(- Written by Mumtaz Afrin): - According to the World Economic Outlook database of the International Monetary Fund, India may overtake the United States and China as the third-largest economy in the next five years. The South Asian nation is most likely to surpass Germany and Japan and reach the position two years sooner than first anticipated, according to the IMF. According to the World Economic Outlook database, India may also pass the United Kingdom this year to become the fifth-largest economy.

According to the IMF's projections, India's per capita GDP will rise from $2,466 in 2022 to $3,652 in 2027. The IMF report stated that although India's current account deficit is considerable, it is not likely to explode and that inflation in India is high but not as high as it is in Germany and Japan. India's budgetary status is also secure because of its almost $550 billion in foreign exchange reserves. Additionally, the credit cycle is picking up and the banks are in a good position.

India surpassed the United Kingdom earlier in the January-March quarter of FY 2021–22 to become the fifth-largest economy. However, the IMF reduced India's GDP forecast from 7.4 percent in July to 8.2 percent in January, bringing it down to 6.8 percent in 2022. India saw 8.7% growth from April 2021 to March 2022.