New Delhi, India – Prime Minister Narendra Modi is set to reveal a visionary document in December, elucidating India’s medium-term developmental aspirations and milestones. This document will also serve as the cornerstone for the reform agenda of the ruling National Democratic Alliance, as it prepares for re-election in the upcoming year.
Extensive efforts are currently underway to assess the developmental trajectory of pivotal sectors and identify impediments to growth. A collaborative approach involving the active participation of states, in the spirit of “Team India,” is being formulated. Three reliable sources, speaking on the condition of anonymity, disclosed these ongoing discussions.
The task of compiling this visionary document has been entrusted to the federal policy think tank, NITI Aayog, with the guidance of a high-level committee of secretaries, as disclosed by one of the aforementioned sources.
This visionary document will be centered around the goal of attaining developed country status by 2047, emphasizing inclusive and eco-friendly growth, burgeoning sunrise industries, and consistent infrastructural development. Special emphasis will be placed on rural economies and the enhancement of farmer incomes.
Furthermore, this document, which is poised to conclude Modi’s second term, is aimed at enhancing governance and public service delivery. It will focus on economic and human development as pivotal pillars of the blueprint, with special attention given to the empowerment of women and increased female workforce participation, as well as the promotion of micro, small, and medium enterprises.
The definition of developed country status is grounded in a per capita income of $13,000. Based on the projected nominal GDP of ₹301 trillion and an exchange rate of 83 to a dollar, India’s per capita income in FY24 is projected to be approximately $2,500.
This proposed blueprint arrives at a time when India’s efforts to augment economic growth and expand its share in global production and trade face numerous challenges. These include stringent global financial conditions and geopolitical uncertainties, contributing to a contraction in global demand, fluctuations in global energy and fertilizer prices, and exchange rate volatility.
On the domestic front, while the government’s increased spending has stimulated economic activities, there is an imperative need for rural consumption to catch up. Policymakers are counting on a resurgence in private investments, as indicated by increased production and capital goods imports, supported by the improved financial health of corporations and banks.
Experts underscore the importance of addressing structural issues for balanced growth, with N.R. Bhanumurthy, Vice Chancellor of Dr. BR Ambedkar School of Economics University in Bengaluru, emphasizing the need to enhance labor and capital productivity as critical factors for the sustained growth of the economy. Enhanced factor productivity results in higher economic output with the same resources.
The development of 21st-century infrastructure will be a pivotal element in the Vision 2047 document, with the government identifying 16 vital infrastructure areas, including roads, ports, and railways, for continuous public and private investment. One of the objectives is to construct a network of 50,000 kilometers of highways, including roughly 35,000 kilometers of access-controlled highways, over the next two decades, with an investment exceeding ₹20 trillion.
Creating a world-class railway system and elevating India to a global maritime power are also integral components of this ambitious blueprint.
