India has progressed on many fronts, it must avoid middle-income trap: PM’s eco advisory...

Key Highlights

• With the right allocation of resources across sectors, strong reforms, and efficiency-led growth, India can significantly increase its global economic share,” he said.
• The eminent economist said that political stability, macroeconomic stability, and a large domestic market are key strengths of India.
• “…India must avoid the middle-income trap and build on its achievements to create a society and economy that is prosperous, inclusive, and pro-nature,” he said.
• The Middle-Income Trap is a situation where a country’s economic growth stagnates after becoming a middle-income nation, unable to make the leap to high-income status, as seen in Latin America.
• Dev noted that structural transformation remains crucial as agriculture still employs 46 per cent of workers but contributes only 15 per cent of GDP.