Per capita income to increase by US$ 2,000 over 5 years: Union Minister for Finance and Corporate Affairs Ms. Nirmala Sitharaman

Union Minister for Finance and Corporate Affairs, Ms. Nirmala Sitharaman, expressed optimism about India’s economic growth, forecasting a substantial increase in per capita income over the next 5 years. Speaking at the Kautilya Economic Conclave, she projected that India’s per capita income would rise by an additional US$ 2,000 in the coming half-decade. Sitharaman noted that while it took 75 years for India to achieve a per capita income of US$ 2,730, the next increase is expected to occur much faster, driven by youth and consumption.

She emphasized consumption's vital role in India's economy, contributing over 60% of GDP, and highlighted the country's youthful population, with nearly 43% being under 24 years old, as a key driver of organic growth. She praised India’s financial system, asserting its global competitiveness, and stressed the importance of nurturing the younger generation to secure future growth. Comparing India’s trajectory with China, she pointed out how favourable global trade and investment conditions aided China's growth. Earlier, she remarked that India stands out globally for its economic performance, growing by 8.2% in 2023-24, and the Economic Survey 2023-24 forecasts growth of 6.5% to 7% for the current fiscal year.

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