A report by British research organisation has said that India will “leapfrog” Britain and France to become the world’s fifth largest economy in 2018, ahead of an oncoming major global economic shift towards Asia.
The World Economic League Table (WELT) 2018 released on Monday by Centre for Economics and Business Research (CEBR) said that in dollar terms India would rise from its seventh rank to overtake those European economies next year despite the stumble of demonetisation and the introduction of Goods and Services Tax (GST), reported IANS.
CEBR Deputy Chairman Douglas McWilliams said, “The World Economic League Table shows that despite temporary setbacks from demonetisation and the introduction of the new GST tax, India’s economy has still catch up with that of France and the UK and in 2018 will have overtaken them both to become the world’s fifth largest economy in dollar terms.”
McWilliams said that India’s growth had been slowed by restrictions on high-value banknotes and a new sales tax, Reuters quoted him as saying.
Meanwhile, the report said that China was likely to overtake the United States as the world’s No.1 economy in 2032.
“Because the impact of President Trump on trade has been less severe than expected, the USA will retain its global crown a year longer than we anticipated in the last report,” it added.