India supersedes Japan as world's fourth-largest economy

KATHMANDU, MAY 7: India has overtaken Japan to become the fourth-largest economy in the world, according to the latest World Economic Outlook report. As per the report, India's GDP rose to $4.187 trillion in April, placing it just behind the United States, China, and Germany.

The United States remains the world's largest economy with a GDP of $30.507 trillion, followed by China at $19.231 trillion, and Germany at $4.744 trillion. India now holds the fourth position, while Japan is in fifth place with a slightly lower GDP of $4.186 trillion.

Last year, India had surpassed France to become the world’s fifth-largest economy. It was anticipated that India would climb to the fourth spot in the current fiscal year—a forecast that has now materialized. According to projections, India is expected to surpass Germany within the next three years to become the third-largest economy globally.

The International Monetary Fund (IMF) estimates that by 2028, India’s GDP will reach $5.584 trillion, while Germany’s GDP will be around $5.251 trillion. In fact, India is likely to become a $5 trillion economy by 2027.

Notably, India’s economy has doubled over the past decade—a growth rate unmatched globally. According to the IMF report, India’s GDP has grown by 105 percent over the last ten years, rising from $2.1 trillion in 2015 to approximately $4.3 trillion today.

In terms of national debt, India’s position is relatively stronger than that of the U.S. and China. India’s current debt stands at $712 billion, compared to $36.22 trillion for the United States and $2.52 trillion for China.