India’s soaring tourism numbers could push the country’s economy to an unprecedented $5 trillion by 2020, according to a new study.
The study, which was published in the International Monetary Fund’s (IMF) International Tourism Outlook, said that while there are some uncertainties in the numbers, India’s growth potential is likely to grow by as much as 2.4% a year, or $1.3 trillion by the end of 2020.
India’s economic growth has slowed sharply in recent years as a result of the country taking drastic steps to boost infrastructure spending and boost foreign direct investment (FDI).
But it is also seen as a driver of the world’s fastest-growing tourism sector.
While the IMF study projects that India will grow by 2.3% a-year, it does not say when exactly it expects to see its economic growth reach that figure.
The IMF study was prepared for the IMF’s World Economic Outlook, an annual report that gives an assessment of the global economy and forecasts the growth and future growth rates of nations.
The report also projects that the number of visitors will hit 1.2 billion by 2020 and that India’s annual economic growth rate will be around 2.6%.
“We are likely to see India’s economy expand by 2% a quarter to 2.7% in 2020,” said the study’s author, Joseph Rowntree, a senior economist at the IMF.
“It’s a very bullish projection.”
The growth in India’s total economic activity is projected to accelerate from 0.3%.
India is the world leader in tourism, accounting for about half of global visitors.
Tourism accounted for nearly 40% of the total value added in 2016, according the World Economic Forum, the global forum that provides economic data.
But the country is not a household name and the country has struggled with a lack of infrastructure and corruption scandals that have crippled its tourism industry.
In the past decade, the country ranked as the second worst country in the world in terms of per capita GDP per capita, according data from the World Bank.
A report by the World Tourism Organisation (WTO), a global tourism body, said the tourism industry contributes almost 15% of India’s GDP and accounts for 40% or nearly 1.5 million jobs.
“This growth is going to be very important,” Rowntrees said.
The global economy is expected to grow 4.7%, which would be more than double the previous record of 3.2% growth set in the third quarter of 2018.
In 2020, India will be ranked as one of the top three countries in the region, followed by the United States.
“India is a really big market for international tourism, and the fact that the economy is so big is very, very good news for the global tourism sector,” Rippon said.
“There is a lot of demand in India, and it’s going to grow, too.”
The country’s GDP is projected by the IMF to grow 2.9% in the next five years, which would translate into $1 trillion in 2020, about the same as the previous year’s growth rate.
The country has also said it plans to invest $1 billion a year over the next three years to boost the economy.
“We’re optimistic that India is going do really well in the future, especially if we can build infrastructure and invest more,” Riptree said.