Indian economy poses major challenges, Chinese think tank warns Beijing
Indian Defence News: China has been urged by its think tank to take Indian economy’s booming trends seriously as it poses a greater challenge to their existing market, which in turn raises the concern of re-strategizing the need to revamping their policies in creating China’s newer version for rest of the world.
Being the world’s 2nd largest economy, China with a growth rate averaging 10% over 30 years has slowed down to 6.7% in contrast to India’s estimated GDP of 7.1% last year, which needs an efficient counter growth strategy otherwise it should find yourself turning into a spectator to observe India’s success.
“As China’s demographic dividend diminishes, India, with half of its population below the age of 25, is poised to take advantage,” a study on Indian economy by Chinese private strategic think tank Anbound said.
“With a large population of young people, which is not only the labour force but also a potential consumer group, India has the possibility of seeing explosive economic growth in the future. Therefore, we must pay close attention to the development of this unfamiliar neighbour,” it said.
Referring to a question raised by one of its researchers that by “imitating, India may turn itself into China 2.0, and let global investors decide whether to invest in China or India” it said, “while Indian GDP may lag far behind, it remains a potential emerging market that has high attractiveness for global capital”.