Summary in 1991 India achieved free trade, which gathered more national investment, especially for foreign investors. Reduce tariff barriers, give opportunities to invest in some products, and help foreign investors use their assets in the region to do business. These are significant increases in GDP and the per capita income driving dynamics. Therefore, the Indian trading system is advantageous for foreign investment. Resources, especially coal, can also be used for investment.
When foreign investors were allowed to invest in India after the economic reform that began in the early 1990s, they were told that the Indian market had been forced to invest considerably in India. They were told that 200 million Indians have the ability to buy industrial products. And it constitutes a big market that can be profitable. In addition, the population growth rate and the age composition of the population determine the demand patterns of the goods. If the population growth rate of the country is high, the population of that child will be relatively large. This means that the demand for products such as weaning meals that meet the needs of children is relatively high.
Internal consumption and investment will drive India's growth over the next decade. With a population of 27 billion people and a per capita nominal income of $ 1600, there is still a long way to enter the consumer story. Today, Indian consumption accounts for 70% of GDP, investment accounts for 30%, savings rate is 28% of GDP. India's reliance on foreign capital is relatively low, only 1% to 2% of GDP. The trade deficit is high due to imports of oil, but high service exports in the form of software and remittances balance this trade deficit.
In 1960, India's per capita GDP was 5% lower than Pakistan's ($ 82.5), and its economic progress was an increase in the country's capacity, investment in infrastructure and heavy industries, and Pakistan began before India It was made by the agricultural revolution. An article by LiveMint by economist Ankit Mital, September 2016. But now the situation has been reversed, India's per capita GDP is 16.4% higher than neighboring countries of Western countries. Among the five countries used for comparison, India's progress in improving life expectancy at the time of birth is second only to China. The average life expectancy in 1960 is 43 years, the status of China is close to India. However, at the same time, the average life expectancy of China increased by 76.7% (33 years old), and the average life expectancy until 2015 was 76 years.
The trend over the next five years is simple. I am talking about investing in 'Russia' and increasing the share of investment in India. By the way, only a couple of weeks ago I found that Mukesh Ambani, the wealthiest man in India, sent his boy scouts to Israel to find a promising startup. - JSCapital offers international investors the opportunity to enter Israeli emerging markets. We are affiliated with venture funds, direct investment funds, business angels, and family offices. Geographically it is Russia, Ukraine, Kazakhstan, UK, Switzerland. In early 2016, Singapore and China will join the group. Our expertise is to find startups that are still drawing attention. Later on we used our own way to get them.
Roman Gold: Ukraine's innovation ecosystem should not be limited by the way other countries replicate.