According to a report from the State Bank of India’s Economic Research Department, India is projected to become the world’s third-largest economy by fiscal year 2027-28. The economists at SBI credited India’s progress since 2014 and estimated that India would achieve this status based on actual GDP data as of March 2023.
The report highlighted that India is expected to add USD 0.75 trillion every two years, indicating that India could reach USD 20 trillion by 2047. The country’s global share in GDP is predicted to surpass 4% by 2027, reflecting a significant improvement from its tenth position in 2014 and two years earlier than their previous forecast of 2029.
At the current rate of growth, India is likely to surpass both Japan and Germany in terms of economic size in 2027. Remarkably, India’s incremental increase from 2022 to 2027 will exceed the current size of Australia’s economy, which stands at USD 1.8 trillion.
The report also predicts that at least two Indian states, Maharashtra and Uttar Pradesh, will surpass the USD 500 billion mark in 2027 (or FY28) when India achieves its third place in the global economy.
