India is poor because it is fixated on poverty. Immense national resources are used to subsidize the poor and provide jobs for them. As a matter of fact jobs are sacrosanct in India, which goes to great lengths to preserve unproductive jobs.
Notably, India's richest 1% includes more than 13 million people and their annual pre-tax income amounts to USD 77,000 or an estimated Rs 55 lakh, according to a Bloomberg report, titled, This Is What It Takes to be in the 1% Around the World.
With strength of over 1.4 million active personnel, it is the world's second-largest military force and has the world's largest volunteer army. It also has the third-largest defence budget in the world. India honours its armed forces and military personnel annually on Armed Forces Flag Day, 7 December.
The United States Trade Representative's (USTR's) office has classified India as a developed economy, ineligible for benefits given by Washington DC to developing countries. The USTR considers a country's per capita gross national income (GNI) and share of world trade to designate its level of economic development.
China, India, and the United States will emerge as the world's three largest economies in 2050, with a total real U.S. dollar GDP of 70 percent more than the GDP of all the other G20 countries combined. In China and India alone, GDP is predicted to increase by nearly $60 trillion, the current size of the world economy.
Presently, India is the fifth largest economy in the world with GDP of around US$ 3 trillion in 2019-20.
Top 10 Richest Countries in the World - GDP Per Capita (2020)
- Luxembourg: $112K.
- Singapore: $105.7K.
- Ireland: $87K.
- Brunei Darussalam: $85K.
- Norway: $79.6K.
- UAE: $70.4K.
- Kuwait: $67.9K.
- Switzerland: $67.6K.
Before British Rule (1858)Before the British ruled in India the East India trade company came to rule while India was very weak, The company made India one of the wealthiest countries in the world. They Brought trade and influence into the country basically owning the global textile trade.
World's 100 Wealthiest Economies by GDP Rank
| Rank | Economy | GDP PPP (US$) |
|---|
| 1. | China | $24,162,435,000,000 |
| 2. | United States | $20,807,269,000,000 |
| 3. | India | $8,681,303,000,000 |
| 4. | Japan | $5,236,138,000,000 |
Orissa, Bihar and Madhya Pradesh are the three poorest states in India with their people living below the poverty line being 47, 42 and 37 per cent respectively.
Last year, India's rank was 102 out of 117 countries. The neighbouring Bangladesh, Myanmar and Pakistan too are in the 'serious' category but ranked higher than India in this year's hunger index. While Bangladesh ranked 75, Myanmar and Pakistan are in the 78th and 88th position.
India will never develop because it's a huge country with diverse population. Democracy can only work well if there's harmony. If India was like European Union with more power to each state to develop on their own, the region would've developed a long time ago.
India is considered to be a Third World country and is also a developing country today. India has a high poverty rate, corruption, an outdated caste system, and other significant issues that have stunted its development. The Philippines is historically a Third World country and currently a developing country.
Top 9 Measures to Reduce Poverty in India – Explained!
- Accelerating Economic Growth:
- Agricultural Growth and Poverty Alleviation:
- Speedy Development of Infrastructure:
- Accelerating Human Resource Development:
- Growth of Non-Farm Employment:
- Access to Assets:
- Access to Credit:
- Public Distribution System (PDS):
List of Indian states and union territories by poverty rate
| Rank | State/U.T. | Poverty (% of people below poverty line) |
|---|
| 1 | Goa | 5.09 |
| 2 | Kerala | 7.05 |
| 3 | Himachal Pradesh | 8.06 |
| 4 | Sikkim | 8.19 |
Assam, which recorded the highest violent crime rate had a murder rate of 3.6. States of Bihar, Delhi, and Madhya Pradesh have also recorded a murder rate above national rate.
The higher standard of living states as per composite index include priority-wise the states of Delhi, Goa, Punjab, Kerala, Haryana, Himachal Pradesh, Nagaland, and Karnataka; followed in turn by moderate standard of living including states like Gujarat, Tamil Nadu, Meghalaya, Sikkim, Uttaranchal, and Andhra Pradesh,
Top 10 Backward States in India:
- Chhattisgarh: Chhattisgarh ranks top in terms of poverty in India.
- Jharkhand: Jharkhand comes in the second position in terms of poverty.
- Manipur: The poverty rate for Manipur is less than 36.89%.
- Arunachal Pradesh:
- Bihar:
- Odisha:
- Assam:
- Madhya Pradesh:
Sikkim West has the highest share of middle-income people (93%); the district has very little proportion of the extremely poor and the extremely rich. Delhi, Punjab, Haryana, and Kerala are among the richest states, with a majority of households in these states in the affluent category.
Kerala is a small, densely crowded state in South India. It is a poor state, even by Indian standards. Its per capita income of US$80 lies well below the all-India average of US$120, and it suffers from the lowest per capita caloric intake in India. Kerala also has the lowest per capita caloric intake in India.
Chhattisgarh the poorestGoa has the lowest poverty rate of 5.09 per cent. Much of the poverty was concentrated in rural areas and low-income states.
