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Gulf Press > Business > India emerges stronger in Asia Power Index 2025, reclaims major power status
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India emerges stronger in Asia Power Index 2025, reclaims major power status

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Last updated: 2025/12/01 at 12:55 PM
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India’s rising influence in Asia is now firmly cemented, according to the latest Asia Power Index 2025 report released by the Lowy Institute. The report demonstrates a significant strengthening of India’s position as a major power, showcasing consistent gains across multiple dimensions of national strength. This article will delve into the key findings of the index, exploring the factors driving India’s ascent and its implications for the regional and global order.

India’s Ascent: A Major Power in Asia Confirmed

The Lowy Institute’s Asia Power Index 2025 ranks India as the third most powerful country in Asia, among 27 nations analyzed. This represents a substantial achievement, with India regaining a score of 40.0 out of 100 – a 0.9-point (2%) increase from the previous edition. This score signifies a return to the crucial 40-point benchmark, solidifying India’s position as a leading force in the Indo-Pacific region. The index comprehensively assesses national power across eight key measures, providing a nuanced understanding of each country’s capabilities and influence.

Key Drivers of India’s Growth

Several factors are contributing to India’s impressive trajectory. The report highlights strong economic growth as a primary driver, alongside expanding international partnerships and a burgeoning cultural influence. These elements are not operating in isolation; they are mutually reinforcing, creating a positive feedback loop for India’s continued development.

Specifically, the report points to:

  • Economic Performance: India’s economic capability ranks third in Asia, and its future resource potential is also highly rated.
  • Strategic Partnerships: Increased diplomatic engagement and a willingness to forge new alliances are bolstering India’s regional standing.
  • Cultural Outreach: The global reach of Indian cinema, technology, and digital diplomacy is expanding rapidly.

Surpassing Japan and Strengthening Economic Ties

A particularly noteworthy development is India surpassing Japan in economic capability. This shift is attributed to increased inward investment and a diversification of trade linkages. This demonstrates India’s growing attractiveness as an investment destination and its ability to navigate the complexities of the global trade landscape.

Furthermore, India has improved its economic relationships, climbing to ninth place – the highest it has ever been in the Index’s history. This signifies a deeper integration into regional markets and a strengthening of economic ties with key partners. This improvement in regional economic integration is crucial for sustained growth and influence.

The Power of Soft Power: India’s Cultural Influence Soars

Beyond economic and military strength, the Asia Power Index 2025 reveals a remarkable surge in India’s cultural influence. With a +2.8 increase year-on-year, this represents the largest gain in any category for India. This growth is fueled by the increasing global popularity of Indian entertainment, the innovation within India’s tech sector, and the effective use of digital diplomacy to project a positive image abroad.

This rise in soft power is a significant asset, allowing India to build relationships and exert influence beyond traditional measures of power. It’s a testament to the country’s vibrant culture and its ability to connect with audiences worldwide.

Broad-Based Improvements Across Multiple Dimensions

The positive trend isn’t limited to a few areas. The Index also notes improvements in military capability (+2.8), diplomatic influence (+0.5), and economic capability (+1.0). This broad-based rise across multiple dimensions of power underscores the robustness of India’s ascent. It suggests that India is not simply benefiting from favorable circumstances but is actively investing in and strengthening its capabilities across the board. This holistic approach to national development is key to its long-term success.

Addressing the “Power Gap” and Future Prospects

While the report paints a largely optimistic picture, it also identifies areas for improvement. The Lowy Institute highlights India’s “Power Gap” – the difference between its potential and actual influence – as a key area for future progress. Bridging this gap will require continued investment in infrastructure, governance, and institutional capacity.

However, the overall trajectory remains strongly positive. The Asia Power Index 2025 clearly signals that India is not just recovering from past challenges but is experiencing renewed momentum towards becoming a central power in the Asian order. The consistent gains across cultural, military, and economic dimensions demonstrate a clear and sustained upward trend. This positions India as a crucial player in shaping the future of the Indo-Pacific region.

In conclusion, the Asia Power Index 2025 provides compelling evidence of India’s growing stature as a major power in Asia. The report’s findings underscore the importance of continued investment in economic development, strategic partnerships, and cultural outreach. As India continues to strengthen its capabilities and address its remaining challenges, it is poised to play an increasingly influential role in the regional and global landscape. To learn more about the Lowy Institute’s research and the Asia Power Index, visit their website https://www.lowyinstitute.org/.

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News Room December 1, 2025
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