India to Surpass Japan and Germany to Become Third-Largest Economy By 2027. Report

India: According to a Morgan Stanley research, India will overtake Japan and Germany to become the third-largest economy by 2027. By 2030, the nation is expected to have the largest stock market thanks to significant investments in both technology and energy.

With a potential GDP growth of over 20% from its current level of $3.5 trillion to over $7.5 trillion by 2031

The paper claims that India has the fastest-growing economy in the world, with a potential GDP growth of over 20% from its current level of $3.5 trillion to over $7.5 trillion by 2031.

Over that time, India’s export share might also treble, and the Bombay Stock Exchange could experience 11% annual growth, with a market cap of $10 trillion in the next ten years.

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Figures will increase to more than $500 billion

From 2023 on, India will be one of only three nations in the world that can produce more than $400 billion in annual economic production growth, according to Chetan Ahya, chief economist for Asia at Morgan Stanley. After 2028, he added, the figures will increase to more than $500 billion.

Global offshore, digitalization, and the energy revolution are three megatrends that have been linked to India’s economic growth.
Ridham Desai, managing director of Morgan Stanley India, stated that the country is poised to transform into a factory and an office for the world during the most recent India Today Conclave, which was hosted in Mumbai. He claimed that the belief that India’s GDP will probably double in the next ten years is the result of four major trends that are currently dominating the global scene.

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According to Desai, “These trends are demographic problem (ageing population), de-globalisation, disruption due to digitalisation and decarbonisation because the world is obsessed with climate change. India is probably the only country in the world benefitting from these four trends.”

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