India's Economic Surge: On Track to Become Third-Largest Economy by 2028

India is projected to become the world's third-largest economy by 2028, driven by consumer market growth and global output share. By expanding to USD 5.7 trillion, India will surpass Germany. Morgan Stanley attributes this growth to population rise, improved infrastructure, and macro stability, forecasting varied scenarios up to 2035.

India is set to become the world's third-largest economy by 2028 as it emerges as a leading consumer market and gains in global output share, according to Morgan Stanley. This growth is underpinned by macro stability-focused policies and infrastructural improvement.

From a USD 3.5 trillion economy in 2023, projections show that India's economy will grow to USD 4.7 trillion by 2026. By 2028, India is expected to leapfrog Germany, reaching a GDP of USD 5.7 trillion.

Citing factors such as a burgeoning population, macroeconomic stability, and improved infrastructure, Morgan Stanley predicts India will become a highly sought-after consumer market. It anticipates domestic demand and policy support to be key growth drivers in coming years.

(With inputs from agencies.)