Archive · 3 Jun 2025
Rajan: India Needs 8-9% Growth to Achieve Developed Nation Status
Raghuram Rajan, a former top economist, says India needs to grow super fast to become a rich country by 2047.
He thinks India's current growth is good, but needs to be much higher, around 8-9%.
He warns that global problems, like uncertain tariffs, could slow things down.
Rajan also points out that even though India's economy might become bigger than other countries, it's important to focus on making the average person wealthier.
He believes India has a chance to succeed, but it needs to create more jobs, boost exports, and make sure everyone benefits from the growth.
Former RBI Governor Raghuram Rajan says India needs 8-9% growth to become a developed nation by 2047.
India's current growth rate is 6.5%, a creditable rate according to Rajan.
Rajan cautions that global uncertainties, like tariff issues, could slow momentum.
He highlights the importance of lifting incomes and creating broad-based prosperity.
Rajan says India must focus on job creation, skills development, and boosting exports.
- Who
- Raghuram Rajan, former RBI Governor and economist, is the main source.
- What
- Rajan discusses India's economic growth and its potential to become a developed nation.
- When
- The article discusses the future, specifically India's goal to become a developed nation by 2047.
- Where
- The article is focused on India's economic prospects.
- Why
- Rajan says high growth is crucial to improve the wealth of average citizens and achieve the goal of becoming a developed nation.
Optimistic Outlook
Cautionary Perspective
GDP Ranking
Optimistic Outlook
India surpassing Japan in nominal GDP is positive but not the sole indicator of progress.
Cautionary Perspective
N/A
- Main Source
- Raghuram Rajan, Former RBI Governor
- Current Growth Rate
- 6.5% (FY25)
- Required Growth Rate
- 8-9%
- Target Year for Development
- 2047
- Key Issue
- Sustained high economic growth for India