The IMF projects that India will become the world's fourth-largest economy in 2027, overtaking Japan, and endorsed India's revised GDP methodology as consistent with international best practice. Krishna Srinivasan, director of the IMF's Asia and Pacific Department, called the revision a welcome development and praised the Ministry of Statistics and Programme Implementation (MoSPI), while noting there is still room for improvement. The endorsement comes amid a row over the 7.8% growth in the June quarter, which former finance secretary S C Garg questioned, alleging the previous year's figures were compressed; Chief Economic Adviser V Anantha Nageswaran rejected this as cherry-picking. The IMF raised its 2026 growth forecast for India to 7%, while Japan is projected to grow just 0.7% amid energy costs, inflation and an ageing population, and will slip behind India and the UK in 2027.
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Original headline: IMF backs India revised GDP methodology , projects it to overtake Japan as 4th - largest economy in 2027
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