English हिन्दी
Connect with us

Latest world news

India overtakes Japan, set to challenge Germany for third-largest economy

India has overtaken Japan to become the world’s fourth-largest economy and is on track to challenge Germany for the third spot within the next three years.

Published

on

India overtakes Japan, set to challenge Germany for third-largest economy

India has overtaken Japan to become the world’s fourth-largest economy, marking a significant milestone in its economic journey. According to the government’s end-of-year economic review, India’s nominal gross domestic product has reached $4.18 trillion, placing it behind only the United States, China and Germany.

While the official confirmation will come in 2026 with the release of final annual GDP figures, international data already points in this direction. Projections indicate that India is on track to consolidate its position ahead of Japan in the current year.

India’s global economic standing improves

International projections show India continuing its upward trajectory. Estimates for 2026 place India’s economy at $4.51 trillion, marginally ahead of Japan’s projected $4.46 trillion. This strengthens expectations that India has effectively moved into the fourth position globally.

The government has said India is now poised to overtake Germany to become the world’s third-largest economy within the next two-and-a-half to three years. The economic review projects India’s GDP to reach $7.3 trillion by 2030, supported by strong domestic demand and ongoing structural reforms.

India first entered the top five global economies in 2022, when its GDP surpassed that of Britain, according to international financial data.

Growth continues despite global uncertainties

The government’s assessment comes at a time of global economic uncertainty. In August, Washington imposed steep tariffs on New Delhi over its purchases of Russian oil, adding pressure on trade and currency markets.

Despite these challenges, the review highlighted India’s economic resilience, stating that growth has remained strong amid persistent global trade uncertainties. The rupee touched a record low against the US dollar in early December after declining around five per cent in 2025, driven by concerns over trade relations and the impact of tariffs on exports.

Key challenges remain for India

While India’s overall economic size has expanded rapidly, income levels remain relatively low. According to World Bank data, India’s GDP per capita stood at $2,694 in 2024, far below Japan’s $32,487 and Germany’s $56,103.

India also faces the challenge of employment generation. More than a quarter of its 1.4 billion population is aged between 10 and 26, underscoring the need to create well-paying jobs for millions of young graduates entering the workforce.

Growth outlook remains strong

Global institutions continue to project robust growth for India. The World Bank has forecast economic growth of 6.5 per cent in 2026. Moody’s expects India to remain the fastest-growing G20 economy, with growth of 6.4 per cent in 2026 and 6.5 per cent in 2027.

The International Monetary Fund has revised its outlook upward, projecting growth of 6.6 per cent in 2025 and 6.2 per cent in 2026. Other agencies, including the OECD, Asian Development Bank, S&P and Fitch, have also issued optimistic forecasts, citing strong consumer demand and reform momentum.

The government reiterated its long-term ambition of achieving high middle-income status by 2047, the centenary year of India’s independence, driven by sustained economic growth, structural reforms and social progress.

Earlier this year, Prime Minister Narendra Modi announced broad consumption tax cuts and advanced labour law reforms after economic growth slowed to a four-year low in the year ended March 31.

Latest world news

Keir Starmer steps down as UK PM amid mounting pressure from Labour Party

UK Prime Minister Keir Starmer has announced he will step down after growing pressure from within the Labour Party, remaining in office until a new leader is chosen.

Published

on

British Prime Minister Sir Keir Starmer announced on Monday that he will step down as leader of the governing Labour Party and leave office within weeks, ending a turbulent tenure that lasted less than two years.

Starmer said he would remain as caretaker prime minister until the Labour Party elects a new leader, with the transition expected to be completed before Parliament returns in September. The announcement came after increasing pressure from within his party amid falling popularity and growing concerns over Labour’s political fortunes.

Pressure within Labour intensifies

The resignation follows days of speculation over Starmer’s future after former Greater Manchester mayor Andy Burnham emerged as a strong challenger within the party. Burnham’s recent victory in a special parliamentary election intensified calls for a leadership change and added to the pressure on Starmer to step aside.

Starmer led Labour to a landslide victory in the 2024 general election, bringing the party back to power after 14 years in opposition. However, his government’s popularity declined sharply over the past year as Labour struggled in opinion polls and local elections.

Emotional announcement outside Downing Street

Speaking outside 10 Downing Street, an emotional Starmer said every major decision he had taken had been guided by what he believed was best for the country. He also said he now wanted to spend more time with his family while ensuring a smooth transfer of power.

His departure makes him the sixth British prime minister in the past decade to leave office before completing a full term, highlighting continued political instability in the United Kingdom.

The Labour Party is expected to begin the process of choosing its next leader in the coming weeks, with Andy Burnham widely seen as a leading contender.

Continue Reading

Latest world news

Qatar gas hub explosion leaves 54 injured, 18 missing at Ras Laffan facility

An explosion at Qatar’s Barzan gas facility in Ras Laffan Industrial City injured 54 people and left 18 missing, with rescue teams continuing search operations.

Published

on

At least 54 people were injured and 18 others remained missing after an explosion and fire struck a gas facility in Qatar’s Ras Laffan Industrial City, one of the world’s most important natural gas hubs.

The incident occurred on Sunday evening at the Barzan gas supply facility during the start-up of operations, according to state-owned energy company QatarEnergy. Emergency response teams were immediately deployed to the site, and authorities later confirmed that the fire had been brought under control.

Rescue teams continue search operation

Qatar’s Interior Ministry said 54 people had been injured in the blast, while specialised search and rescue teams, working alongside Civil Defence personnel, were continuing efforts to locate 18 individuals reported missing. Authorities described the incident as a “technical accident” and said there was no gas leak posing a threat to public safety.

Ras Laffan Industrial City, located north of Doha, serves as Qatar’s main liquefied natural gas (LNG) processing centre and is a crucial part of the country’s energy infrastructure. The Barzan facility primarily supplies gas to Qatar’s domestic market.

Cause under investigation

QatarEnergy has not yet disclosed the extent of any damage to the facility. The cause of the explosion remains under investigation.

Witnesses reported hearing a loud explosion, while flames and thick smoke were seen rising from the industrial complex. Officials have not indicated whether the incident will affect broader energy operations at Ras Laffan.

Continue Reading

Latest world news

Iran announces closure of Strait of Hormuz again amid tensions over Israeli strikes in Lebanon

Iran has announced a renewed closure of the Strait of Hormuz, blaming Israeli military actions in Lebanon and raising fresh concerns over global energy supplies.

Published

on

Strait of Hormuz

Iran has announced the closure of the Strait of Hormuz, one of the world’s most strategically important maritime routes, citing Israeli attacks in Lebanon as the reason behind the move. The development comes just days after the waterway had reportedly been reopened following a period of heightened regional tensions.

According to reports, the announcement was made by Iran’s Khatam al-Anbiya Central Headquarters, the country’s top joint military command. Iranian authorities alleged that ongoing Israeli military actions in Lebanon and what they described as insufficient efforts by the United States to restrain those attacks had violated the terms of a recently established ceasefire arrangement.

The Strait of Hormuz is a critical global energy corridor connecting the Persian Gulf with the Arabian Sea. A significant share of the world’s oil and liquefied natural gas shipments passes through the narrow waterway, making any disruption a matter of international concern.

Iranian officials reportedly described the closure as an initial response and warned that additional measures could follow if regional hostilities continue. The announcement has raised concerns about potential disruptions to global energy markets and maritime trade.

However, there were conflicting assessments regarding the immediate impact of the decision. A senior US official reportedly said there was no visible indication of Iranian military activity that would suggest an imminent enforcement of the closure, while diplomatic efforts between Washington and Tehran were expected to continue in Switzerland.

The latest development marks another escalation in regional tensions and places renewed focus on the security of one of the world’s most important shipping routes.

Continue Reading

Trending

© Copyright 2022 APNLIVE.com