Monday, February 19, 2007

Growing Middle Class in India

Increased purchasing power (Read more>)

Much of west and south India will turn middle class by 2020, but the backward states like Bihar, Uttar Pradesh and Orissa won't get there before 2040. Disparities are obviously bad, but vigorous migration helps to ameliorate them and creates pressure on the backward states to catch-up.

Big changes will happen during the coming 13 years.

At these milestones, based on the same growth assumptions I listed above, India's individual purchasing power will climb from $2,149 in 1999 to $5,653 per person in 2020 — and to $16,500 in 2040.

That's a huge increase in purchasing power.

Post a Comment