The World Economic Outlook (WEO) Update of January 2020 published by IMF has estimated the global output to grow at 2.9 per cent in 2019, declining from 3.6 per cent in 2018 and 3.8 per cent in 2017. The global output growth in 2019 is estimated to be the slowest since the global financial crisis of 2009, arising from a geographically broad-based decline in manufacturing activity and trade.
The growth of advanced economies has similarly declined from 2.5 per cent in 2017 to 2.2 per cent in 2018 and is estimated to further decline to 1.7 per cent in 2019 (Figure 1). The larger group of OECD countries has also seen a drop in their growth from 2.6 per cent in 2017 to 2.3 per cent in 2018 and is estimated to grow at 1.7 per cent in 2019. WEO has projected the declining growth of global output to rebound in 2020 with a modest uptick to 3.3 per cent.
As in other major economies, India’s Gross Domestic Product (GDP) growth also correlates with the growth of global output, an observation earlier made in the Economic Survey of 2015-16. Not surprisingly, the deceleration in India’s GDP growth since 2017 has tracked the decline in world output. However, for three years prior to 2017, when global output growth was not declining, India surged ahead of the rest of the world, recording in 2014-18 an average growth significantly higher than that of any comparable peer, both among advanced and to the decline of world output and trade.
India is now the 5th largest economy in the world
India’s debt reduced to 48.7 percent of GDP in 2019 from 52.2 percent
India clocked a GDP growth of 7.4 percent over 2014-19, with average inflation of 4.5 percent
India has uplifted 271 million people out of poverty
GST enabled introduction of 60 lakh new taxpayers into the system
Households saved 4 percent on monthly expenditure after GST’s implementation
Take at look at the top 10 economies in the world in terms of GDP at current US$ trillion.
Economic Survey 2019-20 (India)