Rapid Fire
India Becomes World’s 4th Largest Economy
- 27 May 2025
- 2 min read
At the 10th NITI Aayog (National Institution for Transforming India) Governing Council Meeting, NITI Aayog CEO announced that India has overtaken Japan to become the world’s 4th largest economy, with its GDP crossing USD 4 trillion.
- India remains the world’s fastest-growing major economy and is the only country projected to grow over 6% annually for the next two years.
- This sustained growth is expected to raise India’s Gross Domestic Product (GDP) to USD 5.58 trillion by 2028, enabling it to surpass Germany and become the third-largest economy globally.
- Earlier, the International Monetary Fund (IMF) in its 2025 World Economic Outlook Report projected that India would become the fourth-largest economy in 2025 with a nominal GDP of USD 4.187 trillion, overtaking Japan’s USD 4.186 trillion.
- NITI Aayog: NITI Aayog was established on 1st January 2015 as the successor to the Planning Commission of India.
- It was created to serve as the premier policy think tank of the Government of India, focusing on inclusive and sustainable development through cooperative federalism and a bottom-up approach.
- The Prime Minister of India serves as the Chairperson, while the Vice-Chairperson is appointed by the Prime Minister.
- The Governing Council comprises the Chief Ministers of all States and the Lieutenant Governors of Union Territories, ensuring representation from across the country.
| Read more: 2025 World Economic Outlook Report |
