GDP is a market value of all the products and service produced by a country over a fixed period. GDP is one of the major parameters which give us idea on the economic condition of a nation.
On one side it is expected that with the change in central government in 2014 Lok Sabha elections there would be a strong growth in Indian Economy. On the other end it is observed that we have obtained the lowest GDP growth in last 25 years. There has been a decline of 1.4% in manufacturing over the last year. Financial, Insurance, business services and real estate sector showed the highest growth of around 12.4%.
It will be an uphill task to bring back Indian economy back on its track and make India a developed nation. One of the advantages we had in the past is that Indian economy is developing at a brisk rate in service based industry and as India is the second largest population in the world, the large number of people can be trained for such kind of professional tasks.
India has always been an agricultural based economy; hence we should focus on agricultural sector to boost our economy and GDP. In last financial year too it has been observed that the growth in agricultural sector has been 6.3% which has been much more than the overall growth of 4.7%. India need to invest in irrigation and power development so that there is enough supplies to the fields so that there can be growth in produce of agricultural output. India should also focus on mechanizing our agriculture so that more fields can be cultivated in a shorter time. A huge support from government would be required in order to show a good growth in agricultural and farming industry.
It is always observed that for a good growth, a strong base is required, but over the past few years, Indian economy has deteriorated a lot. Some strict measures have to be taken in order to bring the economy back on track. Some good economic reforms are expected to be announced by the government. Let’s wait and see how the new government works to improve the economic condition of India.