Inclusive Development: A Multidisciplinary Approach

Abstract

Inclusive growth is defined as ‘growth that not only creates new economic opportunities, but also one that ensures equal access to the opportunities created for all segments of society, particularly for the poor’. It is an equitable development approach built on the understanding that every individual and community of all diverse identities and experiences is instrumental in the transformation of their own societies. Research shows that investments in inclusion and equity improve aid effectiveness such as creating sustainable economic growth, strengthening national security & stability and improving health outcomes. The sole aim of inclusive development is to change social structures in such a way that they are equally accessible to all people, meeting their different abilities and needs. It responds by emphasizing mainly on the social and environmental aspects of development on current generations. Inclusive Development Index (IDI) is an annual economic Index that has been treated as a substitute to GDP to measure a country’s economic growth and development. Findings shows that India is presenting growth in GDP rate, life expectancy but our Inclusive Development Index (IDI) is low mainly due to poor performance in the pillars such as growth and development, inclusion. Similar to GDP, IDI measures the level and rate of improvement in socio-economic progress. In this article we will touch on the key points of Inclusive Development Index and analyze India’s performance on the basis of this Index.

Introduction

Inclusive growth and development are essential for reducing poverty and improving living standards. Research shows that sustained economic growth is important, but income distribution and equality also play a major role in ensuring that the benefits of growth reach poorer sections of society. Factors such as macroeconomic stability, property rights, trade openness, effective governance, and country-specific policies support growth, but they are not sufficient on their own.

In India, the focus has gradually shifted from rapid economic growth toward inclusive growth, which aims to reduce poverty and social and economic inequalities while promoting human development and fair distribution of income and wealth. Inclusive growth was made an explicit objective of the 11th and 12th Five-Year Plans.

Although India has made significant progress in education, healthcare, infrastructure, information technology, and economic development, major challenges remain, including poverty, unemployment, low agricultural growth, regional and gender disparities, and child malnutrition. Since a large share of India's population depends on agriculture, investment in rural infrastructure, irrigation, and electrification is particularly important.

Main Measures of Inclusive Development

The study uses three major indices to assess India's performance:

1. Inclusive Development Index (IDI) – Measures economic progress through:

   • Growth and development
   • Inclusion
   • Intergenerational equity and sustainability

   India ranked 62nd among 74 emerging economies in the 2018 IDI. Its strongest performance was in intergenerational equity and sustainability, while slower employment growth remained a concern.

2. Social Progress Index (SPI) – Measures social development through:

   • Basic human needs
   • Foundations of wellbeing
   • Opportunity

   India ranked 110th out of 169 countries. Significant differences exist among states, with Puducherry performing strongly and Jharkhand and Bihar among the lowest-performing states.

3. Global Slavery Index (GSI) – Measures the prevalence of modern slavery, including forced labour, forced marriage, debt bondage, and human trafficking. The 2023 report estimated around 50 million people were living in modern slavery globally, with India ranked 53rd among 167 countries.

Conclusion

While historically societies have tended to be more and more unequal, the 20th century and early 21st centuries have experienced a period in which there has been relatively more equality. However, the findings representing that India is claiming growth in GDP rate, life expectancy where our Inclusive Development Index (IDI) is too much lower for the reason behind poor performance in the pillars i.e. Growth and Development and Inclusion. Similar to GDP, IDI measures the level and rate of improvement in socio-economic progress and is a significant factor to consider when analyzing India’s standing in the World.Hence, it is clear that globally societies have decided to address access issues, reduce inequalities, and promote more inclusive and sustainable societies through the adoption of the Sustainable Development Goals. However, India needs inclusive growth for enhancing economic growth as well as human development. For ensuring inclusive growth, the government must increase investment on education, health, rural areas, rural infrastructure, agricultural development and promoting rural employment through social safety net, policies, programmes and schemes.

References

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Copyright

Copyright © 2026 Miss. Manaswini Acharya. This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.