India Emerges as the Most Resilient Economy, Set to Become 4th Largest by 2026: PHDCCI
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Synopsis
India is projected to be the most resilient economy among the top 10 globally, becoming the fourth largest by 2026, according to the PHD Chamber of Commerce and Industry. Significant GDP growth and robust economic fundamentals underpin this forecast.
Key Takeaways
- India will be the most resilient economy in the top 10.
- Projected GDP growth of 6.8% in 2024-25.
- GDP to surpass $4 trillion by 2025.
- India ranks first in GDP growth among top economies.
- Ambitious target of $2 trillion exports by 2030.
New Delhi, Jan 15 (NationPress) India is poised to be the most resilient economy among the top 10 global leaders over the next three years (2025-2027), set to rise to the fourth largest economy by 2026, as noted by the PHD Chamber of Commerce and Industry (PHDCCI) on Wednesday.
The nation is making remarkable progress in its forward-looking growth path, with a projected GDP growth of 6.8 percent for the current financial year (2024-25) and 7.7 percent for FY2025-26.
India’s economic narrative remains strong, with GDP expected to exceed $4 trillion by 2025, fueled by solid economic fundamentals and a vibrant business landscape.
The five key economic indicators underline the overall strength of the economy, including GDP performance, the resilience of the external sector as reflected in export trends, structural saving and investment indicators, and fiscal consolidation efforts illustrated by the debt-to-GDP ratio, as per an analysis from the PHD Research Bureau.
“With the Indian economy exhibiting remarkable resilience over the past three years, it is projected to become the fourth largest economy globally by 2026, surpassing Japan,” stated PHDCCI President Hemant Jain.
India has achieved the top position in GDP growth during past performance (2022-2024) and in future outlook (2025-2027) among the top 10 economies, according to the industry body.
“The country is set to lead in export growth among the top 10 economies for the future outlook (2025-2027), improving from its second place in past performance (2022-2024), which supports India’s ambitious target of $2 trillion exports by 2030,” highlighted the PHDCCI.
India is also expected to sustain a steady momentum in investments and savings, estimated at around 33 percent and 32 percent of GDP, respectively.
The nation reached a significant milestone in its FDI journey in 2024, with cumulative FDI inflows from 2000-2024 touching $1 trillion and exceeding $40 billion in the first half of the current financial year (2024-2025).
Despite a challenging global economic outlook and ongoing geopolitical issues, the economy remains resilient.
“In light of this challenging external environment, India’s geopolitical importance is increasingly recognized, garnering praise from international institutions,” Jain remarked.
