India's middle-income population to rise to 70 per cent in 15 years: ADB
05 May 2011
Nearly 70 per cent of India's population could be in the middle-income group within 15 years if the Indian economy were to maintain the current growth momentum. According to a report of the Asian Development Bank (ADB).
With the structural shifts in the pattern of global demand, Asia would be able rely on its own markets for growth rather than those of Europe, Japan or North America, the Manila-based bank said in its report.
If the middle-income consumers in Asia could substitute for those in advanced economies, the Asian countries would be able to export to each other, like European economies.
According to the report, European countries are significant exporters, with Eurozone exports growing 4.5 per cent every year since 2005, the recent recession notwithstanding.
Likewise, all Asian countries could benefit from rapid intra-regional growth without having to rely much on the consumer markets of Europe or North America.
"Today, India has a tiny middle class by global standards. But if it continues its growth, 70 per cent of the Indian population could be middle class within 15 years," the ADB report said.
