The Government of India announced that the country has overtaken Japan to become the fourth-largest economy in the world, based on the latest national accounts data. This milestone reflects India’s robust economic growth and expanding share in the global economy. The achievement comes as India continues to register strong performance across sectors such as services, manufacturing, and consumption, bolstering overall economic output.

Key Highlights

• India overtakes Japan to become the world’s fourth-largest economy, reflecting sustained growth momentum.
• Government cites strong domestic demand, reforms, and investment as key drivers behind economic expansion.

According to official figures, India’s gross domestic product (GDP) has risen significantly, propelling the nation ahead of Japan in global rankings. The government highlighted that this shift underscores the resilience of the Indian economy amid a complex global environment, sustained investment activity, and domestic demand momentum.

Officials have attributed the acceleration to policy reforms, enhanced infrastructure development, and an improving business climate that has attracted both domestic and foreign investment. India’s demographic advantage, coupled with technological adoption and expanding digital services, has also contributed to the expanded economic footprint.

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While India’s per capita income remains lower compared to several advanced economies, the move past Japan in GDP terms is being seen as a landmark development in the country’s growth narrative. The government has reiterated its commitment to further strengthening economic fundamentals, with an aim to sustain high growth rates in the coming years.