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Daily-current-affairs / 15 Sep 2023

Assessing India's Socioeconomic Progress and Future Strategies : Daily News Analysis

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Date : 16/09/2023

Relevance – GS Paper 2 – International Relations

Keywords – ‘One Earth, One Family, One Future’, G-20, LFPR, HDI

Context

India recently hosted the 18th G20 Summit in New Delhi, focusing on the theme 'One Earth, One Family, One Future.' As India passed the G20 Presidency for 2024 to Brazil, it became crucial to assess its socioeconomic performance in comparison to other G20 nations. Regrettably, India's recent performance in critical socioeconomic indicators has fallen behind those of its G20 peers.

How does India perform on various metrics in comparison to G20 member countries?

GDP Per Capita

  • During 1970, India was positioned as the 18th out of 19 regions under examination (excluding Russia) with a GDP per capita of USD 111.97. Fast forward to 2022, India's GDP per capita experienced growth, reaching USD 2,388.62; nevertheless, it continued to occupy the lowest position among the 19 regions surveyed.

Human Development Index (HDI)

The Human Development Index (HDI) serves as a composite metric that assesses the overall achievements in human development, considering four key indicators:

  1. Life expectancy at birth (related to Sustainable Development Goal 3).
  2. Expected years of schooling (linked to Sustainable Development Goal 4.3).
  3. Mean years of schooling (connected to Sustainable Development Goal 4.4).
  4. Gross national income (GNI), aligned with Sustainable Development Goal 8.5.

HDI is evaluated on a scale ranging from 0 (indicating the lowest) to 1 (representing the highest level of development). When comparing the HDI scores of 19 countries (excluding the European Union) over the period from 1990 to 2021, India's HDI demonstrated significant improvement, rising from 0.43 in 1990 to 0.63 in 2021. This improvement reflects advancements in life expectancy, education, and living standards. However, it's worth noting that despite these absolute gains, India still found itself at the bottom of the ranking among the assessed countries.

Health Metrics:

  • Life Expectancy:
  • Between 1990 and 2021, India witnessed a notable rise in its average life expectancy, progressing from 45.22 years to 67.24 years. This improvement allowed India to surpass South Africa in this aspect, although it still fell behind China.
  • Infant Mortality:
  • In 1990, India held the unenviable last position with an infant mortality rate of 88.8. By 2021, there was a marked improvement as the rate declined to 25.5. However, despite this progress, India remained in the 19th position among the 20 regions considered in the comparison.
  • Labor Force Participation Rate (LFPR):
  • The LFPR for individuals aged 15 and above across 20 regions was analyzed for the years 1990 and 2021-22.
  • In 1990, India held the 18th position with an LFPR of 54.2%, surpassing Italy (49.7%) and Saudi Arabia (53.3%) in this regard. However, as of 2021-22, India's LFPR declined, leading to a drop in its ranking to 19th place. It now stands ahead of only Italy, with a reduced LFPR of 49.5%.
  • Representation of Women in Parliament:
  • The participation of women in the parliaments of 19 regions (excluding Saudi Arabia) was examined for the years 1998 and 2022.
  • India's percentage of women in Parliament showed a positive trend, rising from 8.1% in 1998 to 14.9% in 2022. Nevertheless, when compared to other G20 nations and the European Union, India's ranking witnessed a decline, dropping from 15th place in 1998 to 18th in 2022. It now stands marginally ahead of Japan in this regard.
  • Environmental Performance:
  • India has successfully reduced carbon emissions over the past three decades, consistently holding the position of the lowest emitter among the 20 regions.
  • However, India's transition to environmentally friendly energy sources has been relatively sluggish, with only 5.36% of electricity generated from renewables in 2015. This placed India in the 13th position among the 20 regions in terms of renewable energy adoption.

The Way ahead

  • India should prioritize policies that ensure inclusive economic growth, reaching every stratum of society. Tailored initiatives for marginalized communities, rural development, and skill enhancement programs can play a pivotal role in narrowing income disparities.
  • Policy efforts should center on generating a greater number of employment opportunities, particularly for the youth. Promoting entrepreneurship can be instrumental in mitigating unemployment and fostering a more inclusive development landscape.
  • India's primary focus should be on reducing infant mortality rates through targeted healthcare interventions encompassing maternal and child healthcare, immunization drives, and investments in sanitation infrastructure.
  • It is imperative to implement policies and initiatives that promote gender equality, fostering women's active participation in the workforce and leadership positions.
  • Acceleration in the adoption of environmentally sustainable energy sources and the expansion of renewable energy generation should be prioritized.
  • Facilitating increased participation of women in politics and leadership roles is of paramount importance.
  • Efforts should be redoubled to strengthen anti-corruption measures and cultivate a culture of ethical governance across all echelons of the government.

Probable Questions for UPSC Mains Exam –

  1. Evaluate India's socio economic performance compared to G20 nations, focusing on key indicators such as GDP per capita, Human Development Index, and labor force participation. Suggest policy measures to address disparities and promote inclusive development. (10 marks, 150 words)
  2. Discuss India's ranking in women's parliamentary representation among G20 nations. Explain the importance of gender equality in political leadership and propose strategies to enhance women's participation in politics and leadership roles for India's overall development. (15 marks, 250 words)

Source – The Hindu