A new economic outlook published in November 2025 projects that India could exceed $11 trillion in nominal GDP by 2040. The report forecasts steady growth supported by labour availability, capital formation, technology-driven productivity, and structural reforms. It highlights opportunities arising from global supply-chain shifts and India’s demographic advantage.

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•  India’s economy projected to grow at 6.7% average from 2025–2040.
•  Nominal GDP expected to cross $5.6 trillion by 2030 and near $11.5 trillion by 2040.
•  Per capita income estimated to rise above $3,700 this decade and reach $7,000 by 2040.
• Growth anchored by four pillars: development, diversification, decarbonisation, digitalisation.
•  Labour force expected to add 1.8 percentage points to growth through demographics and productivity gains.
•  Investment boost to contribute 2.6 percentage points, strengthening capital formation.
•  Total Factor Productivity to provide one-third of growth via digital infrastructure and reforms.
•  India aiming deeper integration into global value chains amid shifting supply routes.
•  Strategy includes simpler business rules, continued infrastructure push, and manufacturing incentives.
•  India seen as a major consumption and production hub alongside China in global diversification.