For the last decade, Indian Prime Minister Narendra Modi has persistently claimed that under his leadership, the country has transformed into a major global power. His administration and party have frequently referred to India as a “Vishwaguru” – a global teacher and leader. However, the recently published list of the world’s most powerful countries in 2025, compiled by Forbes in association with US News and World Report, fails to put India in the top ten.
India is ranked 12th, behind smaller nations like the United Arab Emirates and Israel. This raises critical questions about India’s position in the global power hierarchy and spotlights the need for a thorough reassessment of its foreign policy.
The notion that India is a major power has been strongly reinforced in domestic political rhetoric. Modi’s government has projected an image of a resurgent, self-reliant and powerful India, supported by a growing economy, a large military, and a prominent role in global diplomacy.
The Forbes list challenges this perception. Despite India’s significant economic and military capabilities, its influence in global affairs appears to be lagging behind expectations.
Glaring challenges
The ranking methodology used by Forbes and US News assesses five key factors: leadership, economic influence, political influence, strong international alliances and military strength. India’s position at 12 indicates deficiencies in some of these areas, particularly in maintaining robust international alliances and exercising substantial political influence on the global stage.
One of the most glaring challenges India faces is its deteriorating relationships with neighboring countries. Over the years, India’s ties with Pakistan and China have remained tense, marked by border disputes and military standoffs. However, what is even more concerning is the considerable decline in relations with traditionally friendly neighbors such as Nepal, Sri Lanka, Bangladesh, and the Maldives.
India’s foreign policy has often been seen as heavy-handed, with smaller neighbors perceiving it as interfering and unresponsive to their concerns.
In Nepal, India’s involvement in internal political affairs, as well as previous economic blockades, have fostered resentment. Sri Lanka has increasingly shifted towards China for investments and military support, largely due to India’s inconsistent engagement and lack of strategic economic outreach.
Similarly, Bangladesh, once a close ally, after the fall of the Hasina regime has grown wary of India’s approach to its domestic politics, regional security and trade, especially regarding contentious issues like border tensions and the treatment of minorities. The Maldives, under its changing political leadership, has also exhibited growing distrust towards India, signing a free trade agreement and favoring deeper engagement with China.
These deteriorating relationships undermine India’s influence in its own region, a critical factor in global power politics.
China’s strategy
A strong regional presence is crucial for any aspiring global power. China, for example, has solidified its influence in Asia through economic partnerships, infrastructure projects and strategic diplomacy under its Belt and Road Initiative.
In contrast, India has struggled to establish itself as a dependable regional leader, leading to diminished influence even in South Asia. If India wants to enhance its global power, it must first address regional challenges by fostering cooperation, resolving conflicts diplomatically and presenting itself as a reliable partner rather than an intimidating neighbor.
Another glaring weakness is India’s lack of global leadership on pressing international matters. While major powers like the U.S., China, and the European Union actively shape global responses to conflicts such as the war in Ukraine and the humanitarian crisis in Gaza, India has largely remained on the sidelines.
Its response to these crises has been ambiguous, often characterised by non-committal diplomatic statements rather than assertive engagement. India has not positioned itself as a key player in mediating global conflicts or leading humanitarian efforts, undermining its aspirations of being recognized as a global leader.
Climate change policy
Similarly, on climate change, India has failed to take a leadership role. While the country has pledged ambitious renewable energy targets, its continued reliance on coal and inadequate climate action policies have raised concerns. At global forums, India has not emerged as a strong advocate for decisive climate action, often lagging behind countries that are actively shaping climate diplomacy.
If India seeks to establish itself as a major power, it must step up its engagement in these crucial global issues and adopt a leadership-driven approach rather than a passive one.
Another looming challenge for India is its dependence on the United States as a strategic ally. While the US-India partnership has strengthened over the years, particularly in defense and technology collaborations, the return of Donald Trump to the White House could disrupt this relationship. Trump’s previous presidency demonstrated an unpredictable and transactional approach to international relations.
Unlike the Biden administration, which has actively promoted a stronger Quad alliance (comprising the US, India, Japan, and Australia), Trump may adopt more isolationist policies or demand greater concessions from India in trade and military engagements. In fact, during his first few days in the White House, Trump has already pressured India into accepting a plane load of illegal immigrants.
The way ahead
Given this uncertainty, India must diversify its diplomatic efforts and reduce overreliance on the U.S. Strengthening relations with the European Union, deepening ties with ASEAN countries and fostering cooperation with African and Latin American nations will be crucial. A multi-aligned foreign policy that does not depend on any single superpower is essential for India’s aspirations as a global leader.
India often claims as one of the fastest-growing major economies. However, economic size alone does not translate into global influence. Despite its large GDP, India has not been able to convert its economic strength into proportionate political clout. More critically, the benefits of economic growth have not been evenly distributed. The gap between the rich and the poor has widened significantly, exacerbating social and economic inequalities.
Job creation has been one of India’s biggest failures in recent years. While the economy has expanded, employment opportunities have not kept pace with the country’s growing youth population. Millions of young Indians enter the job market every year, but the lack of adequate employment opportunities forces many into low-paying or informal jobs and many others are fleeing to foreign countries.
The manufacturing sector, once expected to drive job creation, has struggled due to inconsistent policies, bureaucratic hurdles, and competition from global players. Meanwhile, the service sector, though growing, is failing to absorb the vast number of job seekers entering the labour market.
India’s current global standing should serve as a wake-up call. The country must recalibrate its foreign policy to address the gaps in global influence and strategic alliances. Strengthening regional ties, diversifying diplomatic relationships, addressing economic inequalities, and taking a leadership role in global crises are necessary steps to reinforce India’s aspirations as a true global power.
The Modi government’s projection of India as a global leader must be backed by tangible actions that enhance the country’s international stature. India needs a reality check: the road to becoming a global power is not about rhetoric but about strategic, consistent and pragmatic policies. As geopolitical uncertainties loom, particularly with Trump’s return to power and regional complexities intensifying, India must act prudently.
The coming years will be crucial in determining whether India can truly rise as a formidable global power or remain stuck in the shadows of its own unfulfilled ambitions.
Ashok Swain is a professor of peace and conflict research at Uppsala University, Sweden.
