India Becomes World’s 4th Largest Economy; NITI Aayog CEO
India Becomes World’s 4th Largest Economy; NITI Aayog CEO
India has now emerged as the fourth-largest economy in the world, surpassing Japan, according to BVR Subrahmanyam, CEO of NITI Aayog. Citing recent data from the International Monetary Fund (IMF), Subrahmanyam announced during the 10th Governing Council Meeting of NITI Aayog that the Indian economy has reached a size of USD 4 trillion.
“We are now the fourth-largest economy globally. This is based on IMF data, not our internal figures,” he emphasized, adding that India has now overtaken Japan in terms of economic size.
Subrahmanyam also noted that India is on track to surpass Germany and become the third-largest economy within the next two to three years. Only the United States, China, and Germany currently stand ahead of India in terms of GDP.
According to the IMF’s World Economic Outlook report released in April, India’s nominal GDP is projected to reach approximately USD 4.187 trillion in the fiscal year 2026. This projection slightly exceeds Japan’s estimated GDP of USD 4.186 trillion for the same period.
India, which held the fifth position until 2024, has witnessed robust economic growth and is expected to continue this momentum. The IMF forecasts that India will remain the fastest-growing major economy over the next two years, with projected growth rates of 6.2% in 2025 and 6.3% in 2026—figures significantly higher than the global growth estimates of 2.8% and 3.0%, respectively.
Highlighting India’s long-term prospects, Subrahmanyam attributed the nation’s economic acceleration to its demographic advantage and proactive policy measures. He noted that the Prime Minister has urged all Indian states to draft long-term development plans to support the vision of a developed India by 2047.
