India may grow by 8.7% pa; create 3.75 cr jobs by 2020: report

Indian economy is likely to grow by 8.7 per cent annually and generate 3.75 crore jobs by 2020 on the back of investments in skills and infrastructure, a report today said.

Accenture, a global consulting firm, in its report released at the World Economic Forum here added that four major economies - India, Germany, US and UK - together account for nearly two-fifths of the world economy.

"...With essential interventions such as investing in skills and infrastructure to harness these four new waves of growth, economies could raise economic growth rates and employment levels," it said.

It said that India's economy would annually grow by "8.7 per cent, compared to 8 per cent expected currently; 37.5 million (3.75 crore) more jobs in 2020 than currently expected".

According to the Reserve Bank's projections Indian economy could record a growth of over 8.5 per cent in the current fiscal, up from 7.4 per cent in the 2009-10. During the first half of 2010-11 the economy recorded a growth rate of 8.9 per cent.

The International Monetary Fund (IMF) has projected India's economy to grow by 8.75 per cent in 2010-11 with a moderation to about 8 per cent during the next fiscal.

According to the Accenture report, the US will grow by 3.8 per cent annually, Germany and the UK's by 2.8 per cent and 3.1 per cent, respectively.

The report further said that the areas which would provide growth opportunities in emerging economies like India include low-cost goods and services, infrastructure, education, housing and transport.