Indian Economy

Photo Courtesy: Renjith Krishnan 

(GD Topic)

Indian Economy is one of the fastest growing economies in the world. According to 2011 statistics, the country stands at the ninth position in the world as per GDP value which indicates rising standard of living. Also, the country holds third position in terms of Purchasing Power Parity (PPP). PPP helps in calculating foreign exchange rate that is in simple words through this purchasing power of a country is measured.

India is a member of BRICS, which is an international political organization that includes top emerging economies. The member countries are Brazil, Russia, India, China and South Africa. Also, the country has a confident position in the group of 20 Finance Ministers and Central Bank Governors i.e. G-20.

Agriculture Sector

Country holds second position in agricultural production including forestry, fishing and animal husbandry. States like Uttar Pradesh, Punjab, Haryana, West Bengal, Bihar, Madhya Pradesh, Andhra Pradesh and Maharashtra contributes the most to the economy through agricultural outputs.

Industrial Sector

With the economic reforms of 1991, Indian industries have witnessed a lot of progression in the field. With the relief on import export policies, privatization, enhanced infrastructure of the country, technological advancement and foreign competition the Indian native industries are doing well, which has resulted in economic progression of the country.

Photo Courtesy: Renjith Krishnan 

Banking  Sector

Reserve Bank of India as a central bank of the country and controls the monetary policy of the currency and manages the funds of central and state government. Besides this Nationalized Banks, State Bank of India, Old Private Sector Banks, New Private Sector Banks and Foreign Banks consist of the banking sector and with the introduction of online banking the sector has witnessed uplift in the domain.  

Energy and Power Sector 

India is fourth major consumer of oil in the world and the oil reserves of India are capable of congregating one quarter fuel demand of the nation, rest is imported from other countries. The gas fields in India are mainly positioned in the states of Assam, Gujarat and Rajasthan.


As per 2010 statistics, power generation capacity of India has touched 164,835 megawatts where thermal power plants have contributed to 64.6% and hydro power plants have contributed 24.7%. With its big coal reserves nearly 106 billion households demand is fulfilled.