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India

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Background

The Indus Valley civilization, one of the oldest in the world, dates back at least 5,000 years. Aryan tribes from the northwest infiltrated onto Indian lands about 1500 B.C.; their merger with the earlier Dravidian inhabitants created the classical Indian culture. Arab incursions starting in the 8th century and Turkish in the 12th were followed by those of European traders, beginning in the late 15th century. By the 19th century, Britain had assumed political control of virtually all Indian lands. Indian armed forces in the British army played a vital role in both World Wars. Nonviolent resistance to British colonialism led by Mohandas GANDHI and Jawaharlal NEHRU brought independence in 1947. The subcontinent was divided into the secular state of India and the smaller Muslim state of Pakistan. A third war between the two countries in 1971 resulted in East Pakistan becoming the separate nation of Bangladesh. Despite impressive gains in economic investment and output, India faces pressing problems such as the ongoing dispute with Pakistan over Kashmir, significant overpopulation, environmental degradation, extensive poverty, and ethnic and religious strife.

Geography

India dominates the South Asian subcontinent; near important Indian Ocean trade routes; Kanchenjunga, third tallest mountain in the world, lies on the border with Nepal.

Location: Southern Asia, bordering the Arabian Sea and the Bay of Bengal, between Burma and Pakistan

Area: total: 3,287,590 sq km; land: 2,973,190 sq km; water: 314,400 sq km

Land boundaries: total: 14,103 km; border countries: Bangladesh 4,053 km, Bhutan 605 km, Burma 1,463 km, China 3,380 km, Nepal 1,690 km, Pakistan 2,912 km

Coastline: 7,000 km

Climate: varies from tropical monsoon in south to temperate in north

Terrain: upland plain (Deccan Plateau) in south, flat to rolling plain along the Ganges, deserts in west, Himalayas in north

Elevation extremes: lowest point: Indian Ocean 0 m; highest point: Kanchenjunga 8,598 m

Natural resources: coal (fourth-largest reserves in the world), iron ore, manganese, mica, bauxite, titanium ore, chromite, natural gas, diamonds, petroleum, limestone, arable land.

People

Population: 1,129,866,154 (July 2007 est.)

Net migration rate: -0.05 migrant(s)/1,000 population (2007 est.)

Life expectancy at birth: total population: 68.59 years; male: 66.28 years; female: 71.17 years (2007 est.)

Ethnic groups: Indo-Aryan 72%, Dravidian 25%, Mongoloid and other 3% (2000)

Religions: Hindu 80.5%, Muslim 13.4%, Christian 2.3%, Sikh 1.9%, other 1.8%, unspecified 0.1% (2001 census)

Languages: English enjoys associate status but is the most important language for national, political, and commercial communication; Hindi is the national language and primary tongue of 30% of the people; there are 14 other official languages: Bengali, Telugu, Marathi, Tamil, Urdu, Gujarati, Malayalam, Kannada, Oriya, Punjabi, Assamese, Kashmiri, Sindhi, and Sanskrit; Hindustani is a popular variant of Hindi/Urdu spoken widely throughout northern India but is not an official language

Government

Government type: federal republic

Capital: New Delhi

Administrative divisions: 28 states and 7 union territories*; Andaman and Nicobar Islands*, Andhra Pradesh, Arunachal Pradesh, Assam, Bihar, Chandigarh*, Chhattisgarh, Dadra and Nagar Haveli*, Daman and Diu*, Delhi*, Goa, Gujarat, Haryana, Himachal Pradesh, Jammu and Kashmir, Jharkhand, Karnataka, Kerala, Lakshadweep*, Madhya Pradesh, Maharashtra, Manipur, Meghalaya, Mizoram, Nagaland, Orissa, Puducherry*, Punjab, Rajasthan, Sikkim, Tamil Nadu, Tripura, Uttar Pradesh, Uttarakhand, West Bengal

chief of state: President Pratibha PATIL (since 25 July 2007); Vice President Bhairon Singh SHEKHAWAT (since 19 August 2002)

head of government: Prime Minister Manmohan SINGH (since 22 May 2004)

Economy

India's diverse economy encompasses traditional village farming, modern agriculture, handicrafts, a wide range of modern industries, and a multitude of services. Services are the major source of economic growth, accounting for more than half of India's output with less than one third of its labor force. About three-fifths of the work force is in agriculture, leading the UPA government to articulate an economic reform program that includes developing basic infrastructure to improve the lives of the rural poor and boost economic performance. The government has reduced controls on foreign trade and investment. Tariffs averaged 12.5% on non-agricultural items in 2006. Higher limits on foreign direct investment were permitted in a few key sectors, such as telecommunications. However, tariff spikes in sensitive categories, including agriculture, and incremental progress on economic reforms still hinder foreign access to India's vast and growing market. Privatization of government-owned industries remained stalled in 2006, and continues to generate political debate; populist pressure from within the UPA government and from its Left Front allies continues to restrain needed initiatives. The economy has posted an average growth rate of more than 7% in the decade since 1996, reducing poverty by about 10 percentage points. India achieved 8.5% GDP growth in 2006, significantly expanding manufacturing. India is capitalizing on its large numbers of well-educated people skilled in the English language to become a major exporter of software services and software workers. Economic expansion has helped New Delhi continue to make progress in reducing its federal fiscal deficit. However, strong growth - more than 8 percent growth in each of the last three years - combined with easy consumer credit and a real estate boom is fueling inflation concerns. The huge and growing population is the fundamental social, economic, and environmental problem.

Labor force: 509.3 million (2006 est.)

Labor force - by occupation: agriculture: 60%; industry: 12%; services: 28% (2003)

Unemployment rate: 7.8% (2006 est.)

Industries: textiles, chemicals, food processing, steel, transportation equipment, cement, mining, petroleum, machinery, software

information courtesy The World Factbook Spetember 2007