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Reshaping Tomorrow : Is South Asia Ready for the Big Leap?

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  • Ejaz Ghani

Abstract

What will South Asia look like in 2025? The optimistic outlook is that India, which accounts for 80 per cent of the regional economic output, is headed towards double-digit growth rates. South Asia too will grow rapidly, primarily due to India. The pessimistic outlook is that, given huge transformational challenges facing the region, growth should not be taken for granted. Which of these two outlooks is likely to prevail? This is what this book is all about. It is about the future, and not the past, and how to make smart choices about the future. There is strong empirical justification in favor of the optimistic outlook. Growth will be propelled higher by young demographics, improved governance, rising middle class, and the next wave of globalization. There is democracy, for the first time since independence, in all countries in the region. Young demographics will result in nearly 20 million more people joining the labour force, every year, for the next two decades. Almost a billion people will join the ranks of the middle class. India's middle class is well-educated, enterprising, innovative, and more demanding of better services, products, and governance. The region will benefit from the new wave of globalization in services, and increased international migration and human mobility. Indeed the drivers of growth seem to have already moved from the rich world to the poor world. The room for catch-up is huge, given the big gap in average income between South Asia and the rich countries.

Suggested Citation

  • Ejaz Ghani, 2011. "Reshaping Tomorrow : Is South Asia Ready for the Big Leap?," World Bank Publications, The World Bank, number 16360, July.
  • Handle: RePEc:wbk:wbpubs:16360
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    File URL: https://openknowledge.worldbank.org/bitstream/handle/10986/16360/65420.pdf?sequence=1
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Ghani, Ejaz & Kerr, William R. & O’Connell, Stephen D, 2011. "Who Creates Jobs?," World Bank - Economic Premise, The World Bank, issue 70, pages 1-7, November.
    2. Kathuria, Vinish & Rajesh Raj, S.N. & Sen, Kunal, 2013. "The effects of economic reforms on manufacturing dualism: Evidence from India," Journal of Comparative Economics, Elsevier, vol. 41(4), pages 1240-1262.
    3. Prakash Kumar Shrestha Ph.D., 2013. "A Revisit of the East Asian Development Experiences in the Context of South Asia," NRB Working Paper 18/2013, Nepal Rastra Bank, Research Department.
    4. Ghani, Ejaz & O'Connell, Stephen D. & Sharma, Gunjan, 2013. "Friend or foe or family ? a tale of formal and informal plants in India," Policy Research Working Paper Series 6588, The World Bank.
    5. repec:wbk:wbpubs:12096 is not listed on IDEAS
    6. Handley, Antoinette, 2014. "Varieties of capitalists? The middle class, private sector and economic outcomes in Africa," WIDER Working Paper Series 101, World Institute for Development Economic Research (UNU-WIDER).
    7. World Bank, 2012. "Global Economic Prospects, Volume 5, June 2012 : Managing Growth in a Volatile World
      [Perspectivas económicas mundiales: gestionar el crecimiento en un mundo volátil - Resumen ejecutivo (Vol. 1)]
      ," World Bank Publications, The World Bank, number 12106, July.
    8. Eichengreen, Barry, 2013. "Currency war or international policy coordination?," Journal of Policy Modeling, Elsevier, vol. 35(3), pages 425-433.
    9. Prakash Kumar Shrestha, 2013. "Economic development in South and East Asia: empirical examination of East Asian Development Model," Asia-Pacific Development Journal, United Nations Economic and Social Commission for Asia and the Pacific (ESCAP), vol. 20(2), pages 1-28, December.
    10. Sinha, Anushree & Kanbur, Ravi, 2012. "Informality: Concepts, Facts And Models," Working Papers 128801, Cornell University, Department of Applied Economics and Management.

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