New Delhi: In a season when prophets of doom are drawing a gloomy picture of Indian economy, a new report by the UK-based Centre for Economics and Business Research has predicted that Prime Minister Narendra Modi's target of taking the economy to 5 USD trillion is possible.
However, it says the target will be reached only by the year 2026 -- two years after the target of 2024 set by the Modi government."India is also set to reach a GDP of 5 USD trillion by 2026 ? two years later than the current government target," it said.
The report also said - "India has decisively overtaken both France and the UK to become the world's fifth largest economy in 2019".
It said India is "expected to overtake Germany to become fourth largest in 2026". India will be able to overtake Japan to become the third largest world economy in 2034, the CEBR said in its report 'World Economic League Table 2020'.
But the report also said that the 'slow growth' during the year (2019) has increased pressure "for more radical economic reforms".
"Our prediction that India will overtake Germany and then Japan to become the world's third largest economy in 2034 assumes success in implementing such reforms," it maintained.
The World Economic League Table is an annual calculation by CEBR jointly published by it and Global Construction Perspectives.
"Despite the rapid ascent of countries such as India and Indonesia, it is striking how little an impact this will have on the US and China's dominant roles in the global economy. Indeed, their share of world GDP is forecast to rise to 42 per cent by 2034. The 2020s are set to be a decade marked by continued tensions between the US and China on multiple fronts ranging from trade to tech, which will cast a long shadow over the rest of the global economy." said Pablo Shah, Senior Economist at CEBR.(UNI)