78th Independence Day: 5th largest economy needs growth to trickle down

India's population reached close to 1.5 billion in 2024, according to data from the United Nations, but the average annual growth rate has slowed down to below replacement level

India is covered with saffron, white and green colours as the country commemorates its 78th Independence Day tomorrow (August 15). This year’s theme “Viksit Bharat” envisions India becoming a developed nation by 2047.

India has made significant progress in various areas. The gross domestic product (GDP) is around $3.5 trillion, making it the fifth-largest economy globally. It was under $1 trillion in the 1960s and stood at the 8th-9th position, according to the data from the World Bank (chart 1).

Sector-wise contribution to the economy has also shifted over the decades. In 1963-64, agriculture and