Speaking at a programme in Hyderabad, the economist said if the country does not grow faster, it will grow older (demographically) before it gets richer, which means there is the burden of an aging population to deal with also at that point.
Speaking at a programme in Hyderabad, the economist said if the country does not grow faster, it will grow older (demographically) before it gets richer, which means there is the burden of an aging population to deal with also at that point.
Former Reserve Bank Governor Raghuram Rajan said India will still remain a lower middle country if the growth rate remains at 6 per cent annually without any rise in population by 2047 (Amrit Kaal) and will be reaching the end of the demographic dividend by then.
Speaking at a programme organised by Manthan in Hyderabad, the economist said if the country does not grow faster, it will grow older (demographically) before it gets richer, which means there is the burden of an aging population to deal with also at that point.
“If you do the math, at 6 per cent a year, you double every 12 years, and therefore in 24 years, we’ll be four times our per capita income. Today, as you know, the average income per capita in India is just under 2,500 USD/person. multiplied by four, we get $10,000 per person.
So if you do the math, at our current growth rate, you know, as strong as the peak in the G20, we’re not becoming rich but we will still be in the lower middle income level until 2047,” he said.
“In other words, we will begin the aging process at some point during this time period, which raises the alarming question that if we don’t grow faster, we will grow old. Go before we get rich, which means we all will have to suffer.” We will also have to deal with an aging population at this time,” he said.
According to him, the current growth rate is not enough to recruit all participants in the job market and not enough to enrich the country before it ages.
For more information, visit at https://happenrecently.com/zepto/?amp=1
