The International Monetary Fund (IMF) projects India's economy will reach US$4.52 trillion by 2027, overtaking Japan to become the world's fourth-largest. Japan is expected to slip to sixth place that year, falling behind both India and the United Kingdom. The IMF raised India's 2026 growth forecast to seven percent, citing strong fundamentals, while Japan faces challenges from an aging population, rising energy prices, and a depreciating yen.