NITI Aayog CEO BVR Subrahmanyam and Vice Chairperson Suman
Bery during a press briefing on NITI Council meeting, in New Delhi, Saturday,
May 24, 2025. (PTI Photo/Kamal Singh)
NEW DELHI — India has become the fourth largest economy in the world,
overtaking Japan, NITI Aayog CEO BVR Subrahmanyam has said.
Subrahmanyam said the overall geopolitical and economic
environment is favourable to India. "We are the fourth largest economy as
I speak. We are a USD 4 trillion economy as I speak," he said.
Citing IMF data, Subrahmanyam said India today is larger
than Japan. Till 2024, India was the fifth-largest economy in the world.
"It is only the US, China and Germany which are larger
than India, and if we stick to what is being planned and what is being thought
through, in 2.5-3 years, we will be the third largest economy,"
Subrahmanyam said.
The International Monetary Fund (IMF), in its World Economic
Outlook (WEO) report released in April had said that India is expected to be
the fourth largest economy in the world with a GDP of USD 4.19 trillion in
2025, ahead of Japan.
India's nominal GDP for 2025 (FY26) is expected to be USD
4.187 billion marginally more than the likely GDP of Japan which is estimated
at USD 4.187 billion, the IMF had said.
The IMF in its WEO report also said the Indian economy is
projected to grow at 6.2 per cent in 2025-26, slower than earlier estimated
rate of 6.5 per cent, due to escalated trade tensions and global uncertainty.
"For India, the growth outlook is relatively more
stable at 6.2 per cent in 2025, supported by private consumption, particularly
in rural areas," the IMF had said.
According to the report, the global growth is projected at
2.8 per cent in 2025, lower by 0.5 percentage points estimated earlier. In
2026, the global economy is estimated to grow at 3 per cent.
NITI Aayog approach paper titled "Viksit Rajya For
Viksit Bharat @ 2047' said from being considered a part of the 'fragile five'
economies of the world, India rose to become the top five economies of the
world in just a decade.
The World Bank defines high-income countries as those whose
annual per capita income is more than USD 14,005 (2024- 25). India has the
potential and aims to be a high-income country by 2047. The approach paper said
a Viksit Bharat @ 2047 will be a USD 30 trillion economy.
"It will have all the attributes of a developed country
with a per capita income that is comparable to the high-income countries of the
world today,; the paper said.
According to the paper, in order to achieve the goal of a
Viksit Bharat by 2047, an overall framework for strategic interventions and
reforms based on six key building blocks, with a total of 26 themes covered
across all the building blocks have been identified.
The six key building blocks are: Macro-Economic Goals and
Strategy; Empowered Citizens; A Thriving and Sustainable Economy; Technology
and Innovation Leadership; A Global Leader, Vishwa Bandhu; Enabling factors --
Governance, Security and Justice delivery. PTI BKS
Thanks and regards,
Bijay Kumar Singh
Senior Chief Correspondent The Press Trust of India
