Home / Politics / Policy /  News in Numbers: Indian economy to be third largest by 2027, says Morgan Stanley


What is it? The proposed corporate tax rate by US President Donald Trump, as compared to 35% at present.

Why is it important? This move, if implemented, will incentivise US companies to bring back profits earned outside US, have more surplus for investments, and cost the US budget up to $2 trillion (including other tax proposals). Because of high tax rate, many US companies don’t repatriate profits earned outside US. This is estimated at $1.3 trillion at the end of 2016.

Tell me more: US has the third highest top marginal corporate tax rates in the world, as compared to worldwide average of 22.5%.

$6 trillion

What is it? The size of the Indian economy by 2027, according to a Morgan Stanley research paper.

Why is it important? The investment bank projects a growth rate of 7.1% over the next decade because of increased digital economy (increased smartphone penetration, Aadhaar and universal bank accounts), tax reforms and household consumption. If predictions come true, India would become the world’s third largest economy (seventh at present) and per capita income would be $4,809 (vs $1,702) by 2027.

Tell me more: India’s quarterly GDP growth rate fell to a three-year low of 5.7% in June quarter, and macroeconomic numbers indicate continued slow growth.


What is it? The percentage by which the BSE Sensex, the bourse’s benchmark 30-share index, fell on Wednesday to close at 31,159.81 on Wednesday.

Why is it important? This marks the seventh straight day of losses for the index, which is the longest losing streak since the seven-day losing streak recorded in mid-December 2016. This is also at over a three-month low. The likely reasons for the sharp plunge include the persistent foreign outflows and a weakening rupee due to concerns of a possible rate hike by the US Federal Reserve.

Tell me more: The 50-share NSE Nifty was down by 135.75 or 1.38% to end at 9735.75, a level last seen on 11 August (9,710.8).


What is it? The price at which ICICI Lombard shares got listed in its market debut on Wednesday.

Why is it important? It got off to a tepid start, listing at 1.7% discount to its issue price of Rs661 per share though it recovered to settle at 3.1% higher than its issue price on Wednesday. This leads to concerns about the valuations of India’s top private insurer, which is also the first to list from the non-life insurance sector. It also remains to see how the upcoming initial public offerings of other insurers including that of SBI Life Insurance, which raised $1.3 billion in India’s biggest public issues in seven year, would perform.

Tell me more: The Rs5,700-crore IPO of ICICI Lombard was subscribed nearly three times. Among private players, the company has a market share of 20.2% and overall, 10%.


What is it? The increased character limit on Twitter for sending out tweets (up from 140) for a small group of users.

Why is it important? This move by the microblogging firm is based on its research, which indicates that people tend to tweet more if they have more space to write. Though Twitter did not mention if and when this feature would be rolled out for all its users, this change may bring in more users considering it failed to add any new monthly active users globally in the June quarter and it has also started losing some in the US. The firm has been struggling to increase its advertising income and in the most recent quarter, its revenue fell 5% from a year ago.

Tell me more: The company, whose stock hit $69 a share shortly after it went public in 2013, was trading at around $17 on Wednesday afternoon. is a search engine for public data.

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