India’s GDP crosses $4 trillion for the first time

In a groundbreaking development, India is rumored to have achieved economic long-awaited goals. On Sunday, November 19, unconfirmed reports emerged suggesting that India’s Gross Domestic Product (GDP) has surpassed the huge $4 trillion mark for the first time. While official validation is yet to be provided, the significance of this potential milestone echoed across the nation, with prominent figures such as billionaire and Adani Group Chairman Gautam Adani, two union ministers, and Maharashtra Deputy Chief Minister Devendra Fadnavis celebrating the momentous occasion.

Read in Short:

1. It took almost 60 years for the Indian economy to hit the $1 trillion mark after gaining independence in the 1990s. Surprisingly, it then managed seven years to add another trillion.
2. BJP members shared a claimed live GDP tracker screenshot on social media.
3. There is no official confirmation from the IMF or the Indian government yet.

What is Gross Domestic Product (GDP)

Gross Domestic Product (GDP) is a quantitative measure that represents the total monetary worth or market value of all finalized goods and services generated within the geographical boundaries of a specific country during a defined period, typically on an annual basis but occasionally on a quarterly basis. Serving as a comprehensive indicator, GDP functions as a broad scorecard, offering insights into the overall economic well-being and productivity of a nation by encompassing the entirety of its domestic production.

• GDP provides a snapshot of an economy, estimating its size and growth rate.
• GDP can be calculated through expenditures, production, or incomes, offering different perspectives on economic activity.
• GDP measures the total value of goods and services produced in a country over a specific period.

What was the GDP Of India in the Past?

As of the most recent International Monetary Fund (IMF) data available until 2022, the Indian economy reached a valuation of $3.39 trillion.

Year	GDP (in Billion USD)	Growth Rate
2022	$3,385.09	7.45%
2021	$3,150.31	17.92%
2020	$2,671.60	-5.78%
2019	$2,835.61	4.91%

What is India’s GDP today?

The Indian economy seems to have surpassed the $4 trillion mark, achieving a historic milestone. Multiple media reports on Sunday cited a screengrab from a live GDP tracker, utilizing data from the International Monetary Fund (IMF). However, official confirmation from the IMF or the Indian government is pending.

Has India become a $4 trillion economy?

While there has been widespread celebration and acknowledgment, including from notable figures like Gautam Adani and Union Ministers, regarding India crossing the $4 trillion GDP mark, there is no official confirmation as of now. The finance ministry and the National Statistical Office have not commented on the viral social media post claiming this milestone. According to latest figures of India’s GDP, the viral news is deemed incorrect, and India’s status is still pending confirmation. Live tracking of GDP numbers for all countries is a complex task, given the lag in obtaining data from various sectors of the economy. Notably, India achieved a robust GDP growth of 7.8% in the April-June period of 2023-24, marking the highest in the past four quarters and solidifying its position as the world’s fastest-growing major economy. However, the $4 trillion GDP claim remains unverified until official sources provide confirmation.

India to be a $7-trillion economy by 2030

Chief Economic Advisor (CEA) Anantha Nageswaran, speaking at the Huddle Global 2023 of Kerala Startup Mission (KSUM), highlighted the rising influence of tier-2 and tier-3 cities in India, including the capital of Kerala, as burgeoning startup hubs. Nageswaran emphasized that these cities are capitalizing on improved infrastructure and supportive government policies. He expressed optimism about the active role of startups in shaping business models, leveraging both physical and digital infrastructure to drive efficiency, revenue, and economic returns. Nageswaran predicted that India has the potential to become a $7-trillion economy within the next seven years if the current growth trajectory is sustained. Despite recent projections from the Reserve Bank of India (RBI) indicating a growth rate of 6.5% for the current financial year, slightly lower than the 7.2% recorded in 2022-23, Nageswaran remains optimistic about the country’s economic prospects. The International Monetary Fund (IMF) has also forecasted a growth rate of 6.3% annually until 2028.