Optimism abounds in India. Entrepreneurial spirit was unleashed by wide-ranging liberalising reforms that commenced in 1991. The Indian economy has shifted to a much faster growth trajectory, led by the dynamism of its services sector – particularly high-end, knowledge-intensive services exports. Studies by a number of prominent analytical organisations are now projecting that India could outperform all of the world’s major economies over the next fifty years. By 2050, it could be the third largest economy in the world by a significant margin. Such developments would profoundly shift the world’s centre of economic gravity. This report does not seek either to substantiate or to disprove these rosy projections. Instead it asks: How might it happen? Is there a plausible path from today’s India to the projected giant economy of 2050? What opportunities might successful pursuit of that path generate for Australian services providers? And finally, what factors need to be taken into account along the way as Australian companies consider whether they should be seeking to participate directly in India’s growth?
The report looks beyond headline services such as information technology and IT enabled services to examine emerging export and investment opportunities in education, telecommunications, financial services, infrastructure, construction management, tourism, film, healthcare, sports and related infrastructure, biotechnology, mining, retail, logistics and professional services. And it highlights the successes of some of the Australian services providers behind Australia’s increasingly dynamic services trade relationship with India.