Nifty99000 100%

Sensex99000 100%

Article rating: No rating
Article rating: 4.8
Article rating: 5.0
Article rating: 3.0
Article rating: No rating
Article rating: 5.0
Article rating: No rating
Article rating: No rating
Article rating: 4.5
Article rating: No rating
Article rating: No rating
Article rating: 4.2
Article rating: 5.0
Article rating: 4.0
Article rating: No rating
Article rating: No rating


India set to beat Britain, France to become 5th largest economy

Author: IANS/Wednesday, December 27, 2017/Categories: Economy

India set to beat Britain, France to become 5th largest economy

By Arul Louis 

New York, Dec 27 - India will "leapfrog" Britain and France to become the world's fifth largest economy in 2018, ahead of an oncoming major global economic shift towards Asia, according to a British research organisation.

The World Economic League Table (WELT) 2018 released on Monday by Centre for Economics and Business Research (CEBR) said that in dollar terms India will rise from its seventh rank to overtake those European economies next year despite the stumble of demonetisation and the introduction of Goods and Services Tax (GST).

"The World Economic League Table shows that despite temporary setbacks from demonetisation and the introduction of the new GST tax, India's economy has still catch up with that of France and the UK and in 2018 will have overtaken them both to become the world's fifth largest economy in dollar terms," said CEBR Deputy Chairman Douglas McWilliams.

The CEBR projections give India the fifth spot a year ahead of the International Monetary Fund estimates, which move it up in 2019.

According to the IMF, the size of India's economy is currently $2.439 trillion. With an annual growth rate of 6.7% in 2017 and 7.4 in 2018, it expects the size of India's economy to be $2.926 trillion in 2019, when it will pull ahead of France and Britain according to its projections.

The world's largest economies now are the US ($19.362 trillion), China ($11.937 trillion), Japan ($4.884 trillion), Germany ($3.652 trillion), France ($2.575 trillion), Britain ($2.565 trillion) and India, according to the IMF.

CEBR charts a trend of global economic shift to Asia.

"The interesting trend emerging is that by 2032, five of the 10 largest economies will be in Asia, while European economies will be falling down the ranking and the US will lose its top spot," CEBR Senior Economist Oliver Kolodseike said.

According to WELT estimate, by 2032 three out of the world's four largest economies will be Asian - China, India and Japan. 

Korea and Indonesia are expected to join list of the world's top 10 economies, with Taiwan, Thailand, Philippines and Pakistan making the top 25 list.

Construction activities are expected to get a tremendous boost, mainly because of India and China, according to CEBR.

"Construction's share of world GDP is to reach its highest level ever, driven by ultra large global transformational projects," Graham Robinson, director of Global Construction Perspectives, said. 

"The Chinese Belt and Road Initiative and the Indian infrastructural project will boost construction's share of world GDP to 15 per cent by 2032, probably the highest share of world GDP construction has seen since the pyramids or Great Wall of China were built."

Print Rate this article:
No rating

Number of views (234)/Comments (0)

rajyashree guha


Other posts by IANS
Contact author

Leave a comment

Add comment



Ask the Finapolis.

I'm not a robot
Dharmendra Satpathy
Col. Sanjeev Govila (retd)
Hum Fauji Investments
The Finapolis' expert answers your queries on investments, taxation and personal finance. Want advice? Submit your Question above
Want to Invest



The technical studies / analysis discussed here can be at odds with our fundamental views / analysis. The information and views presented in this report are prepared by Karvy Consultants Limited. The information contained herein is based on our analysis and upon sources that we consider reliable. We, however, do not vouch for the accuracy or the completeness thereof. This material is for personal information and we are not responsible for any loss incurred based upon it. The investments discussed or recommended in this report may not be suitable for all investors. Investors must make their own investment decisions based on their specific investment objectives and financial position and using such independent advice, as they believe necessary. While acting upon any information or analysis mentioned in this report, investors may please note that neither Karvy nor Karvy Consultants nor any person connected with any associate companies of Karvy accepts any liability arising from the use of this information and views mentioned in this document. The author, directors and other employees of Karvy and its affiliates may hold long or short positions in the above mentioned companies from time to time. Every employee of Karvy and its associate companies is required to disclose his/her individual stock holdings and details of trades, if any, that they undertake. The team rendering corporate analysis and investment recommendations are restricted in purchasing/selling of shares or other securities till such a time this recommendation has either been displayed or has been forwarded to clients of Karvy. All employees are further restricted to place orders only through Karvy Consultants Ltd. This report is intended for a restricted audience and we are not soliciting any action based on it. Neither the information nor any opinion expressed herein constitutes an offer or an invitation to make an offer, to buy or sell any securities, or any options, futures or other derivatives related to such securities.

Subscribe For Free

Get the e-paper free