“Forget China. Forget Singapore. Forget Brazil and Russia. If India becomes as prosperous as Delhi, we’ve got it made,” wrote Nidhi Nath Srinivas, a columnist for the Economic Times, one of India’s leading pink broadsheets, in a paean to the country’s capital last October.

The life of the Dilliwallah, Srinivas went on, is the stuff of dreams for most Indians: He earns three times what the average Indian earns. His income grows by an inflation-beating 14 percent. He spends more on entertainment than he does on healthcare. And he is increasingly likely to be a she.

Indeed, male or female, sari- or suit-wearing, the average denizen of Delhi, a house-owning, car-driving, fashion-conscious urbanite, embodies much of what the rest of the country aspires to be and is quickly becoming: middle class. According to India’s National Council for Applied Economic Research, between 1995 and 2005 the number of Indians considered to be middle class (by developing world standards) rose from 18 percent of the country’s total population to 41 percent.

In 2007, India had more mobile phone users than did the United States. With the recent arrival of the “Nano,” the $2,500 car designed by the giant Indian automaker Tata, it’s soon to have more drivers, too (Tata predicts a million new Nanos will fill India’s roads every year.). Yet, while consumer goods are easy identifiers, a better measure of middle class, say economists, is higher education. And here, too, India posts big numbers: Every year, the country’s 18,000 colleges and 348 universities produce a staggering 2.5 million graduates. Approximately 400,000 of those are engineers, many of whom go on to fill the ranks of IT firms like Infosys, the first Indian company to be listed on the NASDAQ-100, or one of the many multinationals with headquarters in the country. An additional 80,000 Indians go on to enroll in American universities, compared to just 65,000 Chinese.

It’s that kind of investment in human capital that has allowed entrepreneurship to flourish in the country’s biggest cities, the massive, money-making engines responsible for one of the world’s most remarkable economic transformations. What began with the liberalization of the economy in 1991 has resulted, almost two decades later, in a flood of foreign direct investment, with firms like Sony, GE, IBM and Dell, among others, setting up office parks around the capital. Often heralded as the “next economic superpower,” India is undeniably ascendant. And Delhi — bustling and beautiful, ancient and new — is, as ever, leading the way.

From 1060, when a Rajput clan called the Tomars founded Lal Kot (the first “official” Delhi) to 1931, when King George V’s new British imperial capital was finally complete, the city has been a seat of power and a center of wealth. The result today is a Delhi divided. To the north: chaotic Shahjahanabad — Old Delhi — once the capital of Islamic India, where sites including the imposing Red Fort and Jama Masjid rise above labyrinthine streets crowded with pedicabs and cattle. To the south: the radial boulevards and Versailles-like estates of a bygone British Raj, an orderly zone with the city’s biggest commercial center, Connaught Place, at its core.

Until recently, the “CP,” as it is known, had grown dirty and derelict, a ghost of its glitzy colonial past, when the best of everything from food to jewelry could be found within its white stucco walls. But now it’s back — full of trendy restaurants and hip bars, art galleries and chain cafés — because it isn’t only the Indian middle class that’s getting bigger. According to the 2008 CapGemini Merrill Lynch Asia Pacific Wealth Report, the number of Indians with assets in excess of $1 million went up over the past year by 22 percent, to 167,000, more than in any other Asian country. And while Mumbai may be more fashionable, nowhere do India’s elite spend their rupees more lavishly than in New Delhi. As of last f all, luxury retailers — Hermès, Cartier, Louis Vuitton, Armani, Versace and Christian Dior, among others — had all announced plans to launch their first Indian boutiques in the country’s capital, even as the global recession was taking hold.

Of course, “recession” is a relative term. For the United States and Europe, it means spiraling unemployment, plummeting sales and a consumption-killing credit crunch.

But for India, say analysts, it means 7.1 percent growth — only a bit less sizzling than the country’s average over the past five years. And Delhi, in particular, could weather the crisis rather well, thanks in large part to an economy that isn’t dependent on financial services or exports to the United States, but rather on telecommunications, construction, media, tourism and, of course, information technology. In a nod to the city’s strength in the latter, the Massachusetts Institute of Technology held its prestigious EmTech conference in New Delhi last March, marking the first time the conference took place outside the United States.

Manufacturing accounts for close to a quarter of Delhi’s gross domestic product, and its retail industry, India’s largest, has given rise to new Western-style megamalls in its sprawling suburbs. Wal-Mart, in collaboration with Indian-owned Bharti Enterprises, plans to open hundreds of Wal-Mart-branded superstores across India over the next three years, including several in Delhi. Meanwhile, Carrefour, the world’s second-largest retailer, is in talks with India’s Future Group to do the same, paving the way for what could be a major transformation of the enormous Indian retail industry.

Delhi itself is being transformed as well. Almost a century after King George V declared it the new capital of British India, the city of 15 million is set to host the 2010 Commonwealth Games. The multi-sport event, involving some 5,000 athletes from 53 nations, has never before been held in India, and the government is spending $15 billion in preparation: expanding the Delhi Metro from its current 40 miles of track to nearly 120; adding a new $1.93 billion terminal to Indira Gandhi International Airport (IGI), one of South Asia’s busiest, with capacity for another 34 million annual passengers; and installing a new state-of-the-art Intelligent Traffic System for live monitoring of vehicular flow.

LODGING

THE ASHOK, NEW DELHI
India’s first 5-star hotel, the 550-room Ashok is set on 25 verdant acres in the hushed Diplomatic Enclave and features the city’s largest convention hall.$$
THE ASHOK, NEW DELHI
50-B Chanakayapuri
tel 91 11 2611 0101
www.theashok.com

THE OBEROI, NEW DELHI
Delhi’s premier business hotel, the sleek, superbly run Oberoi is nestled between the exclusive Delhi Golf Club and Humayun’s Tomb. $$$$
THE OBEROI, NEW DELHI
Dr. Zakir Hussain Marg
tel 91 11 2436 3030
www.oberoidelhi.com

THE SHANGRI-LA, NEW DELHI
This new luxury hotel features 320 guestrooms with contemporary Asian furnishings, convenient to shopping at Connaught Place.$$$$
THE SHANGRI-LA, NEW DELHI
19 Ashoka Road
tel 91 11 4119 1919
www.shangri-la.com

DINING

BUKHARA
Rated in the top 50 worldwide by Restaurant Magazine, Bukhara serves up “frontier cuisine” (kebab) cooked in a traditional tandoor (clay oven).$$
BUKHARA
Maurya Sheraton Hotel, Sadar Patel Marg
tel 91 11 2611 2233

THE SPICE ROUTE
Kerala temple artists painted its antique pillars. Don’t miss the tom kha kai, spicy lemon grass chicken in coconut milk.$$
THE SPICE ROUTE
1 Janpath
tel 91 11 2334 1234
www.theimperialindia.com

TAI PAN
Delhi’s finest Chinese restaurant, housed in the Oberoi, has a special dim sum menu. Try Peking duck steamed in lotus leaves. $$$
TAI PAN
Dr. Zakir Hussain Marg
tel 91 11 2436 3030
www.oberoidelhi.com

DIVERSIONS

Given Delhi’s myriad monuments, your “to do” list could be as long as the Chandni Chowk, the bustling boulevard that cuts through the urban equivalent of whitewater rapids in the congested center of Shahjahanabad (Old Delhi). And that’s exactly where it should start.

Take a morning tour of the Red Fort, where the street begins. Arguably the greatest legacy of India’s mighty Mughal rulers, the fort, a UNESCO World Heritage site, was constructed by Emperor Shah Jahan in 1639. It’s here, on August 15 of every year, that the prime minister addresses the nation with an Independence Day speech, a tradition dating back to 1947. Just outside the fort, look for the rickshaw drivers offering rides down the Chandni Chowk. The trip through the twisting lanes and colorful bazaars is well worth the $3 or $4 — although some drivers may well want to bargain for more — and delivers you at the 39 steps of the Jama Mosque, India’s largest and another of Shah Jahan’s colossal contributions.

Although Delhi is often thought of as a doorway to more enticing places — namely Jaipur and Rajasthan and the must-see Taj Mahal — there are treasures in the capital itself that no visitor should miss. Chief among them is Humayun’s Tomb, also a UNESCO World Heritage site and the architectural inspiration for the Taj, built six decades later. Located in the tranquil Nizamuddin East, the tomb, recently renovated to the tune of $650,000, offers a respite from the city’s relentless crush amid grassy lawns and lush gardens — just one of the city’s many green spaces.

Another can be found in the magnificent Lodi Gardens, a sprawling park with groves of exotic trees, stands of bamboo, rolling lawns and a classical English rose garden. There are two magnificent tombs here as well — those of the 14th-century Mughal emperors Muhammed Shah and Sikander Lodi — but the best part is the soundtrack: all variety of birdsong broadcast around the clock.

Once you’ve restored your hearing and had your fill of ancient ruins, head for the lavish DLF Emporio Mall (tel 91 11 4611 6666, www.dlfemporio.com) in the Vasant Kunj suburb, where India’s first luxury boutiques have opened their doors. All Italian marble and burnished wood, the new five-floor complex features 34 of India’s top designers as well as more than 70 international labels, including Dolce & Gabbana, Cartier, Louis Vuitton and Armani.

Checking In with Sidharth Bodwal

Chief Information Officer of India Tourism

WHAT ARE NEW DELHI’S BIGGEST SELLING POINTS AS A DESTINATION FOR BUSINESS TRAVELERS?

From the arches and domes of historical monuments to modern commercial centers, New Delhi has evolved into a city-of-the-future while still preserving its unique flavor and style. More than just a bureaucratic base, the city is in the process of becoming a business hotspot.

As the seat of government, Delhi attracts a large number of multinationals, both manpower and brainpower. A growing number of technologybased industries are setting up shop here, and opportunities in every field are on the rise. With most of the international airlines based in the city, Delhi is well connected within and outside the country. Delhi also boasts the largest media base, with the headquarters of all of the top newspapers and TV stations.

DELHI WILL PLAY HOST TO THE 2010 COMMONWEALTH GAMES. HOW IS THE CITY PREPARING FOR THE BIG EVENT?

India’s capital is being transformed as it prepares for the biggest sporting event in its history. The aim is to transform the capital into a “world-class city” by the 2010 deadline. Stadiums for various sports events are currently under construction. The city metro and airport are undergoing massive expansions. And security, which is of utmost importance, is being overhauled. We are seeking the active participation of citizens to make it a big success. For example, the government has initiated a course to prepare college students as guides for the thousands of new visitors. And to make up for a shortage of accommodations, there is a new Bed & Breakfast Program that allows accredited homeowners to rent out their rooms to foreign visitors.

RETAIL IS ONE OF DELHI’S BIGGEST INDUSTRIES. TELL OUR READERS ABOUT THE NEW MALL OF INDIA.

The Mall of India will be located on NH-8 highway on the border of Delhi and Gurgaon, a satellite city of the capital. Due to open by late 2009, the mall will cover an area of 4,500,000 square feet, making it the largest mall ever built in India. It will have a built-up area of 6 million square feet on a 32-acre spread with parking space for approximately 10,000 cars. A major new landmark, the mall will no doubt give rise to future real estate projects in the area.

INFO TO GO

International flights arrive at Indira Gandhi International Airport (DEL). The 13-mile taxi ride from the airport to the city center costs about $6 with EasyCabs, the city’s biggest taxi company. Visit www.tourism-delhi.com.