Economy of India

engineering goods to total exports grew from 14% to 42%.

Averaging an economic growth rate of 7.5% during the last few years, India has more than doubled its hourly wage rates during the last decade. Some 431 million Indians have left poverty since 1985; India's middle classes are projected to number around 580 million by 2030. Though ranking 51st in global competitiveness, India ranks 17th in financial market sophistication, 24th in the banking sector, 44th in business sophistication, and 39th in innovation, ahead of several advanced economies. With 7 of the world's top 15 information technology outsourcing companies based in India, the country is viewed as the second-most favourable outsourcing destination after the United States. India's consumer market, currently the world's eleventh-largest, is expected to become fifth-largest by 2030. Its telecommunication industry, the world's fastest-growing, added 227 million subscribers during the period 2010–11. Its automotive industry, the world's second fastest growing, increased domestic sales by 26% during 2009–10, and exports by 36% during 2008–09. Power capacity is 250 gigawatts, of which 8% is renewable. At the end of 2011, Indian IT Industry employed 2.8 million professionals, generated revenues close to US$100 billion equaling 7.5% of Indian GDP and contributed 26% of India's merchandize exports.

Despite impressive economic growth during recent decades, India continues to face socio-economic challenges. India contains the largest concentration of people living below the World Bank's international poverty line of US$1.25 per day, the proportion having decreased from 60% in 1981 to 42% in 2005. Half of the children in India are underweight, and 46% of children under the age of three suffer from malnutrition. The Mid-Day Meal Scheme attempts to lower these rates. Since 1991, economic inequality between India's states has consistently grown: the per-capita net state domestic product of the