Should I save into a Lifetime Isa and would my Help-to-Buy Isa be closed if I do? Workers’ pension deductions how to invest small money in india to 2.
Will you be a tax winner or loser this year? India is a country global emerging markets experts keep a close eye on. After China, it is presently the fastest growing economy in the world. As the planet’s largest democracy and second most populated nation, with 1. 2bn people, it is constantly changing and new themes are emerging all the time. Lifestyles, for example, are in many cases radically altering.
It has one of the youngest populations in the world, with about half aged below 26. Investors point out that there are an increasing number of people using credit cards, buying mobile phones, eating out, shopping in big department stores and spending their money on healthcare, travel and luxuries. But one of the most significant points is the changing demographics of India, where wealth is gradually filtering down to rural and traditionally low-income sections of society. In fact, the middle class is now said to make up 200m people and this is expected to swell to 500m over the next eight years.
Between 2007 and 2010, some 71m people are expected to swell the working age demographic. While India is ahead of China – the other big powerhouse in Asia – in terms of its services industry, it is at least 10 years behind with infrastructure development. 320bn of infrastructure investment has been targeted between now and 2012 with projects in place for improving roads, ports, telecommunications, airports, railways and power. 2008 was not a good year for Indian shares. Coupled with the nation’s considerable growth potential are its challenges. Like all fledgling economies it is a highly volatile sector to invest in, so be prepared for a bumpy ride. There is a limited selection of pure India funds but for some the growth has been exceptional.