Daily Current Affairs / India Becomes World’s Fourth-Largest Economy, Growth Momentum Strong
Category : Business and economics Published on: January 02 2026
India has emerged as the world’s fourth-largest economy with a nominal GDP of $4.18 trillion, overtaking Japan. Strong economic momentum continues, with real GDP growing 8.2% in Q2 FY 2025–26, a six-quarter high, driven by robust domestic demand, industrial output, and services growth. Policy reforms, stable inflation, and strong investment conditions prompted the RBI to raise its FY 2025–26 growth forecast to 7.3%, reinforcing optimism about India’s sustained growth trajectory.