Government Official Projects India’s Share in Global GDP Growth to Hit 9% by 2035

India's growth in the global economy is going to increase substantially, with India's contribution to global GDP growth expected to reach 9 per cent by 2035, from 6.5 per cent in 2024, M Nagaraju, Secretary, Department of Financial Services, Ministry of Finance, has said on Thursday.

Addressing the annual Infrastructure Conclave 2025, hosted by the National Bank for Financial Infrastructure and Development (NABFID), Nagaraju pointed out that whereas uncertainties prevail globally, India's economy keeps growing fast and is still the world's fastest-growing major economy.

He went on to state that the country's economy has recorded an average 8 per cent annual growth for the last four years, with the latest quarterly GDP growth coming in at 7.8 per cent — the highest in five quarters.

India's external sector is also doing well, with the last quarter's current account deficit standing at a mere 0.5 per cent of GDP, according to Nagaraju.

He also observed that net services exports are advancing fast, and with such strong fundamentals, India can be a developed nation by 2047, the 100th anniversary of Independence.

"This macroeconomic success story sets a solid foundation for our infrastructure ambitions. It tells the world that India's growth is not only resilient but also driven by reforms and prudent policies, making us a key engine of global growth and a potential leader in shaping the post-pandemic global economic order," Nagaraju observed.

Complementing this economic strength, India’s banking and financial sector has emerged as a pillar of resilience.

During the fiscal year 2024-25, public sector banks surpassed private sector banks in credit growth, a feat after more than ten years.

Further, Non-Performing Assets (NPAs) have declined to below one per cent, and capital adequacy ratio is above the regulatory benchmark, indicating a healthy banking industry.

Overall, these trends indicate a healthy, well-capitalized financial system that is ready to support India's vision of becoming a developed economy.