India tops G20 growth rankings since 2014, outpaces China: IMF data - BusinessToday
India has emerged as the fastest-growing major G20 economy between 2014 and 2026, recording a 6. 1% compound annual growth rate in nominal US dollar terms, ahead of China’s 5. 9%. The shift marks a change from 2004-2014, when India ranked seventh among the G20 economies in the comparison.
India moves ahead of ChinaThe latest figures show India moving to the top of the G20 growth ranking despite a significantly more challenging global environment during the 2014-2026 period. The years included the Covid-19 pandemic, elevated inflation, supply-chain disruptions, geopolitical tensions and conflicts that affected global trade and investment. India's economy has more than doubled in size over the period and is now approaching $4. 15 trillion, according to the data presented in the comparison. RankCountry2014-2026 CAGR1India6. 10%2China5. 90%3United States5. 30%4Saudi Arabia5. 10%5Türkiye4. 80%6Indonesia4. 70%7Mexico4. 10%8Australia3. 10%9EU3. 10%10Canada2. 80%MUST READ:RBI MPC: Gov Malhotra raises GDP growth projection for this year to 6. 7% from 6. 6%Infrastructure push supports growthSupporters of India's economic performance point to a significant expansion in infrastructure during the period. Power-generation capacity, for instance, increased from around 248 GW to 532. 74 GW. The country's national highway network also expanded substantially, improving connectivity and supporting logistics and economic activity. The stronger growth performance has also been accompanied by efforts to improve India's physical and digital infrastructure, expand manufacturing capacity and attract investment. How India Performed In 2004-2014The previous decade presents a contrasting picture. India recorded a 10. 9% nominal US dollar CAGR between 2004 and 2014 but ranked seventh among the G20 economies in the comparison. ALSO READ:India gives Gen Z the world's biggest tax-free head start. Here's why that's a big dealRankCountry2004-2014 CAGR1China18. 30%2Brazil14. 00%3Russia13. 30%4Indonesia13. 10%5Argentina12. 70%6Saudi Arabia11. 30%7India10. 90%The comparison has nevertheless attracted debate. Critics argue that nominal dollar growth can be affected by inflation, currency movements and base effects and does not provide a complete picture of real economic expansion or living standards. Comparisons with other fast-growing emerging economies also suggest that India's performance should be assessed against a broader group of peers. Still, the shift in rankings is notable. While the 2004-2014 period was characterised by a favourable global growth cycle apart from the 2008 financial crisis, India’s subsequent expansion has taken place amid repeated global disruptions, highlighting the country's increased weight in the world economy. MUST READ:India's household debt rises to 45. 5% of GDP; non-housing retail loans account for 58. 4%, show data