India's Economic Surge: A Trillion-Dollar Leap by 2030

India's economy is projected to exceed USD 7 trillion by 2030, with potential to reach USD 9 trillion with further reforms. Arvind Panagariya emphasized addressing urban land costs and recommended equities as a promising investment. Strategic reforms and investments are key to realizing economic potential.

India's economic engine is poised for massive growth, according to Arvind Panagariya, Chairman of the 16th Finance Commission, who shared insights at the India Economic Conclave hosted by Times Network on Thursday. Citing conservative growth projections, Panagariya stated that reaching the USD 7 trillion mark by 2030 is within grasp.

However, the potential for more aggressive growth could lift the economy to a staggering USD 9 trillion, provided essential reforms are enacted. "Much of the framework is in place," he observed, highlighting the critical role of reforms in surpassing the 10 percent growth in current dollar terms, potentially pushing it up to 11-12 percent by the early 2030s.

Addressing pressing structural barriers, Panagariya pinpointed the high cost of urban land as a major challenge, impeding the development of viable commercial rental housing due to disproportionate lease and interest rates. He also advocated for equities as a superior long-term investment, recommending a strategic approach to real estate based on market specifics.

(With inputs from agencies.)