Gandhinagar, Jan 10 (IANS) India will become the world’s third-largest economy by 2027-28, with its GDP surpassing $5 trillion during that period, Finance Minister Nirmala Sitharaman said on Wednesday at the Vibrant Gujarat Global Summit.

The estimate that India will be at least a $30 trillion economy by 2047 is a conservative estimate, the Finance Minister said.

“We are not only aiming to become a $30 trillion economy by 2047, but also aim to ensure inclusive growth,” she explained.

She emphasized that the nation's goal extends beyond achieving economic milestones, with a commitment to fostering inclusive growth in the long term.

The finance minister said India has received USD 919 billion in foreign direct investment in 23 years till 2023 as much as 65 per cent or USD 595 billion of which came in the last 8-9 years of the Narendra Modi government.

She also said that since 2014, the approach between states and Centre has been of cooperative federalism, competitive federalism and collaborative federalism. That is how today you find states competing with one another on who will contribute how much towards India becoming a developed nation in 2047, she added.

India’s GDP is currently around USD 3.4 trillion making it the fifth largest economy in the world after the US, China, Japan and Germany. The country is also the fastest growing major economy with a GDP growth of 7.6 per cent in the July-September quarter this year.