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INDIA'S MODEL OF DEVELOPMENT - DOES IT SUPPORT SUSTAINABLE AND INCLUSIVE GROWTH?

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Kot K.
Asia and Pacific Studies
|
2007
|
vol. 4
159-179
EN
Reforms launched in India under Prime Minister Narasimha Rao at the beginning of the 1990s resulted in fast economic growth and started economic transformation. According to the International Monetary Fund, rate of real GDP growth has constantly exceeded 7% since 2003 and in 2007 it is estimated to obtain the value of 8,4%. These admirable macroeconomic results do not, however, translate into visible progress in human development that would be equitable for all Indian citizens and particularly for those denied access to benefits of the recent economic growth. The paper attempts to answer the question whether rapid economic growth in India has a chance of being sustainable and inclusive. It distinguishes specific factors associated with India's unique path of development, especially as compared to Chinese economy, that can either support or weaken durability of high growth rates that influence the underprivileged part of society.
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