India Overtakes Japan to Become the Third-Largest Power in Asia Power Index
India has surpassed Japan to secure the position of the third-largest power in the Asia Power Index, according to a statement released by the Ministry of Information and Broadcasting. This achievement marks a pivotal shift in the geopolitical dynamics of the Asia-Pacific region.
The ministry credited India's ascent to its dynamic growth, youthful population, and expanding economy, which have collectively reinforced the country's status as a regional powerhouse. "In a significant development, India has overtaken Japan to become the third-largest power in the Asia Power Index, reflecting its increasing geopolitical stature", the ministry said.
Established by the Lowy Institute in 2018, the Asia Power Index assesses 27 countries across the Asia-Pacific region based on their capacity to influence and respond to external geopolitical challenges. The index evaluates each nation using eight core indicators, including Economic Capability, Military Capability, and Diplomatic Influence.
According to the ministry, India's rise in the 2024 edition of the index is indicative of its robust post-pandemic recovery and economic resurgence. The nation saw a notable 4.2-point increase in Economic Capability, driven primarily by strong GDP growth, positioning it as the world’s third-largest economy in Purchasing Power Parity (PPP) terms.
"India has demonstrated exceptional economic recovery following the pandemic, contributing to a 4.2-point increase in its Economic Capability. With its vast population and strong GDP growth, India solidifies its position as the world’s third-largest economy in PPP terms", the statement noted.
India’s Future Resources score also improved significantly, with an 8.2-point increase, emphasizing its demographic advantage. Unlike the aging populations of China and Japan, India’s youthful demographic is poised to sustain economic growth and workforce expansion in the coming years.
The report further highlighted India’s growing role in multilateral diplomacy and regional security. India's active involvement in groups such as the Quad and leadership in regional dialogues have strengthened its security position without necessitating formal military alliances. Additionally, defense agreements like the BrahMos missile deal with the Philippines underscore India's expanding geopolitical ambitions.
