India's millennial population is a massive disruptive force and driven by this supportive demographics alongwith government's policy action, Indian economy is likely to reach USD 5 trillion by 2025, says a report.
India's USD 2.2 trillion economy makes it the seventh largest in the world in terms of nominal GDP (and the third largest in PPP terms), but the country's per capita income is less significant.
With a per capita income of USD 1,700, India ranks well behind some of the key emerging markets, like China, Russia, Brazil, Indonesia, the Philippines, Mexico, and Turkey.
"We expect a confluence of supportive factors, led by demographics, government policy action, and globalisation, to lead to a sustained period of productive growth in the medium term," Morgan Stanley said in a research note adding "in our base case, we expect the Indian economy to reach USD 5 trillion by FY2025.
By financial year 2024-25, Morgan Stanley expects per capita income to rise 125 per cent to USD 3,650.
The report said India's millennial population of 400 million is the largest in the world and is armed with around USD 180 billion in spending power and with high smartphone adoption and widespread availability of mobile broadband infrastructure, it will become a disruptive force faster than most businesses expect.
The population dynamics will therefore be a key force in shaping India's overall growth trajectory and also in shaping how product markets will develop as the preferences of the population evolve, Morgan Stanley said.
The report, however, noted that the demographics factor alone is not sufficient for an acceleration in GDP growth. It is important that the working age population is adequately skilled to participate in a globalised competitive environment.
"The next leg of harnessing this young and better skilled population would require creation of adequate employment opportunities, which is an opportunity and a challenge for India," it said.
Australia is the world’s most popular country for migrating millionaires, who are drawn Down Under by a successful healthcare system, high levels of safety and its proximity to emerging markets in Asia, a new report has found.
Around 82,000 millionaires migrated last year, up from 64,000 in 2015, according to global market research group New World Wealth.
Of those, an estimated 11,000 millionaires made their way to Australia, putting it on top of the table for the second year in a row. That compared to 10,000 who moved to the United States, and 3,000 who moved to the UK.Part of Australia’s appeal to the wealthy is its location, which makes it a good base for doing business in emerging Asian countries such as Hong Kong, Korea, Singapore and Vietnam.
It also boasts one of the leading healthcare systems in the world, while it is “relatively immune to the turmoil in the Middle East and the related refugee crisis in Europe,” the report adds.
“Australia’s superior growth over the past decade has also no doubt had an impact on confidence and business opportunities,” it says.“Over the past 10 years, total wealth in Australia has risen by 85pc compared to 30pc growth in the US and 28pc growth in the UK.
“As a result, the average Australian is now significantly wealthier than the average US or UK citizen, which was not the case 10 years ago.”
In 2012, Australia launched a new type of visa for wealthy foreigners who are willing to invest millions in the country.
However, it suffered its biggest economic contraction since the financial crisis in the third quarter, as the economy shrank by 0.5pc in the three months to September compared to the previous three months as torrential rain and falling business investment took their toll.
New Zealand, Canada and the UAE were among the other countries to experience large inflows of millionaires, while France, Turkey and Brazil were three nations to have lost the most.Millionaires leaving a country is seen as a concern for the local economy. Around 30pc of millionaires are business owners, employing large numbers of people, according to the report, while they also pay large amounts of income tax.
New World Wealth’s study, its fourth annual report, added that very few millionaires - defined in the study as individuals who have net assets of $1m or more - have left the UK since the vote to leave the European Union, while there continues to be a flow of millionaires into Britain.
“Going forward, we expect HNWI [high net worth individuals] migration into the UK to continue, despite Brexit,” it said. “In particular we expect large HNWI inflows from France, China, India, the Middle East and Africa into the UK. However, on the flip side, we do expect some UK HNWIs to move to Australia, New Zealand, Canada and the US over the next 10 years.”
Vehicle manufacturer Tomcar Australia recently won an AusIndustry Innovation Award, at the same time as Toyota and Holden prepare to close their Australian production facilities.
Tomcar Australia, which makes a range of off-road vehicles and soon the nation’s first production electric car, has been recognised for its foresight, resilience and innovative achievements.
Sponsored by the Australian Department of Industry, Innovation and Science, the award is the first for Victorian-based Tomcar Australia.
On receiving the AusIndustry Business Award, Tomcar Australia Co-Founder & CEO David Brim said: “This award is a great recognition of our commitment to innovative Australian technological know-how and our unique sustainable manufacturing techniques.
“I want to pay tribute to all the Tomcar Australia team and our suppliers for their dedication, hard work and belief in what we are trying to do – bring life back to the Australian automotive industry.
“We have come a long way since we began this journey in 2005 and I must say our future is looking even more exciting as we work towards the introduction of Australia’s only full-scale production vehicle.”
Netanyahu will start his four-day visit with talks with his Australian counterpart Malcolm Turnbull at his official Sydney address.
Turnbull wrote an opinion piece in today's The Australian newspaper that backed Netanyahu's criticism in 2015 that the United Nations General Assembly had adopted 20 resolutions critical of Israel in the preceding year and only one in response to the Syrian war.
"My government will not support one-sided resolutions criticizing Israel of the kind recently adopted by the UN. Security Council and we deplore the boycott campaigns designed to delegitimize the Jewish state," Turnbull wrote.
Netanyahu flew into Sydney early today from Singapore. High on the list of discussion topics is likely to be whether Israel remains committed to a two-state solution to resolve the Palestinian conflict and whether Netanyahu will heed President Donald Trump's call to "pull back" on settlement expansion in the occupied West Bank.
Netanyahu and Turnbull will sign agreements on technology and air services as well as discuss expanding co-operation in areas including cyber-security, innovation and science.
Indian Railways has set a daily target of laying 9.5 km of tracks to complete its ambitious line doubling and capacity expansion projects earmarked for the next financial year
The railway ministry is importing US-made track-laying machines that can lay around 1.5 km of tracks per day as against the 100 meters of tracks the railways lays manually on an average
The railway ministry has set aside a fund of around Rs 35,000 crore to undertake these works which include construction of new lines, gauge conversion and doubling of capacity
Of the total budget, around Rs 10,000 crore will be spent on construction of railway lines of dedicated freight corridors that will connect Delhi to Jawaharlal Nehru Port in Mumbai and Ludhiana in Punjab to Dankuni in West Bengal
“The US made new track laying machines being manufactured by Harsco will be used majorly across India from now on
“We have the target of delivering 9.5 km every day. It is for the first time that the railways will be working on such a deadline,” a senior railway ministry official said
For the next financial year, the total track laying target has been set at 3,500 km whereas the track electrification target has been set at 4,000 km
The target is significantly higher than the current one, where railway is constructing around 2,000 km of new tracks
Railway minister Suresh Prabhu has also instructed all his officials to wind up the long pending projects on priority basis. The ministry has already sent instructions to zonal railways
The railway ministry plans to spend `1.31 lakh crore — the highest-ever for capacity expansion — in the next financial year. It has received `55,000 crore from the finance ministry as gross budgetary support
“We have been told to move to the project-based funding model where all existing projects are to be provided funds immediately so that they are not delayed any more,” the official said
The ministry is also going to undertake major track renewal works to make the railway network safer in the wake of the recent train derailment cases
“Around 3,600 km of track renewal will also be taken in the next year,” the official said.