World Economic Forum President and CEO Børge Brende has declared that India is set to become the world’s third-largest economy by the end of 2025, overtaking Japan, and placing it behind only the United States and China. This projection, coming from one of the world’s most influential economic bodies, has put the global spotlight firmly on India’s meteoric rise — a transformation from economic fragility to formidable global force.
“In the last quarter, India delivered 7.4 per cent GDP growth — better than expected,” Brende said in an exclusive conversation. “If this continues, India could reach the $5 trillion mark by the end of this year and surpass Japan to become the third-largest economy globally.”
From fragile five to global top three
Just a decade ago, India was listed among the “Fragile Five” — a group of emerging markets vulnerable to economic shocks. Today, it’s being hailed as the shining star of the global economy, demonstrating resilience, stability, and agility at a time when developed economies are struggling with inflation, recession fears, and geopolitical crises.
Brende’s remarks come against the backdrop of what he describes as the “most complex geopolitical environment since World War II.” In this setting, India has not only weathered the storm but surged ahead, becoming the engine of global growth.
$5 Trillion economy within reach
India’s economy, currently valued at around $3.9 trillion, is on an accelerated path to touch $5 trillion, thanks to:
- Manufacturing boom driven by Make in India and PLI schemes.
- Digital economy revolution powered by UPI, Aadhaar, and CoWIN infrastructure.
- Startup ecosystem with over 100 unicorns fueling innovation.
- Robust financial reforms improving ease of doing business and foreign investor confidence.
- Youthful workforce with 65 per cent of the population under age 35.
Global corporations like Apple, Foxconn, Tesla, Samsung, and others have deepened their footprint in India as a viable alternative to China in global supply chains.
The turnaround is no accident. Experts attribute this confidence to consistent macroeconomic policies, clean energy transition, infrastructure investments, and the political stability of the Modi government. “India today is not just a growth story, it’s a governance story,” said a senior WEF advisor. “Reforms are no longer just announced — they are executed.”
While Western economies are witnessing policy flip-flops and political turmoil, India has emerged as a stable, investor-friendly democracy, ready to lead the Global South and reshape the world order.
India’s journey has been punctuated by ground-level transformation: rural digitisation, welfare delivery at scale, massive infrastructure upgrades, and women-led entrepreneurship. All of this feeds into a macro narrative of inclusive growth. At a time when the world’s biggest economies are battling aging populations and stagnation, India’s young, tech-savvy demographic is creating consumption, innovation, and aspiration at scale.
WEF’s projection follows similar forecasts by the IMF, Morgan Stanley, Goldman Sachs, and S&P Global, all pointing to India as the fastest-growing major economy for the rest of this decade.
Brende’s comments reflect a wider global consensus that India is no longer a future hope — it is a present-day leader. The $5 trillion milestone will not just be symbolic. It will reposition India in global decision-making, increase its leverage in forums like G20, BRICS, Quad, and the UN, and make it a top investment destination for the next generation of global capital.
