The document discusses the history and development of the Indian economy from ancient to modern times. It summarizes that the Indian economy was well-developed prior to colonial rule, but the arrival of the British East India Company caused economic strain by exploiting Indian resources. After independence in 1947, the government implemented five-year plans to rebuild the economy and boost sectors like agriculture, industry, and services. While India's economy is growing, it faces challenges like inflation, infrastructure issues, and fiscal deficits that must be addressed for continued economic rise on the global stage.

2. The Indian economy , the third largest economy
in the world in terms of PURCHASING
POWER, is going to touch new height in coming
years. According to global investment bank by
2035 India would be 3rd largest . Economy of
the work just after US and CHINA. It will
grow to 60% of size of the US. Economy

3. The History of India economy can be broadly divided
into three Phase:
 Pre-Colonial
 Colonial
 Post Colonial
Pre- Colonial :- The economy history of India
since INDUS VALLEY civilization to 1700 AD can
be categorized under this phase. During this Phase
Indian economy was very will developed. It has very
good trade relation with other parts of world. Before
the advent of the East India Company each village

4. Continue…..
in India was a sufficient entity and was
economically independent as all the economies
needs were fulfilled with in the village..
Colonial:- The arrival of East India Company in
India caused a huge strain to the Indian economy
and there was a two way depletion of resources-
The British would buy raw materials from India
at cheaper rates and finished foods were sold
higher than normal price in Indian market.

5.  .
After India got independence from colonial rule in
1947, the process of rebuilding started various policies
and schemes were formulated. 1st 5 years plan came in
to implementation in 1952. there 5th year plan started by
Indian government, focused on the needs of the Indian
economy.
 India's Economy is bound for slower growth. In
recent months, Indian government has introduced Pro
business economic reforms and outlined plans to
increase. Spending on capital investment and large
scale social programs. In the first three months of 2013
the GDP growth slowed to 4.8% and it is likely to go
down further due to weak Consumption , Capital,
investment & decline government spending.

6. Primary Sector
Secondary Sector
Tertiary Sector

7. The economic activity depends mainly on
exploitation of natural resources .
Agriculture and agriculture related activities,
forestry and fishing, mining, and extraction of
oil and gas.

8.  Involves manufacturing
 The industrial production of physical
goods .

9. Involves providing intangible goods like
services , attention, advice, experience, and
discussion.
Financial services, management
consultancy, telephony and IT are good
examples of service sector

10. EXTERNAL TRADE
AND
INVESTMENT

11. What is External Trade ?
Exchange of capital, goods, and
services across
international borders or territories.
In most countries it represents
significant share of
gross domestic product (GDP).

12. Importance Of External Trade
•International trade is exchange of capital,
goods, and services across international
borders or territories. In most countries, it
represents a significant share of gross
domestic product (GDP)

13. India Trade: Imports
India’s major imports comprise of crude oil machinery,
military products, fertilizers, chemicals, gems, antiques
and artworks. Imported goods are divided into the
following categories: Freely importable items: For these
items, no import license is required. They can be freely
imported by an individual or a firm. Canalized items:
These items can only be imported by public sector firms.
For example petroleum products fall under this category.
.

14. India Trade: Exports
Indian exports comprise mainly of engineering and
textile products, precious stones, petroleum
products, jewelry, sugar, steel chemicals, zinc and
leather products. Most of the exported goods are
exempt from export duties. India also exports
services to several countries, primarily to the US.
In
fact, India is among the world’s largest exporters of
services related to information and
communication
technology (ICT). It is also the key destination for
business process outsourcing (BPO).

15. Strengths of INDIAN ECONOMY
 India is well placed to benefit from
globalization
and outsourcing
Demographics of India are favorable.
There is much scope for increases in
efficiency.

16. Problems faced in Indian Economy
Inflation.
Poor educational standard.
Poor Infrastructure.
Balance of payment deterioration
High level of debt
Large budget deficit
Rigid labor laws

17. OUR FINAL NOTE:
If these problems are solved then the future for
India looks bright, India might well become
one
of the superpowers of the 25th Century. India-
A country with Potentials for ‘sustaining’
development!!