India will have a $5 trillion economy by FY28 and reach a $30 trillion economy by 2047: FM Sitharaman

India will become the third largest economy between 2027 and 2028, with a GDP of more than $5 trillion, Finance Minister Nirmala Sitharaman said on Wednesday.

Even using conservative estimates, the size of the Indian economy will reach $30 trillion by 2047, she noted.

“It is possible that we will be the third largest economy between 2027 and 2028, and that our GDP will surpass $5 trillion by then. It is a conservative estimate that we will reach at least $30 trillion in terms of the economy by 2047. ,” Sitharaman said at the Vibrant Gujarat summit.

With a GDP of roughly $3.4 trillion, India is currently the fifth largest economy in the world, behind the US, China, Japan and Germany.

The Indian economy is expected to grow at 7.3 percent in the current fiscal, up from 7.2 percent in 2022-23.

Sitharaman said India has received $919 billion in foreign direct investment in the 23 years to 2023. Of this, 65 percent, or $595 billion, came in the last 8 to 9 years of the Narendra Modi government.

Referring to financial inclusion, the minister said the number of people with bank accounts has increased from 15 crore in 2014 to 50 crore now.

First print: January 10, 2024 | 3:46 PM IST