Financial Express reported that India’s growth in 2010 was a notch higher than that of China.

According to data from the IMF, India’s GDP grew 10.4% in 2010 versus China’s 10.3%.

This is the first time that India’s growth has overtaken that of China, since the latter initiated reforms in the 1980s, a decade ahead of India.

And if projections by official agencies are anything to go by, China is looking at a 7% growth in the Twelfth Plan period (2011-15) compared with India’s 9%.

At 10.4%, the growth numbers for India are higher than the official data. The reason for this is provided in the method used by the IMF to arrive at its numbers. The IMF estimates growth rates by converting the GDP of countries in local currencies to USD at market exchange. So, if a currency appreciates, this raises its GDP growth in USD terms, and the country whose currency appreciates more will grow faster in USD terms.

The other fast growing major developing economies in 2010 included Brazil at 7.5%, Mexico at 5.5% and Russia at 4%.

(Sourced from financialexpress.com)