India’s industrial development is more environmentally sustainable than China with respect to per-capita income. These findings are part of a World Bank report that highlights environmental effects of industrialization. The report found a strong and positive correlation between the Environmental Sustainability Index (ESI) and Income, defined as the Gross Domestic Product of a country divided by its population. The ESI is a composite that measures a country’s performance in five broad categories: reducing activities that harm environment, quality of environment-management systems, reducing human vulnerability to environmentally damaging activities, how society and institutions respond to environmental issues and the country’s initiative in addressing global environmental issues.
Kseniya Lvovsky, a World Bank economist and principal author of the report, said, “India has a strong environmental policy and some excellent examples of initiative by industry, however it’s regulatory regime needs to be significantly upgraded to sustain environment-friendly economic growth.” Environment secretary Prodipto Ghosh pointed out that India’s high population density and rapid growth will pressurize it’s environment and resources.