India Matches Historic Growth Streak to Target Fourth-Largest Economy

India has recorded five consecutive years of economic growth exceeding 7 per cent, matching a previous historic streak from 2003-2007. Between 2021 and 2025, the country maintained an average annual growth rate of 7.83 per cent, marking the second-highest five-year average since 1960.

Economist Kyunghoon Kim noted that while the growth rate matches the 2003-2007 period, the scale of the economy has changed significantly. India's GDP has expanded from approximately $1 trillion in 2007 to nearly $4 trillion today, meaning the same percentage of growth now represents a much larger absolute expansion.

Global financial institutions, including the International Monetary Fund, the World Bank Group, and the Asian Development Bank, have raised their growth forecasts for India to above 7 per cent for the current and following year. The International Monetary Fund further projects that India will overtake Japan in nominal GDP terms to become the world's fourth-largest economy by 2027, with an estimated value of $4.5 trillion.