2. INDIA VS CHINA(ECONOMY) SNAPSHOT
BASIS INDIA CHINA
GDP(Gross Domestic Product) • 7th largest in nominal GDP
• 3rd largest in purchasing
power parity
• GDP @ 2.28 trillion US
dollar(2016)
• GDP Growth rate
7.6%(2015-2016) and same
projected for 2017
• GDP Growth rate for JAN-
MARCH 2016@7.9%
• PPP @ 8.643 Billion US
dollar
• 2nd largest in nominal GDP
• 1ST largest in purchasing
power parity
• GDP @ 11.383 Trillion US
dollar(2016)
• GDP Growth rate
6.9%(2015)
• GDP Growth rate for JAN-
MARCH 2016@6.7%
• PPP @ 20.853
3. GDP (per capita ) • GDP per capita @ 1,747.49
US dollar
• Ranked 142nd
• Per capita growth rate
@6.1%
• Per capita according to
PPP@ 6,598 US dollar
• Ranked 138th @PPP
• GDP per capita @ 8,239 US
dollar
• Ranked 71st
• Per capita growth rate
@6.0%
• Per capita according to
PPP@ 15,095 US dollar
• Ranked 93rd @PPP
INFLATION RATE
1. Consumer price index(CPI)
2. Wholesale price index(WPI)
• CPI @ 5.3%(2016)
• PROJECTION @ 5%(2020)
• WPI @ 3.55%(2016)
• CPI @ 1.8%(2016)
• PROJECTION @ 3%(2020)
• WPI @ -1.7%(2016)
UNEMPLOYMENT RATE • 3.6% of total labour
force(2014)
• 4.1% of total labour force
(2015)
4. INTEREST RATE Interest rate @ 6.50% Interest rate @ 4.10%
POVERTY LEVEL 23.6% OF population (2011) 6.3% of population(2011)
CURRENT ACCOUNT BALANCE • Current account balance, US
billion $ @ -34.5(2016)
• Current account balance, %
of GDP -1.5%
• Current account balance, US
billion $ @ 296.4(2016)
• Current account balance, %
of GDP 2.6%
International reserves including
gold
334,310,990,326
(US dollars)
in 2015
3,345,193,757,702
(US dollars)
in 2015
General government gross debt 66.5
(% of GDP)
in 2016
46.8
(% of GDP)
in 2016
Political stability Democratic government (stable) Communist
government(unstable)
Ease of doing business ranking 130th (2015) 84th (2015)
5. IMPACT OF GDP ON ECONOMY
The gross domestic product (GDP) is one of the primary indicators used to gauge the
health of a country's economy. It represents the total dollar value of all goods and
services produced over a specific time period; you can think of it as the size of the
economy. Measuring GDP is complicated (which is why we leave it to the economists),
but at its most basic, the calculation can be done in one of two ways: either by adding
up what everyone earned in a year (income approach), or by adding up what everyone
spent (expenditure method). Logically, both measures should arrive at roughly the
same total.
Changes in Currency Values
Government Policies
Interest Rate Changes
Business Planning
Standard of living
6. INTEGRATION BETWEEN GLOBAL STOCK MARKET
Foreign direct investment (FDI)
Trade relation
Global economy
Export imports
State of currency
Equity selloff in emerging markets
Risk of trade
Rate hike
Impact on GDP