South Asia - Regional development
Economy and regional development
978-3-14-100890-6 | Page 125 | Ill. 2
Overview
Hardly anywhere in the world are social and economic disparities in the age of globalisation as pronounced as in southern Asia, where extreme wealth and extreme poverty exist in close proximity. India, the second largest country in the world in terms of population, has experienced an enormous economic upswing since the beginning of the 1990s and has reached a top international level in growth sectors such as information technology, but is still a developing country in many respects.
Economic disparities in India
age, the large number of scientifically trained, English-speaking and low-cost workers, and the establishment of technology parks by the Indian government resulted in a computer boom. More and more leading companies and market leaders in the industry came to Bangalore. The foreign companies were also lured with financial benefits. The pleasant climate at an altitude of 900 metres and the social stability were further plus points of Bangalore. More and more global companies are outsourcing entire areas such as software development, customer support (for English-speaking countries) and accounting to southern India.
Today, locations like Bangalore act as modernisation centres for India. Corridors have emerged, for example Bangalore - Madras, Bangalore - Hyderabad and Bangalore – Mumbai. They offer foreign companies the opportunity to invest under more favourable tax and legal conditions than in the rest of India. The Indian state is focusing on developing the infrastructure there (energy supply, ports, highways, roads, public transport, water management) and wants to build a number of new cities.
The north-east of India in particular - with the exception of Calcutta and New Delhi - is lagging behind in this development. In the map, this can be seen in the below-average GDP values per capita compared to India.
