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India

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Last reviewed: 14 October 2009

Country information

INDIA TODAY

Country Facts

Area: 3,287,623m sq km (1,269,219 sq miles)
Population: 1,136,000,000 (Sept 2007 est, 2nd in the world)
Capital City: New Delhi
Languages:The official language of India is Hindi, written in the Devanagariscript and spoken by some 30% of the population as a first language.Since 1965 English has been recognised as an 'associated language'. Inaddition there are 18 main and regional languages recognised foradoption as official state languages.
Religions:India is a secular state and freedom of religion is protected under theConstitution. The main religious groups are Hindus (81.3%), Muslims(12%), Christians (2.3%), Sikhs (1.9%).
Currency: Rupee
Government: United Progressive Alliance, a Congress-led coalition.
Head of State: President Pratibha Patil
Prime Minister: Prime Minister Manmohan Singh
Foreign Minister: S.M. Krishna
Membership of international groupings/organisations:Commonwealth; United Nations and the United Nations Human RightsCouncil; World Trade Organisation; South Asian Association for RegionalCo-operation (SAARC); ASEAN (dialogue partner); G4.


ECONOMY

Basic Economic Facts

Nominal GDP: $1,1 trillion  (2007)
% population < $1 day: 34.3% (UNDP)
% population < $2 day: 80.4% (UNDP)
Real GDP Growth: 9.0% (2007)
Major Industries: Textiles, chemicals, food processing, steel, transportation equipment, cement, mining, petroleum, machinery, software, gems and jewellery, leather manufactures.

Major trading partners:

Exports for 2008-09 (April-Dec): USA (12%), UAE (11.1%), Singapore (5%), China (4.7%), Hong Kong (3.7%)
Imports for 2008-09 (April-Dec): China (10.3%), Saudi Arabia (7.2%), UAE (6.6%), USA (5.9%), Switzerland (4.6%)

Aid & development: Foreign aid was approximately $3.8 billion (2005-2006)
Exchange rate: Indian rupees per UK Pound Sterling – 79.8 (end January 2009).
UK Trade & Investment Country Profile: India

Economic reforms, initiated in 1991, have placed India firmly on the path of sustained economic growth, needed to alleviate poverty and allow India to claim its place as a global economic power. These economic reforms followed several decades during which its economy was virtually closed. India, a country which was traditionally dependent on agriculture, is now looking towards knowledge-driven sectors such as information, communications and entertainment (ICE) sector and pharmaceuticals as flagships of its economic potential. India now has a burgeoning middle class and has made great strides in fields such as information technology.

Although substantial progress has been made, the Indian Government remains conscious of the need to ensure that the pace of reform is not relaxed, and that India builds upon its recent success. There are other pressures to push ahead with reforms: Indian consumers' rising aspirations; the need to attract private capital into infrastructure; and the need to improve social sector delivery. The next round of reforms will, however, require politically difficult decisions and legislative changes. 

HISTORY

BBC News Country Timeline: India

INTERNATIONAL RELATIONS

Relations with the UK

Bilateral relations have steadily strengthened over the last 2 or 3 years and are now at their healthiest for a very long time (if not ever). This is reflected in a number of areas, including closeness on current international issues; bilateral trade (£7.9 billion in 2005); increased education links, and increasing of UK development assistance over the next two years (to £300 million).

The UK-India Round Table was launched by Robin Cook and Jaswant Singh, the then Indian Foreign Minister, during the former's visit to India in April 2000. The Round Table brings together senior UK and Indian opinion-formers to work up practical suggestions for enhancing bilateral activity and cooperation on global issues. The eleventh  meeting of the Round Table took place on 3 May 2008 in Shimla, India.

The 'New Delhi Declaration', formally endorsed by the 2 Prime Ministers in January 2002, provides the new road-map for bilateral activity. The Declaration commits the UK and India to continuing to work closely in 4 areas:

  • Peace and Security: terrorism, peacekeeping, defence cooperation, non-proliferation; Afghanistan
  • Development: working together to meet Millennium Development Goals including halving the proportion of people in poverty by 2015; UK development assistance to increase to £300 million by 2007/8; working together on climate change and in the run-up to the World Summit on Sustainable Development
  • Education and Science and Technology: the declaration noted the contribution of 1.3 million strong community of Indian origin in Britain, an increase in Chevening scholarships to £2 million, and the British Council's new Knowledge and Learning Centre in Delhi (which allows people to get UK qualifications online)
  • Trade and Investment: The UK is India's largest trading partner in Europe and one of the largest in the world; more than 440 Indian firms have now set up operations in the UK, of which 75% are from the Information and Communications Technology; the UK and India are committed to working together on WTO issues.

Recent Visits

  • Edward Miliband, Secretary of State for Energy and Climate Change visited India 1-2 September 2009
  • Douglas Alexander, Secretary of State, Department for International Development visited India 1-2 September 2009
  • Lord Mandelson, Secretary of State for Business visited India from 19-23 January 2009
  • David Milliband, Secretary of State for Foreign and Commonwealth Affairs visited India from  12-15 January 2009
  • Gordon Brown, Prime Minister visited India on 14 December 2008
  • Lord Malloch-Brown, Minister of State, FCO visited India 17 October 2008

People to People Links

The Indian community overall in the UK now numbers 1.3 million and is the most prosperous of the major ethnic communities in the country. They are influential, innovative and successful in business, politics and the arts: a major part of the UK's economy and culture.

Entry Clearance

Entry Clearance: Over 336,000  visas were issued in 2008. This is more than twice the amount of any other country. Over 500,000 Indians visit the UK each year. Student numbers continue to rise. The number of IT professionals seeking entry or placement in the UK also remains high.

UK Development Assistance

There has been growth and progress in India over the last 20 years, but nearly 400 million people live on less than a $1 a day many without access to basic services. Globally, the Millennium Development Goals (MDG) will be won or lost in India. The income poverty MDG is likely to be met, but other MDGs are off-track, including key targets in health and education.

The challenge is to address persistent and widespread poverty, including the needs of the poorest and marginalised, in a way that takes account of India's growing global role and aspirations. DFID India has nationwide programmes through the central government, and programmes in 4 of the poorest states (Andhra Pradesh, Madhya Pradesh, Orissa and West Bengal). DFID is scaling-up resources for off-track MDGs, including health and education, and working to increase its impact in poorly performing states. DFID will spend £825 million during the period 2008/9 to 2010/11. DFID India has 130 staff on 5 sites.

Department for International Development (DFID)

Cultural Relations with the UK

The British Council’s India operation is one of its largest in the world, with offices in the 4 metro cities and British Libraries in 7 other cities, the latter managed in co-operation with the Indian Council for Cultural Relations. The Council's main activities involve offering library services to 112,000 private and 4,000 corporate members, marketing UK education, administering 80,000 UK examinations per year, and running a varied programme of projects in governance and human rights, science and technology, the arts and English language teaching and teacher training. In recent years, the British Council has also introduced an on-line service to reach a wider audience of young Indians.

British Council: India

GEOGRAPHY

India forms a natural sub-continent with the Himalayas to the north. The Arabian Sea and the Bay of Bengal, which are sections of the Indian Ocean, lie to the west and east respectively. India's neighbours are China (Tibet), Bhutan and Nepal to the north, Pakistan to the north-west, and Burma to the north-east. To the east, almost surrounded by India, is Bangladesh. Near India's southern tip, across the Palk Strait, is Sri Lanka.

India has 28 states with constitutionally defined powers of government. The states vary greatly in size, population and development. Each state has a Governor appointed by the President for 5 years, a legislature elected for 5 years, and a Council of Ministers headed by a Chief Minister. Each state has its own legislative, executive and judicial machinery, corresponding to that of the Indian Union. In the event of the failure of constitutional government in a state, the Union can impose President's Rule. There are also 7 Union Territories including the National Capital Territory of Delhi, administered by Lieutenant Governors or Administrators, all of whom are appointed by the President. The Territories of Delhi and Pondicherry also have elected chief ministers and state assemblies.

The 28 states are: Andhra Pradesh, Arunachal Pradesh, Assam, Bihar, Chhattisgarh, Goa, Gujarat, Haryana, Himachal Pradesh, Jammu and Kashmir, Jharkhand, Karnataka, Kerala, Madhya Pradesh, Manipur, Maharashtra, Meghalaya, Mizoram, Nagaland, Orissa, Punjab, Rajasthan, Sikkim, Tamil Nadu, Tripura, Uttar Pradesh, Uttarakhand, and West Bengal.

The Territories are: Andaman and Nicobar Islands, Chandigarh, Dadra and Nagar Haveli, Daman and Diu, Delhi, Lakshadweep, and Pondicherry.

TRADE AND INVESTMENT

Trade and Investment with the UK

Total two-way trade (goods)declined by 12.2% in Jan-Mar 2009 compared to Jan-Mar 2008.. Major items of trade in goods: UK exports- Metalliferous ores and metal scrap, non-metallic mineral manufactures, non-ferrous metals, power generating machinery and equipment, machinery specialised for particular industries, general industrial machinery and equipment, electrical machinery & appliances, transport equipment. UK imports-Textile yarn and fabrics, petroleum, petroleum products & related materials, power generating machinery & equipment, general industrial machinery & equipment, iron & steel, manufactures of metal not elsewhere specified, electrical machinery, apparatus and appliances, articles of apparel and clothing accessories, footwear, miscellaneous manufactured article.

Over 25541.3 new Indo-British joint ventures have been approved by the Government of India since April 1996. For the period August 1991 to October 2008, the number of technical collaborations approved from UK stands at 868, which is 10.8% of the total technology transfer approvals (Fourth after U.S.A., Germany and Japan).

Between April 2008 and February 2009 , the highest number of FDI approvals in India was in service sector (six) where as the highest value of FDI approvals was in fuels (Rs 1611 mn). For the period August 1991 to January 2009, the number of technical collaborations approved from the UK stands at 869, which is 10.8% of the total technology transfer approvals (Fourth after U.S.A., Germany and Japan).

The UK is the four largest investor in India (after Mauritius, Singapore and USA) for the period April 2000 to March 2009.

UK Trade & Investment Country Profile: India

POLITICS

The Indian Constitution provides a system of parliamentary and cabinet government both at the centre and in the states. The Indian Parliament consists of the President, currently President Smt Pratibha Devisingh Patil, (elected for a 5-year term as the constitutional head of the executive) and 2 Houses: The Lower House - Lok Sabha ('House of the People') - directly elected on the basis of universal adult suffrage; and the Upper House - Rajya Sabha ('Council of States') - indirectly elected by the members of state legislative assemblies.

The Bharatiya Janata Party (BJP) and the Congress Party are the 2 main forces in the current Indian political scene. Congress heads the ruling coalition at the centre, the United Progressive Alliance (UPA) while the BJP  leads the Opposition alliance the National Democratic Alliance (NDA).

Whilst  neither can command a clear Parliamentary majority, following the UPA’s good performance at the recent election, UPA gathered the extra seats to form the current government and enjoy a comfortable majority.

HUMAN RIGHTS

India has a robust parliamentary tradition, an independent judiciary, professional and apolitical armed forces, a vibrant civil society, and free and outspoken media. India has signed and ratified all of the major International Treaties and Covenants on Human Rights except the Convention Against Torture, which it has signed only. There has been progress in a number of areas but implementation varies from state to state and awareness of human rights issues is inconsistent. As a result, the rights of women, children, minorities, Scheduled Castes and Scheduled Tribes often suffer. The socially and economically disadvantaged sections are particularly vulnerable.

Kashmir

The status of Jammu and Kashmir (J&K), and the history of events leading to its division, have long been contested and led to at least three wars between India and Pakistan. India claims that J&K legally acceded to it in 1947. Pakistan claims that the Kashmiris were denied their choice of which state to join. Kashmir has been divided since 1948 by a cease-fire line, known since an inconclusive round of negotiations in 1972 as the Line of Control (LoC).

The Pakistani-administered portion is almost exclusively Muslim, divided between so-called Azad (Free) Kashmir and the more remote Northern Areas. The Indian-administered area is divided into 3 main and very different sectors: the Kashmir Valley which is mostly Muslim, Jammu which has a slim majority of Hindus, and Ladakh, which is territorially dominant but sparsely populated, and half Buddhist (it is part of the Tibetan plateau). Political orientations of people in J&K are not governed by religious identity alone. Each of these regions are further internally differentiated on linguistic, religious and cultural lines.

There has been continued violence in the Kashmir Valley (and to a lesser extent in Jammu) between armed groups seeking secession from India (but divided between those who are pro-independence or pro-Pakistan) and the Indian security forces since the insurgency began in 1988/9. Levels of violence have fallen in recent years, but remain high: from a total of around 4,500 deaths in 2001 (including over 1,000 civilians) to around 900 in 2006 (with less then 300 civilian deaths). Most of the groups are headquartered on Pakistani territory. The Indian security force presence in J&K remains high, and there continue to be allegations of serious human rights violations.

Since 2004, India and Pakistan have had several rounds of negotiations including a ‘composite dialogue’ aimed at settling all bilateral issues, including Jammu and Kashmir. There has been a ceasefire at the Line of Control since November 2003. Both countries have agreed to certain other confidence building measures (CBMs) including the introduction of bus services on the Srinagar-Muzaffarabad and Poonch-Rawalkote routes to connect Kashmiris on both sides of the LoC. Five crossing points on the LoC were opened to enable movement of people. India has allowed separatist politicians to travel to Pakistan for the first time, and Pakistan has received elected politicians from Indian-administered Kashmir (which it previously refused to do). These CBMs are significant symbolic advances for both India-Pakistan relations and for the people of Kashmir.

Prime Minister Manmohan Singh held talks with several Kashmiri separatist leaders in 2006 and also set up 2 ‘round table’ conferences to discuss Kashmir. He also instituted 5 ‘working groups,’ comprising political party representatives and experts, to frame recommendations for addressing the issue.

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