Has India risen to become the world's 4th largest economy under PM Modi's guidance?
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Synopsis
In a remarkable turnaround, India has transitioned from the tenth largest economy to the fourth largest in just 12 years under PM Modi's leadership. Union Minister Scindia highlights India's ambitious growth trajectory and encourages young entrepreneurs to capitalize on the burgeoning startup ecosystem. Discover how India is poised to become the third-largest economy by 2027!
Key Takeaways
- India is now the fourth largest economy globally.
- Surpassed Japan in economic ranking.
- Forecasted to become the third largest economy by 2027.
- Tech startups raised $10.5 billion in 2025.
- Focus on young entrepreneurs and innovation.
Indore, Dec 20 (NationPress) India, which held the position of the tenth largest economy globally twelve years ago, has now ascended to the fourth largest economy under the stewardship of Prime Minister Narendra Modi, as stated by Union Minister Jyotiraditya M. Scindia on Saturday.
Addressing the Young Entrepreneurs Forum Summit 2025 here, the Union Communication Minister highlighted that India has overtaken Japan to secure its place as the fourth-largest economy and anticipates becoming the third largest by 2027, surpassing Germany.
Scindia expressed his enthusiasm about interacting with motivated, fearless young entrepreneurs who are crafting a New Bharat.
“During the Young Entrepreneurs Forum Summit 2025, I urged all those with the D Factor - the Dreamers, Doers & Disruptors - to utilize the remarkable startup ecosystem fostered by PM @narendramodiji to create courageous enterprises and enduring legacies aimed at nation-building and Janseva,” Scindia remarked on his X handle.
“The world is your oyster… seize it with the right intentions at heart,” he added.
Earlier, a report from market research firm Tracxn indicated that India’s tech startups garnered $10.5 billion in 2025, positioning the nation third globally in terms of funding, ahead of China and Germany.
This achievement is significant despite a 17 percent decline from $12.7 billion in 2024 and a 4 percent decrease compared to $11 billion raised in 2023.
According to the report, India was only surpassed by the US and the UK, as the tech ecosystem recorded 14 funding rounds exceeding $100 million, compared to 19 rounds in 2024. Major deals were primarily driven by the Transportation and Logistics Tech, Environment Tech, and Auto Tech sectors, with companies securing substantial capital.
Moreover, early-stage funding in India’s tech sector rose to $3.9 billion, marking a 7 percent year-on-year increase. In contrast, late-stage funding fell to $5.5 billion, a 26 percent decrease from 2024 levels, while seed-stage funding moderated to $1.1 billion.
Point of View
This milestone reflects India's remarkable economic progress under PM Modi's leadership. The focus on entrepreneurship and innovation reinforces the country's commitment to a robust economic future. With significant investments in technology and a thriving startup ecosystem, India is paving the way for sustainable growth and development, showcasing the potential of its young population.
NationPress
20/12/2025
Frequently Asked Questions
What is India's current economic rank?
India is currently the fourth largest economy in the world, having surpassed Japan.
What does the future hold for India's economy?
By 2027, India is expected to become the third largest economy, overtaking Germany.
How much funding did India's tech startups raise in 2025?
In 2025, India's tech startups raised $10.5 billion, ranking the country third globally in funding.
What sectors are driving funding in India?
The Transportation and Logistics Tech, Environment Tech, and Auto Tech sectors are primarily driving funding.
What is the significance of the Young Entrepreneurs Forum Summit?
The summit serves as a platform for young entrepreneurs to engage and innovate, promoting growth in the startup ecosystem.
