The Indian cities have come a long way from being the land of Maharajas, elephants and snake charmers to really bustling metropolises. The turning point for them is the economic liberalization in 1990s that enabled handful cities coming to become major commercial hubs. The brightest example of this is Bangalore, a city for the retired personnel, today is the IT hub of India.
A report published by McKinsey Global Institute predicts that there will be 61 cities in India with population of over one million by 2030. The report also makes a list of the top ten cities in terms of Gross Domestic Product (GDP).
Mumbai is not only the financial capital of India, but it comes as one of foremost trade centers globally. The GDP size of Mumbai is $209 billion.
Delhi comes second with GDP size of $167 billion and contributing 4.94% of the country’s GDP. Delhi is one of the cities that gained immensely in the post liberalization period.
Kolkata contributes $150 billion coming in the third position. Despite its economic decline for last 40 years or so, it is still in the top three positions.
Bangalore comes fourth with $83 billion. Despite being an IT hub it has to go long way to catch up with the top 3 Indian cities. This city almost entirely developed in the post liberalization period.
Close to the heels of Bangalore is Hyderabad with a GDP of $74 billion.
Chennai can boast of being amongst the 100 most developed global cities with a GDP of $66 billion.
Ahmadabad is one of the fastest growing cities in India with a GDP of $64 billion.
Pune is also one of those cities that benefitted enormously in the post liberalization period. It has a GDP size of $48 billion.
Surat is the second largest city in Gujarat and is known as the diamond capital of India. It has a GDP of $40 billion
This city has one of the biggest ports in India with a GDP of $26 billion
Except for Mumbai, Kolkata and Delhi, all the rest of the top ten cities have grown primarily in the post liberalization period. With the exception of Kolkata, all the top 10 Indian cities have grown in tremendous pace in the post liberalization time. Kolkata still stands in the top 3 because of its past pedigree, being the commercial capital of India till 1960s. It still has a chance to catch up as the difference between the sizes of the GDP with the second placed Delhi is not substantial. Finally, the report states that 70 percent of the jobs will be created by these cities that will surpass the 70 percent of the India’s GDP.