support to millions in rural areas. However, challenges related to income inequality, gender disparity, and regional imbalances persist.
6. Agriculture and Green Revolution: Agriculture played a pivotal role in the early years, employing a significant portion of the population. The Green Revolution in the 1960s and 1970s introduced high-yielding crop varieties, irrigation, and improved agricultural practices, boosting food production and self-sufficiency.
7. Industrialization and Manufacturing: India's industrial sector has expanded, encompassing manufacturing, textiles, automobiles, steel, and more. The establishment of special economic zones (SEZs) and industrial corridors has encouraged investments, employment, and export-oriented production.
8. Challenges and Inclusive Growth: Despite significant progress, challenges such as income inequality, regional disparities, and unemployment persist. Efforts are being made to promote inclusive growth, sustainable development, and skill development to address these challenges.

Comparison of facts related to India 1947 vs 2023

1. India's GDP stood at Rs 2.7 lakh crore at independence and has now reached Rs 135.13 lakh crore
2. India's economy has expanded to Rs 57 lakh crore from mere Rs 2.7 lakh crore in absolute terms
3. India is now among the biggest economies of the world and is the third-largest economy by nominal GDP 
4. India has achieved tremendous progress in raising growth, income levels, and standards of living since independence