Context:

• According to recently released report titled 2018 World Economic League Table, India is set to overtake the United Kingdom and France to become the world’s fifth largest economy in 2018.
• The report was released by Centre for Economics and Business Research, an economics consultancy based in Britain.

About the report:

• India currently ranked seventh will overtake UK and France to become the world’s fifth largest economy in 2018 in US dollar terms and further move to third spot by 2032.
• Indian economy had hit three-year low in the first quarter of the current financial year 2017 due to demonetisation i.e. scraping high-value banknotes and implementation of Goods and Services Tax (GST).
• The growth had slumped to 5.7% for quarter ending June 2016 but had recovered slightly to 6.3% for quarter ending September 2017.
• Despite temporary setbacks, India’s economy still caught up with that of France and UK and in 2018 will overtake them.
• Cheap energy and technology prices will boost the global economy in 2018.
• China is likely to overtake United States as the world’s largest economy by 2032.

Source:TH