““To become a developed country, therefore, India’s GDP will have to grow at 12 per cent per year for at least a decade. Technically this is within India’s reach, since it would require the rate of investment to rise from the present 28 per cent of GDP to 36 per cent, while productivity growth will have to ensure that the incremental output-capital ratio declines from the present 4.0 to 3.0. These are modest goals that can be attained by an efficient decision-making structure, tackling corruption, increased Foreign direct investment (FDI) and use of IT software in the domestic industry.””
