Mecklai Graph of The Week
India To Outperform It’s Peers
01 Jul, 2025
The World Bank recently released its GDP growth projections for 2025, and the data clearly underscores a shifting global economic narrative. India leads the chart with a robust 6.2% projected growth, far ahead of other major economies. China follows at 4.0%, outperforming several developed nations despite facing significant economic and geopolitical headwinds. India's momentum displays its rising importance in the global economic order. This performance is anchored by a combination of favourable demographics, deepening digital infrastructure, and a policy environment supportive of both foreign and domestic investment. The government’s continued focus on manufacturing, infrastructure, and technology adoption is creating a strong base for long-term economic expansion. The domestic consumption-led growth model also adds a layer of resilience against global shocks.
On other hand, China is no longer growing at its previous double-digit pace, still impresses with a 4.0% expected GDP growth—remarkable given the challenges it faces. Ongoing tensions from the US-China trade war, Western sanctions on technology transfers, and a fragile real estate sector have clouded its outlook. Yet, Beijing’s ability to pivot towards high-tech manufacturing, stimulate domestic consumption, and maintain export competitiveness highlights the underlying strength and adaptability of its economy.
In contrast, many developed economies are expected to grow at a modest pace due to high interest rates, fiscal consolidation, and plateauing demand. The USA (1.8%), UK (1.1%), and Canada (1.4%) reflect this slowdown, while Russia (1.5%) and South Africa (1.0%) face their own structural and geopolitical hurdles.