India overtakes Japan to become world’s 4th largest economy: NITI Aayog CEO https://ddnews.gov.in/en/india-overtakes-japan-to-become-worlds-4th-largest-economy-niti-aayog-ceo/ The International Monetary Fund (IMF), in its World Economic Outlook report released earlier this month, stated that India is set to become the fourth-largest economy in 2025. India’s nominal GDP is projected to rise to $4,187.017 billion, surpassing Japan’s estimated $4,186.431 billion.
India continues to be the world’s fastest-growing major economy and is the only country expected to record over 6% growth over the next two years.
This rapid growth is expected to push India’s GDP to $5,584.476 billion by 2028, enabling it to overtake Germany and become the third-largest economy.
Germany, meanwhile, is projected to see no GDP growth in 2025, followed by a modest 0.9% in 2026. The country is anticipated to be among the hardest hit in Europe due to the ongoing global trade war. Its GDP is forecast to reach $5,251.928 billion by 2028.
Japan is also expected to suffer due to the trade war, with its economic growth stagnating at 0.6% in both 2025 and 2026.
The United States, which remains the world’s largest economy, is projected to have a GDP of $30,507.217 billion in 2025, followed by China at $19,231.705 billion.
However, the US—widely viewed as the catalyst of the current global tariff tensions—is expected to see its GDP growth slow to 1.8% in 2025, and further to 1.7% in 2026, according to the IMF.
The Euro Area is projected to grow by just 0.8% in 2025, with a mild recovery to 1.2% in 2026. France is forecast to post growth rates of 0.6% and 1% for those two years, respectively.