Trichet Sees India's Path to Developed Economy by 2047

Former European Central Bank president Jean-Claude Trichet expressed optimism about India's economic prospects, stating that the country has significant room to avoid the middle-income trap and achieve its goal of becoming a developed economy by 2047. Speaking at the Kautilya Economic Conclave in New Delhi, Trichet highlighted India's record of reforms and sustained growth, which he believes demonstrate that 'something is happening in India.' He emphasized that India's strong human capital, including a large pool of engineers, scientists, and skilled professionals, will underpin long-term prosperity.

However, Trichet cautioned that global disorder and power politics pose risks to India's journey towards developed economy status. He noted that the ability to achieve the 2047 goal depends heavily on the global economy avoiding a breakdown of established rules and a shift towards aggressive power politics. Trichet expressed hope for a return to a more predictable international economic order, emphasizing that uncertainty has become a defining feature of the current global economy.

Trichet also discussed India's strategic independence in a fragmented world, suggesting that the country should maintain its independence rather than aligning completely with one major power. He drew a parallel with Europe's efforts to protect both its economic interests and democratic values, indicating that India is well placed to pursue an independent path despite the challenges posed by competing global blocs.