He also cautioned that chase for the GDP numbers shouldn’t come at the cost of the environment.
Reserve Bank of India Governor Raghuram Rajan brookings.edu
“So yes, we have a long way to catch with the level of per capita GDP and that means many years of strong sustainable growth. I want to emphasise here, because a few years of growth will not help. After those few years, we have very slow growth. We need sustainable growth which is why we need systems in place, we need macro-stability in addition to the growth,” he said.
“Now whether just the GDP numbers are not enough to say that we have developed…absolutely not. It is good we reach their level of per capita GDP without the environmental damage that has occurred in some parts of China, that is also occurring in some parts of India.
India’s personal consumption expenditure per capita, at just $1,012, is one-third of China’s.