UK lost ground to India to become the sixth-largest economy in the world, dealing the government in London more bad news as it struggles with a severe cost-of-living shock.
In the final three months of 2021, the former British colony overtook the UK to take over as the world’s fifth-largest economy. India increased its lead in the first quarter of the computation, which is based on US dollars, according to IMF GDP data.
For the next prime minister, the UK’s slip in global rankings is an unwanted backdrop. On Monday, members of the Conservative Party will elect Boris Johnson’s replacement. Foreign Secretary Liz Truss is predicted to defeat former Chancellor of the Exchequer Rishi Sunak in the final round of voting.
The Indian economy, on the other hand, is anticipated to expand by more than 7% this year. Indian stocks have recently had a global-beating recovery, moving their weighting into second place in the MSCI Emerging Markets Index, only behind China’s.
According to the IMF’s own projections, India will surpass the UK in dollar terms annually this year, leaving India only behind the US, China, Japan, and Germany.