The world's largest democracy and second most populous country emerged as a major power in the 1990s. It is militarily strong, has major cultural influence and a fast-growing and powerful economy.
With its many languages, cultures and religions, India is highly diverse. This is also reflected in its federal political system, whereby power is shared between the central government and 28 states. However, communal, caste and regional tensions continue to haunt Indian politics, sometimes threatening its long-standing democratic and secular ethos.
The country has a burgeoning urban middle class and has made great strides in fields such as information technology. Its large, skilled workforce makes it a popular choice for international companies seeking to outsource work. But the vast mass of the rural population remains impoverished. Their lives continue to be influenced by the ancient Hindu caste system, which assigns each person a place in the social hierarchy. Discrimination on the basis of caste is now illegal and various measures have been introduced to empower disadvantaged groups and give them easier access to opportunities - such as education and work. Poverty alleviation and literacy campaigns are ongoing.
The economy of The Republic of India is the tenth-largest in the world by nominal GDP and the third largest by purchasing power parity (PPP)1. The country is one of the G-20 major economies and a member of BRICS2. India is the nineteenth largest exporter and tenth largest importer in the world.
The independence-era Indian economy (from 1947 to 1991) was based on a mixed economy combining features of capitalism and socialism, resulting in an inward-looking, interventionist policies and import-substituting economy that failed to take advantage of the post-war expansion of trade. This model contributed to widespread inefficiencies and corruption, and the failings of this system were due largely to its poor implementation.
In 1991, India adopted liberal...
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