Topic: Can India Beat China by 2025 in terms of GDP????

Presented by : Pooja Shukla Deepak Nayak Akshi Chandyoke Rupesh Mahyavanshi

Introduction
y India and China are competitors. y Both of the economies are booming and attracting global

investments.

y Both India and China rank among the front runners of global

economy and are among the world's most diverse nations.

y They were among the most ancient civilizations and their

economies are influenced by a number of social, political, economic and other factors.

Facts

India

China

Rank GDP growth

9th(nominal) / 4th(PPP) 2nd(Nominal,PPP) 8.5% (2010 11) 10.40% (major economies: 2nd; 2010)

Inflation(CPI) Labour force Unemployment

9.72% (September 2011) 4.9% (January 2011) 478 million (2nd; 2010) 9.4% (2009 10) 780 million (1st; 2010) 4.2% (July 2010)

Facts
Exports Export goods

India
$225.4 billion (2010) petroleum products, precious stones, machinery, iron and steel, chemicals, vehicles,

China
US$1.581 trillion (2010) electrical and other machinery, including data processing equipment, textiles, iron and steel, and medical equipment US$1.327 trillion (2010)

Imports Import goods

$359 billion (2010)

crude oil, precious stones, electrical and other machinery, fertilizer, iron machinery, oil and mineral and steel, chemicals. fuels, optical and medical equipment, metal ores, plastics, organic chemicals 71.84% of GDP (2010) $185.4 billion (2010 ) $269.8 billion (2010) $319 billion (2011) 17.5% of GDP (2010) $1.149 trillion (2010) $1.27 trillion (2010) $3.20 trillion (1st; 2011)

Public debt Revenues Expenses Foreign reserves

SECTOR-WISE BREAK-UP OF ECONOMIES CHINA & INDIA

100%

50%

Services Industry Agriculture

0%

Sectorwise Break up of China GDP

Sectorwise Break up of China Population

Sectorwise Break up of India GDP

Sectorwise Break up of India Population

Indias 54% of population is engaged in Agriculture but only accounts for 17% of GDP

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How India can beat china?

Population

 Explosive population growth  India has the world s youngest population  Fresh minds for entering in the various

industies,business,education sectors,etc

y Education System  Every year both India and China produce over 500000 engineers.  India has the 2nd largest English speaking population out of the English nations.

 2nd largest producer of Engineers, Scientiest and Doctors.

y Industry  China is a leading producer of marketable goods .  India is a rising power in the software, design, services and precision industry.  China is the light industry producer while India is the heavy Industry producer.

y Economy
y China s current economic growth is due to resource accumulation from trades while India s growth is increasingly based on a more efficient economic sector. y More efficient economy will always overtake and surpass a large cumbersome inefficient economy.

GDP Growth 2000 to 2050

[2003 bn US Dollars]
45000 40000 35000 30000 25000 20000 15000 10000 5000 0 2000 2005 2010 2015 2020 2025 2030 2035 2040 2045 2050

Japan Russia Brazil Germany

Source: Goldmann Sachs: The Path to 2050

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y Growth Investment 3 There are no private run enterprises 3 China is dependent on foreign investments 3 Indian civilian and military nuclear program has been

effectively successfully
3 India has been developing a wave of homegrown

Can India Overtake China?

 WITH RESPECT TO foreign direct investment (FDI)

NO
china is operates global scale more export lead to manufacturing

y WITH RESPECT TO gross domestic product (GDP)

No
India GDP Growth 8.5% 2010-2011 China GDP Growth 10.4 % 2010-2011 India hasn t quite managed that growth spurt to get in ahead of China

India can outpace China, but it needs a bit of magic

 INVESTMENT in education, health and social infrastructure y Social investments in public health and social infrastructure y In 1965, Chinese men had a life expectancy of 54 years, and Chinese women of 55 years. y In 2010, the male and female life expectancy in China was 71.1 and 74.8 respectively; in India, it was 66.3 and 71.2.

INVESTMENT in Education

Women education

Rural education

Improvements in literacy It enabled China to grow its economy at a fast clip over the past 30 years.

Conclusion
y So beat China will not happen overnight and to do

that we need not only grow at higher level and reach double digit makes soon but also sustain it at that level .

Thank You