Strong GDP Growth Pushes India Past Japan, Germany in Sight
India Hits a Milestone: India has achieved a major economic milestone, officially becoming the world’s fourth-largest economy. According to the latest government data, India’s economy has surpassed Japan’s.
The data shows India’s Gross Domestic Product (GDP) now stands at $4.18 trillion. This leap forward puts Germany’s third-place position firmly in India’s sights, with analysts predicting it could become the third-largest economy by 2030. Currently, the United States and China hold the top two spots.
Economy Grows at a Rapid 8.2% Pace
A key driver of this rise is robust economic growth. India’s real GDP grew by 8.2% in the second quarter of the 2024-25 financial year. This is an acceleration from the 7.8% growth seen in the first quarter and solidifies India’s position as the world’s fastest-growing major economy.
This performance shows the economy’s resilience and strong momentum despite global uncertainties.
Global Agencies Back India’s Growth Story
The growth is largely fueled by strong private consumption and domestic demand. The government notes that unemployment is trending down and inflation remains under control.
International institutions like the World Bank, IMF, and Moody’s have also expressed positive outlooks for India. The Asian Development Bank recently raised its 2025 growth forecast for India to 7.2%.
The Road Ahead: Targeting a $7.3 Trillion Economy
With strong credit flow and rising urban consumption, experts believe India could become a $7.3 trillion economy within the next 2-3 years, cementing its place as the third-largest.
This aligns with India’s broader goal of becoming a high middle-income country by 2047, the 100th year of its independence.
