India Overtakes Japan As Fourth-Largest Economy, Peter Obi Raises Alarm Over Nigeria’s Decline

The former Labour Party presidential candidate, Mr Peter Obi, has responded to the announcement that India has overtaken Japan to become the world’s fourth-largest economy by nominal GDP, using this milestone to question Nigeria’s worsening economic situation.

According to the International Monetary Fund’s (IMF) estimates for 2025, India’s nominal GDP is projected to reach approximately $4.187 trillion, narrowly surpassing Japan’s $4.186 trillion. India is now aiming to overtake Germany, whose economy stands at approximately $4.74 trillion, to become the world’s third-largest economy.

While describing India’s progress as remarkable, Obi stated that this development underscores Nigeria’s failure to translate its resources into sustainable economic growth, especially when comparing the two countries’ trajectories in the past.

Citing World Bank data, Obi noted that at the end of 2007, during the administration of former President Olusegun Obasanjo, Nigeria’s nominal GDP per capita was about $1,816, significantly higher than India’s $1,022. By 2015, at the end of the Yar’Adua/Jonathan era, Nigeria still maintained an advantage, with a GDP per capita of around $2,586, compared to India’s $1,584.

However, IMF World Economic Outlook projections show a dramatic reversal by 2025. India’s nominal GDP per capita is expected to rise to about $2,878, while Nigeria’s is projected to fall sharply to around $807.

Obi described these figures as troubling, particularly in light of what he claimed were significant subsidy savings, substantial revenue growth, and unprecedented levels of borrowing. He disclosed that Nigeria’s combined revenue between 2023 and 2025 is estimated at about ₦200 trillion (approximately $135 billion); yet critical sectors such as healthcare, education, and poverty reduction have seen no meaningful improvement.

According to him, poverty, insecurity, and the collapse of public services have worsened, while businesses—especially small and medium enterprises—are shutting down daily due to lack of support and high operating costs. He also lamented erratic and expensive electricity, along with the rising costs of rent, transportation, and food, which are increasingly beyond the reach of ordinary Nigerians.

Obi renewed his call for national unity and a new leadership consensus built on competence, compassion, and character. He stressed the need for a government that prioritises citizens’ welfare, invests in healthcare, education, infrastructure, agriculture, and technology, while also cutting waste and reducing the cost of governance.

He further emphasised the importance of transparency and accountability, stating that Nigerians must be able to track national progress and hold public officials accountable. Such an approach, he argued, would empower citizens economically, create jobs, support businesses, strengthen security, ensure reliable energy, and enhance food security, thereby restoring trust in public institutions.

Obi concluded that only through collective action, transparent governance, and visionary leadership can Nigeria close the widening gap with countries like India and reclaim its economic potential, warning that other nations are already advancing and that the time for Nigeria to act is now.