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India Becomes World’s Fourth-Largest Economy and Aims for $30 Trillion by 2047

Demographic strength fueling consumption is supported by infrastructure spending aimed at accommodating rapid urbanization

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Overview

  • India’s GDP reached $4 trillion in FY25, propelling it past Japan into fourth place globally with 6.5% annual growth and a 7.4% expansion in the January–March quarter.
  • The Reserve Bank of India is expected to cut its repo rate in June to bolster domestic demand amid sustained growth.
  • G20 Sherpa Amitabh Kant projects the economy will approach $30 trillion by India’s centenary in 2047.
  • With a median age of 28, India’s youthful workforce offers a lasting demographic dividend compared with aging major economies.
  • Authorities plan to build 500 new cities and expand to 400 airports, while urging Indian carriers to compete internationally with wide-body aircraft.