What's incredible is that once you factor in PPP, this is equivalent to $200B in local purchasing power.
Imagine how much new economic activity that is for a country whose GDP is only $2.5T
Imagine how much new economic activity that is for a country whose GDP is only $2.5T
PPP is most useful when looking at domestically manufactured items and services. When looking at anything that needs to be imported, normal exchange rates are a much better tool. In fact due to import duties in India, many international goods are more expensive in India that in most of the west.
As shocking as it sounds, PPP multiple is really 18x
From the chart you stated. Total, National currency units/US dollar, 2000 – 2018
I.e, in PPP terms 18 Rupees is one US Dollar.
In real terms, about 70 Rupees is one US dollar, given a PPP multiplier of slightly under 4 at current nominal exchange rates.
The multiplier again becomes 18x