India has achieved another historic milestone. NITI Aayog CEO, BVR Subramaniam, announced that India has become the world's fourth-largest economy, surpassing Japan, which had held the position for a considerable time.
World's Largest Economy: India has achieved another significant economic feat. NITI Aayog CEO BVR Subramaniam confirmed that India is now the world's fourth-largest economy, overtaking Japan. This achievement is a result of the country's economic reforms, investor confidence, and robust growth rate.
IMF and Fitch Reports Confirm the Advancement
Subramaniam shared this information following the 10th Governing Council meeting of NITI Aayog. He stated that India's economy has now surpassed the $4 trillion mark. This means only the USA, China, and Germany are ahead of India. He also indicated that within the next two and a half to three years, India could surpass Germany and become the third-largest global economy.
Recent data from the International Monetary Fund (IMF) clearly shows India surpassing Japan economically. Meanwhile, Fitch Ratings has also highlighted the stability and strength of India's growth rate. Fitch projects India's average annual growth rate to remain at 6.4% until 2028, exceeding its previous estimate of 6.2%. These figures reflect India's economic potential and resilience.
India's Growing Dominance on the Global Stage
A United Nations (UN) report also cited India's economic growth as the fastest in the world. According to the report, India's economy will grow at a rate of 6.3% in 2025, while China is projected to grow at 4.6%, the USA at 1.6%, Japan at 0.7%, and Europe at only 1%. Germany's economy is even anticipated to decline by 0.1%. This clearly demonstrates that India is not only an emerging economy but is also becoming a major global economic power.
Asset Monetization to Strengthen the Government
The NITI Aayog CEO also mentioned that the government is about to launch a second wave of asset monetization. Under this initiative, the government will lease or sell its assets. This will provide the government with economic resources that will be invested in infrastructure development and social schemes. This strategy will further strengthen India's growth story.
India has become a major manufacturing hub for global companies. While countries like the USA are encouraging companies to manufacture domestically, India's lower manufacturing costs and skilled workforce have provided it with a significant advantage under the 'Make in India' initiative. According to NITI Aayog, manufacturing in India is cheaper than in other developed countries, leading to increased investment.
India's rapidly growing economy is also significantly driven by young entrepreneurs, startups, and technological innovations. Digital transactions, online services, and technology startups in the country have created new business opportunities, boosting both employment and production.
