Rapid Fire
India to Become Third Largest Economy by 2031
- 12 Mar 2024
- 1 min read
CRISIL, a major rating agency in India, forecasts the country's Gross Domestic Product (GDP) growth to be 6.8% in the next fiscal year (FY25).
- CRISIL expects India's economic growth to moderate slightly from the current fiscal year (FY24) due to factors like higher interest rates but still sees a healthy 6.8% growth for FY25.
- Over the next seven years, CRISIL predicts an average annual growth rate of 6.7%, potentially propelling India to become the world's third-largest economy by 2031, trailing behind the US and China.
- India, with a GDP size of USD 3.7 trillion, is currently the fifth largest economy in the world, after the US, China, Japan and Germany.
- The projected growth is expected to elevate India's per capita income (reach $4,500 by 2031), allowing it to reach upper-middle-income status by 2031.
- Crisil's India Outlook report projects that between fiscal 2025 and 2031, the size of the Indian economy will inch closer to the USD 7 trillion mark.
Read more: India's Economic Outlook
