India has secured the third position in the Asia Power Index 2025, according to the latest assessment by the Lowy Institute, an Australia-based think tank. This achievement marks a significant milestone for India, as its overall power score has crossed 40 points, officially classifying it as a "major power" in Asia. The United States and China hold the first and second positions, respectively.

The Asia Power Index, launched in 2018, evaluates the relative power of 27 countries and territories across Asia. The index uses 131 indicators spanning across eight thematic areas: military capability, economic capability, defense networks, diplomatic influence, cultural influence, resilience, future resources, and economic relationships. The 2025 edition includes economic statecraft to measure how well countries push their economic interests internationally.

India's rise in the rankings is attributed to its strong economic performance, growing military capabilities, and increasing geopolitical relevance. The report highlights India's strong post-pandemic economic recovery and advancements in international connectivity, leverage, and technology as contributing factors. Furthermore, experts rated India's military capability higher after Operation Sindoor in May 2025.

India has shown improvements in its economic ties with other countries, marking the first time since 2018 that its ranking has increased in this measure. It has also improved its economic capability ranking by one place to third, overtaking Japan. Increases in inward investment have seen India rise to ninth place for economic relationships.

Despite these gains, the report also points out that the power gap between India and China has widened. China's score of 73.7 remains substantially higher than India's. While India's foreign policy strength ranks third, its influence remains below its potential, indicated by a negative Power Gap score. India's weakest measure is defense networks, where it ranks 11th. Its resilience score also dropped.

The Lowy Institute's Asia Power Index 2025 highlights a region in flux, with India's rise as a major power being a significant development. However, the report also emphasizes the challenges India faces in converting its growing capabilities into tangible regional influence.