India’s Economy Gains Strong Momentum, Report Says Country Set To Become World’s 3rd Largest Economy Soon

New Delhi: India is moving closer to becoming the world’s third-largest economy, according to the Bharat Progress Report 2025-26 released by NXT Foundation.

The report highlights the country’s rapid economic and technological progress over the past year. It notes that India achieved around 101 major milestones across sectors such as digital public infrastructure, highways, railways, space technology and renewable energy.

These developments are helping India move towards its long-term goal of becoming a developed nation.

India Becomes Fourth-Largest Economy

The report says India became the world’s fourth-largest economy in 2025, overtaking Japan.

India’s nominal GDP reached around $4.18 trillion during the year. With a strong economic growth rate of about 8.2 per cent, the country continues to be the fastest-growing major economy in the world.

Based on this momentum, the report states that India is on track to soon become the third-largest economy globally.

Strong Economic Indicators

Several key economic indicators reflect the country’s strong growth.

Goods and Services Tax collections reached a record ₹2.17 lakh crore in April 2025. The mutual fund industry also crossed ₹80 lakh crore in assets under management.

Foreign direct investment into India has also grown significantly. According to the report, total FDI inflows have crossed $1.15 trillion, showing strong global investor confidence in the Indian economy.

Digital Infrastructure Expands Rapidly

India’s digital public infrastructure has also seen massive growth. The country’s digital payment system Unified Payments Interface recorded monthly transactions of more than ₹21 lakh crore.

Meanwhile, authentication through Aadhaar crossed one billion transactions.

These digital systems have helped improve financial inclusion and made government services easier and more transparent for citizens.

Infrastructure and Technology Milestones

India has also achieved important milestones in infrastructure development.

The country completed the Chenab Rail Bridge, which is the world’s highest railway arch bridge. At the same time, the expansion of Vande Bharat Express trains has improved high-speed rail connectivity.

India also expanded its national highway network, improving logistics and reducing transportation costs.

Progress in Space and Clean Energy

In the space sector, Indian Space Research Organisation successfully conducted the Space Docking Experiment (SpaDeX), demonstrating in-orbit docking technology.

India also achieved a major milestone in renewable energy. The share of non-fossil fuel power capacity crossed 50 per cent, five years ahead of the country’s 2030 target.

According to the report, these achievements show that India is emerging as a major driver of global economic growth.

Published on: Sunday, March 15, 2026, 05:32 PM IST