Everyone accepts India's economy has been expanding at a a great pace. It's even reached at the 5th rank overall. But there's also a paradox that it's per capita is still out of top 100 countries. Most will blame it's due to the home of largest population. It seems right.
Even in terms of GDP per capita based on purchasing power parity — a country's gross domestic product per person in international dollars — India ranks below at least 140 countries. An international dollar has the same purchasing power over GDP as the US dollar in the United States. In 2023, India's GDP per capita PPP was $10,166 against the US at $82,769, Germany at $69,027, Japan at $49,885, and China at $24,569, according to the World Bank.
All's not gloom as it may sound. India’s average GDP per capita PPP growth was 6.7 per cent between 1990 and 2023, compared to Germany’s 3.9 per cent, Japan’s 2.8 per cent, and the United States’ 3.8 per cent. Only China grew faster at 10.3 per cent.
Yes, large population may denominate as the real cause of low per capita GDP but the real factor is inequality in wealth distribution.
The wealth of people in the top 10 per cent rose from 44.9 to 64.6 per cent and the wealth of those in the top 0.1 per cent rose from a mere 3.2 per cent to a humongous 29 per cent between 1961 and 2023. Source
As a result the world sees that....
India's Human Development Index value for 2022 is 0.644. It puts the country in the medium human development category at the 134th position out of 193 countries and territories. Source
Well, I object to the last point and placing india at 134th. TBH, India's Per Capita income might be lower with all those inequalities, India is relatively a very cheap country. It would not be fair to compare india with any other country than China gibe the very equal population size both countries have.
I compared the prices for a lot of things from china before coming to a conclusion. While comparing food prices I saw china sells 12 eggs at a price of approximately $1.66 abd India sells them at a price of $1 approximately.
Don't know why the west define Indian Economy as a paradox GDP!