India’s per capita income in nominal terms doubled to Rs 1,72,000 since 2014-15 when the Narendra Modi-led NDA came to power but uneven income distribution remains a challenge. As per the National Statistical Office (NSO), the annual per capita (net national income) at current prices is estimated at Rs 1,72,000 in 2022-23, up from Rs 86,647 in 2014-15, suggesting an increase of about 99 per cent.
The Real Increase In Per Capita Income:
In real terms (constant prices), the per capita income has increased by about 35 per cent from Rs 72,805 in 2014-15 to Rs 98,118 in 2022-23.
Real Growth of Per Capita Income:
Average growth of India’s per-capita income in real term for the period from 2014 to 2019 was 5.6 per cent per annum.
Uneven distribution a challenge: The Rising Inequality:
Per capita income is an average income of Indians. The averages mask the rising inequalities. Rising concentration of incomes at the high end means incomes of those at the lower rung of the income ladder may not be changing much.
India: Now The 5th Largest Economy:
According to IMF projections, India has overtaken the UK to become the world’s fifth-largest economy and is now behind only the US, China, Japan and Germany. A decade back, India was ranked 11th among the large economies while the UK was at the fifth position.
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