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Morgan Stanley Projects India to Become 3rd Largest Economy by 2028.

Economy Business | Dated: 17 Mar 2025

In March 2025, New York (the United States of America, USA)-based brokerage firm, Morgan Stanley has projected that India will become the 3rd largest economy in the world by 2028, driven by macro-stability influenced policies and improved infrastructure. India is set to overtake Germany (currently the world's 3rd largest economy) as its economy is expected to expand to USD 5.7 trillion by 2028.

🎯 Key Highlights:

  • - It has further projected that India's economy will grow from USD 3.5 trillion (in 2023) to USD 4.7 trillion (in 2026), making it the world's 4th largest economy behind the United States of America (USA), China, and Germany.

💡 Other Important Facts:

  • (i) Estimated at 6.3% for Financial Year 2024-25 (FY25) and 6.5% for FY26.
  • (ii) Expected to be 4.3% Year-on-Year (Y-o-Y) in FY27, compared to 4.9% in FY25.
  • (iii) Predicted to remain 1% of GDP in FY27, indicating sustained resilience in the external balance sheet.

📚 Test Your Knowledge:

According to Morgan Stanley’s recent projection, which country is expected to become the 3rd largest economy in the world by 2028?

Correct Answer: India

🚀 Quick Recap:

About Morgan Stanley

  • Chairman & CEO : Ted Pick
  • Headquarters : New York, the United States of America (USA)