Business
Top 10 Economies in the World (2025, Nominal GDP)
India has achieved a significant milestone by overtaking Japan to become the world’s fourth-largest economy in 2025, as confirmed by the International Monetary Fund (IMF) and NITI Aayog. With a nominal GDP of approximately $4.19 trillion, India now trails only the United States, China, and Germany in global economic rankings.
Top 10 Economies in the World (2025, Nominal GDP)
| Rank | Country | GDP (USD Trillions) |
|---|---|---|
| 1 | United States | 30.5 |
| 2 | China | 19.2 |
| 3 | Germany | 4.74 |
| 4 | India | 4.19 |
| 5 | Japan | 4.19 |
| 6 | United Kingdom | 3.84 |
| 7 | France | 3.21 |
| 8 | Italy | 2.42 |
| 9 | Canada | 2.23 |
| 10 | Brazil | 2.13 |
Factors Fueling India’s Economic Ascent
Several key elements have propelled India’s rise to the fourth position:
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Robust GDP Growth: India continues to be the world’s fastest-growing major economy, with projections indicating over 6% growth in the coming years.
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Demographic Dividend: A youthful population contributes to a dynamic workforce and burgeoning consumer market.
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Policy Reforms: Initiatives like ‘Make in India’ and infrastructure development have enhanced the business environment.
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Service Sector Expansion: The IT and BPO sectors remain significant contributors to GDP.
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Manufacturing and Exports: Growth in manufacturing and exports has bolstered economic performance.
Future Outlook: Eyeing the Third Spot
NITI Aayog CEO B.V.R. Subrahmanyam anticipates that India could surpass Germany to become the third-largest economy within the next 2.5 to 3 years, provided current growth trajectories continue.
Conclusion
India’s elevation to the fourth-largest economy underscores its growing influence in the global economic landscape. With sustained growth and strategic reforms, India is poised to climb even higher in the coming years.