India can continue comfortable growth if it pursues reforms. According to a new report by the OECD, economic growth in India could reach a sustainable rate of 10% a year and become more evenly distributed over India if the country pursues ambitious and wide-ranging reforms. In its first “Economic Study on India”, the OECD notes that the market-based reforms since the 1980s have helped reduce poverty, and annual average incomes are expected to double over the next decade. Economic growth is running at a sustainable 8% a year. The OECD says that India's success over the last two decades largely results from reforms that have seen the private sector securing a bigger presence by reducing state intervention in economic affairs. India will have to pursue reforms, particularly by increased discipline in public spending and reducing tax exemptions, to allow for more infrastructure development. GDP driven exports have risen spectacularly in this country and according to the OECD have almost tripled over the last two decades. Expansion of exports in information technology services exports is particularly high: in 2006, India was the 4th largest exporter in the world whilst in 2003 it only occupied 16 place. India is now the third economy in the world in real prices and purchasing power, behind the US and China. (I.L.)