Direction (Q. 1-10): Read the passage carefully and answer the questions given below it.
India is set to become the major fastest-growing economy in the world by 2012 and the third largest by GDP in the next two decades, behind China and the USA, a global study by British banking giant Standard Chartered said. "India would have overtaken Japan and will be trailing the US by a slim margin by 2030. China would be at a comfortable number one position," StanChart's Head of Research India, Samiran Chakraborty said.
The country's contribution to global GDP will go up to 10 per cent of the total pie of approximately 600 trillion USD, while China will be 24 per cent. StanChart expects the country to grow at an annual rate of 9.3 per cent for the next two decades and the per capita income of Indians will shoot up to 7.000 USD by 2030 from the current 1,000 USD. The country's GDP will grow at 8.5 per cent in 2010-11, driven mainly by increased agricultural growth and services in the subsequent quarters, said the latest quarterly survey of Professional Forecasters, released by the Reserve Bank of India. In the earlier survey, the forecast for the growth of GDP was 8.4 per cent, which has now been revised marginally upwards.
The forecast of 8.5 per cent is in line with the central bank's own projection in its Second Quarter Review of the Monetary Pol icy. For the year 2011 -12, the forecasters expect real GDP growth rate to be 8.5 per cent. For the year 2010-11, the forecast for agriculture has been revised upwards from 4.1 per cent to 4.6 per cent. For the industry sector, the forecast is 9 per cent, which is the same as predicted in the last survey; whereas for services the forecasts have been revised marginally upwards from 9.1 per cent to 9.2 per cent.
The sectoral forecasts for agriculture, industry and services for the year 2011 -12 are 3.2 per cent, 9.1 per cent and 9.5 per cent respectively. The profit growth of corporate sector (of BSE-listed companies) in 2010-11 has been revised downwards to 20 per cent from 22,5 per cent in the last survey. For the year 2011-12, it is expected to be 23 per cent. The survey expects repo rate to be at 6.50 per cent in 2010-11, which has been revised upwards from 6.25 per cent in the last survey and reverse repo rate to be at 5.50 per cent in 2010-11, which has also been revised upwards from 4.75 in the last survey. For 2011-12, the repo and reverse reporate are predicted to be 6.75 per cent and 5.75 per cent, respectively.
The country's GDP will grow at 8.5% in 2010-11 asper the survey report of