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World Economic Forum (WEF) president and CEO Borge Brende has predicted India's growth has potential to reach 7-8% with the help of reforms.
At Davos, where the WEF brings together some of the world's biggest leaders and thinkers, India has had a huge presence every year, and one of the primary themes has been growth.
"India has a great potential, and it is still growing pretty well, 6 per cent this year. But there is no reason why India cannot pick up again and do 7 per cent, 8 per cent, provided that there are reforms on investments, infrastructure, investing in education and R&D [research and development]," Mr Brende told News Agency.
"We do expect that in a few years, India will be 20 per cent of the overall global growth. That is quite incredible. And what works also for India is the enormous strength in startups. There are more than 1,20,000 startups in India. I think there are now more than 120 unicorns. So that ecosystem, I think, is the basis also for future growth," the WEF president said.
On whether India's target of becoming a developed nation by 2047 is realistic, Mr Brende said India will be a $10 trillion economy soon, and what also works in the interest of India is that trade is now pivoting more towards digital trade and services.
"That's growing three times faster than traditional goods. And these are areas where India is very strong," he said.
To a question by News Agency on some of the key challenges or opportunities that come with greater digitalisation of the workforce, Mr Brende said, "It's increased productivity. And productivity is like producing more with less resources. And of course, this will challenge some jobs that are back offices today or other jobs. But if that can lead to people moving into areas where you produce higher up in the value chain, you can pay better, you can produce more. And that's prosperity."
"So, for India, there are of course huge opportunities when it comes to the new technologies. But short term, it also creates challenges because one has to upskill and reskill people," the WEF president said.
Climate Agenda
With the world grappling to stick to the 1.5 degree Celsius or below mark, the WEF has integrated climate as a primary driver in its processes.
"It's [climate] incredibly important. And I think you just came back from Los Angeles. You saw the wildfires. We have seen droughts. We know that agriculture production, production of food is being more challenged now because there are areas where you can't just grow what you used to grow.
"So in general, I would say that the cost of inaction far exceeds the cost of action when it comes to climate change. So we need to keep up the momentum. We will need to emit less CO2 (carbon dioxide) in the years to come to even be able to stick to a 2 degree target," Mr Brende told News Agency.
He said the 2 degree target means a lot, especially to countries that are most vulnerable, which happen to be countries that have emitted the least CO2, traditionally being African countries, but also including India that has already seen heat waves and "seen the cost of this".
The five-day meeting at Davos beginning Monday will explore how to re-launch growth, harness new technologies and strengthen social and economic resilience, according to the World Economic Forum. The global meeting will see participation by nearly 3,000 leaders from over 130 countries, including 350 governmental leaders.
India's participation at Davos aims to strengthen partnerships, attract investment, and position the country as a global leader in sustainable development and technological innovation. India is sending five Union ministers, three chief ministers, and ministers from several other states to the WEF this time.