PTI | | Posted by Singh Rahul Sunilkumar

Middle-income countries like India need to make policies based on reliable data to get into the league of high-income nations in next 3-4 decades as achieving sustainable growth will become harder, World Bank chief economist Indermit Gill said on Thursday.

Chief Economist of the World Bank Group Indermit Gill (C)(AFP)

Addressing an event here, Gill said, to grow into higher-income countries, MCIs (Middle Income Countries) will have to reduce deficits in their mid-sized firms.

“(Going forward) economic growth will get harder for middle-income countries like India, not easier… If you (middle-income countries like India) want to get into high-income country in the next 3-4 decades then you will have to make policies based on reliable information,” he said.

Gill pointed out that relatively few countries (31) have grown into high-income countries between 1990 and 2021.

Prime Minister Narendra Modi has set an ambitious target of making India a developed nation by 2047.

According to the World Bank, the world’s middle-income countries (MICs) are a diverse group by size, population, and income level.

They are defined as lower middle-income economies — those with a GNI (Gross National Income) per capita between USD 1,036 and USD 4,045; and upper middle-income economies — those with a GNI per capita between USD 4,046 and USD 12,535.

Middle-income countries are home to 75 per cent of the world’s population and 62 per cent of the world’s poor.

At the same time, MICs represent about one-third of global GDP and are major engines of global growth.

Countries with annual per capita income of over USD 12,000 are defined as high-income economies.

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