With its booming economy, strategic diplomacy, and rising geopolitical influence, India is becoming an indispensable player on the world stage.
New York [US], February 22: India’s international stature is surging at an unprecedented pace, with global powers racing to strengthen ties with the world’s fastest-growing major economy. As Project Syndicate recently highlighted, India’s expanding diplomatic footprint and economic growth are reshaping the global order.
This shift was evident when European Commission President Ursula von der Leyen announced that her first official visit in her second term would be to India. On the same day, newly appointed US Secretary of State Marco Rubio chose External Affairs Minister S. Jaishankar for his first bilateral meeting—clear signs of India’s increasing importance in global affairs.
The momentum continued during Prime Minister Narendra Modi’s two-day visit to Washington, where he secured what he called a “mega partnership” with the United States. As part of this strengthened alliance, Modi pledged to double trade with the US by 2030, increase oil and gas imports, and expand US military sales to India.
Economic Growth & Demographic Advantage
With a 6.5% GDP growth forecast for 2025 by the International Monetary Fund (IMF), India is on track to overtake Germany and Japan to become the world’s third-largest economy by 2030.
India’s young and dynamic workforce is a major driver of this rapid expansion. With a median age of 29.8 years, India’s population is significantly younger than those of the United States (38.9), China (40.2), and the European Union (44.5). This demographic edge, combined with a flourishing information and communications technology (ICT) sector, is making India a key player in the global economy.
Strategic Diplomacy & Global Realignment
Historically, India was overlooked by Western powers, but that is changing. Project Syndicate notes, “A fundamental global realignment is now underway. America’s ‘unipolar moment’ has given way to an era of great-power competition, where emerging economies demand a more inclusive and representative multilateral system.”
India’s diplomatic strategy has long been rooted in strategic neutrality, a legacy of its founding role in the Non-Aligned Movement (NAM). During the Cold War, it maintained ties with both the US and the Soviet Union, and today, it continues this pragmatic diplomacy, positioning itself as a reformer within global institutions rather than a disruptor.
Under PM Modi’s leadership, India has become more assertive on the world stage. In 2023 alone, it held the G20 Presidency and led the Shanghai Cooperation Organization (SCO). Additionally, India has been instrumental in expanding BRICS, bringing in Egypt, Ethiopia, Indonesia, Iran, and the UAE.
Unlike China and Russia, which push for a disruptive approach to the global order, India prefers a reformist stance, balancing strategic flexibility with its growing economic and diplomatic interests.
India as a Counterbalance to China
India’s complex relationship with China is a key factor in its global rise. While they collaborate in some multilateral forums, border disputes and competition for influence in the Global South have intensified their rivalry.
One major initiative highlighting India’s growing influence is the India-Middle East-Europe Economic Corridor (IMEC)—an alternative to China’s Belt and Road Initiative (BRI). By positioning itself as a reliable partner in global trade and supply chains, India is attracting increased investment from the West.
India is also a crucial member of the Quad alliance alongside the US, Japan, and Australia. While the Quad officially focuses on maritime security and economic cooperation, it is widely viewed as a counterbalance to China’s dominance in the Indo-Pacific.
As Project Syndicate explains, “It is thanks to India—a rising ‘Southern’ power—that the Quad is not viewed as just another Western vehicle.”
India’s Evolving Political Landscape
While PM Modi has positioned India as a leading global power, his domestic policies have sparked debate. His government has moved away from the secular and pluralistic values that defined post-independence India, embracing Hindu nationalism. This has led several international indices to downgrade India’s democratic status, raising concerns among global observers.
Despite this, Modi remains the dominant force in Indian politics, securing three consecutive election victories—a feat previously achieved only by Jawaharlal Nehru.
As the geopolitical landscape shifts, India is leveraging its economic strength, diplomatic agility, and democratic narrative to secure its place as a global superpower.
“India has long had the potential to be an active shaper of international affairs. It has now arrived,” concludes Project Syndicate.
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India global influence, Narendra Modi, India economy, US-India relations, India trade, European Union, Quad alliance, BRICS expansion, China-India rivalry, IMF growth forecast, India foreign policy, Project Syndicate, Modi diplomacy, global economy, Indo-Pacific strategy