India has a large sized middle class, which is further expanding substantially, offering a big fat market for foreign products and services. In fact, if India continues its recent growth trend, average household incomes will triple over the next two decades and it will become the world’s fifth largest consumer economy by the year 2025, according to a McKinsey report in 2010. The consistent economic growth in India has been an important factor that has contributed towards the decline in poverty.
- India’s per capita income is estimated to be US$ 1223.45 in 2010-11, at current prices, which is higher by 17.9 percent from the per capita income in 2009-10.
- In just eleven years, from 1993-94 to 2004-2005 the percentage of people below poverty line has declined from 36% to 28%, according to a survey conducted by National Sample Survey Organization (NSSO).