Recent years have seen significant global disruptions, including the COVID-19 pandemic, the Russia-Ukraine war, and conflict in West Asia, which have exposed vulnerabilities in supply chains and global security. India, however, has navigated these crises effectively, maintaining steady economic growth and asserting its strategic autonomy.
During the pandemic, India developed and exported a COVID-19 vaccine to over 110 countries, earning global trust. In response to the Russia-Ukraine war, India's stance that "this is not the era of war" resonated internationally. The nation also continued to purchase crude oil from Russia, prioritizing its energy security and strategic independence, and has successfully diversified its oil imports amidst the ongoing conflict in Iran, which has disrupted traffic through the Strait of Hormuz and triggered a global energy crisis.
India's position as the world's fifth-largest economy by nominal GDP is bolstered by its large armed forces, political continuity under the Bharatiya Janata Party for the past 12 years, and an expanding diplomatic presence in the Global South. The country is also emerging as a key player in technology, renewable energy, and supply chain diversification, with significant improvements in public health indicators.
To comprehensively assess India's national strength, the framework of Comprehensive National Power (CNP) is useful. CNP encompasses a nation's hard and soft power, reflecting its ability to safeguard national interests and influence global affairs through economic, military, technological, and cultural resources. The Lowy Institute's Asia Power Index for 2025 ranked India third, behind the United States and China, based on over a hundred parameters across eight measures of power.
Economically, India is the world's fastest-growing major economy, with a steady GDP growth rate of 6-7 percent. This growth is fueled by a focus on manufacturing, innovation, and exports, supported by a large domestic market of over 1.4 billion people and the operationalization of free trade agreements. India aims for $1 trillion in exports for FY2026-27, a significant increase from $863 billion last year. Key drivers include advancements in digital banking, financial inclusion, tax reforms like the Goods and Services Tax, and production-linked incentives. A foreign exchange reserve of $600 billion provides a buffer against global volatility, and infrastructure development is addressing logistics inefficiencies. However, sustained growth above 7 percent for the next two decades, coupled with enhanced manufacturing, self-reliance, smoother logistics, and improved ease of doing business, will be crucial for India to achieve its goal of becoming a developed country by 2047.
Military power is another significant parameter. India possesses the world's third-largest armed forces, complemented by technological integration and a drive for self-reliance in defense manufacturing. With a tested nuclear triad, an evolving tri-service structure, a robust missile program, space technology, blue water naval capabilities, and cybersecurity infrastructure, India is a notable military power. Advanced platforms like BrahMos missiles, Akashteer air defense systems, hypersonic missiles, and nuclear-powered submarines enhance its power projection capabilities. India's arms exports reached nearly 390 billion rupees in FY2025-26. The nation is pursuing future procurements, including fifth-generation fighter aircraft with technology transfer, aiming for full control over avionics and guidance systems.
Despite these strengths, India's defense modernization faces challenges. The Indian Air Force requires more modern fighter aircraft, and mastery of advanced technologies like aero engines and electronics is still needed. Dependence on imports for key platforms impacts strategic autonomy, and the potential for a two-front conflict against Pakistan and China presents significant strategic hurdles.
Technologically, India has made strides in areas like Artificial Intelligence (AI), semiconductors, quantum computing, biotechnology, and space systems. Platforms like Aadhaar and UPI, along with its advanced space program featuring lunar and Mars missions, demonstrate its capacity for large-scale innovation. The successful launch of India's first private space rocket, Vikram-1, by Skyroot Airspace further strengthens its space capabilities. India is also promoting semiconductor assembly, critical mineral exploration, and national missions for AI and cyber technologies.
However, India needs to increase investment in research and development to compete with global technology leaders. Developing indigenous tech platforms comparable to those of Google or Microsoft requires accepting the concept of "sunk costs." The startup ecosystem needs to foster world-class tech companies like Apple or Nvidia. Substantial increases in R&D investment and industrial innovation are essential for India's technological CNP to match its economic potential.
Demographically, India holds a significant advantage with a median age of 29 and 68 percent of its population in the working-age group (15-64 years). This contrasts with many nations facing aging populations and declining workforces. The utilization of this demographic dividend over the next two decades will shape India's growth trajectory. Positive trends include a rising number of graduates, increased interest in STEM fields, and declining illiteracy rates. Improvements in healthcare services, including more hospitals and doctors, reduced infant and maternal mortality, and universal medical cover schemes like Ayushman Bharat, are also positive indicators. However, job creation, social integration, and constructive engagement of the population are critical for fully realizing this demographic dividend.
Political stability and democratic resilience are key strengths, with one party holding power at the center for the past 12 years, ensuring continuity for long-term reforms. Nevertheless, bureaucratic complexities, corruption, judicial delays, land acquisition challenges, and regulatory uncertainty need to be addressed to fully leverage this stability.
India's diplomatic influence has expanded considerably, driven by its economic, military, technological, and demographic progress. Its leadership roles in global forums such as the G20, BRICS, and the Indian Ocean Rim Association, along with minilaterals like the Quad and I2U2, have facilitated focused global partnerships. India's presidency of the 2023 G20 Summit was widely regarded as highly successful. The nation's efforts to represent the Global South and its significant contributions to UN peacekeeping missions are also acknowledged.
India's soft power is unique, with approximately 35 million people of Indian origin or nationality living abroad, outnumbering expatriates in many regions, particularly the Gulf. Beyond remittances, constructive engagement with the Indian diaspora is needed to advance national interests.
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