India needs rapid reforms to become a developed nation by 2047, says NITI Aayog Vice‑Chairman

NITI Aayog Vice‑Chairman Ashok Kumar Lahiri said India can reach developed‑country status by 2047, but only if rapid economic reforms are implemented. He outlined that per‑capita income must rise from about $2,800 in 2026 to roughly $18,000 in 2047, requiring an average nominal growth of 9.25% per year for the next 21 years.

Lahiri cited Japan, South Korea, Taiwan, Hong Kong, Singapore and China as examples of economies that achieved similar growth through higher gross fixed capital formation, efficient use of capital and strong absorptive capacity. He noted India’s capital formation has stayed below 30% of GDP and its savings rate lags behind China, while a persistent current‑account deficit and limited FDI inflows constrain growth. To close the gap, he urged reforms in education, health, infrastructure, entrepreneurship, land and capital markets, as well as improvements in law‑and‑order, administrative efficiency and the justice system.