The latest report, produced every four years, predicts that the era of US's lone ranger style domination over the globe is over as we head into an increasingly fragmented world.
The report, 'Global Trends 2025: A world transformed', warns that the spread of American style democracy and capitalism cannot anymore be taken for granted anymore.
'In the wake of the 2008 global financial crisis, the State's role in the economy may be gaining more appeal throughout the world,' the report predicts, and cites the examples of Russia and China where 'wealth is moving not just from the West to the East but concentrating more under State control'.
Simultaneously, the United States will cease to retain its pre-eminence and become more of a 'first among equals', it says. In a fragmented world, the only way for the US to get its way will be through the support of strong partnerships.
Interestingly, only four years ago, as George Bush got ready for a second term as US president, the NIC report had forecast 'continuing American dominance'.
The downturn in America's fortunes benefits emerging economies such as China, India and Brazil. Interestingly, the European Union will also be on the wane, and lose clout by 2025, the report forecasts.
It is not all hosannahs for India in the report, however. Terming it as a 'complicated rise', the report says over the next 15-20 years Indian leaders will strive for a multi-polar international system, with New Delhi as one of the poles, and serving as a political and cultural bridge between a rising China and the US.
India will probably continue to enjoy relatively good economic growth, the report predicts, despite its lingering deficiencies in domestic infrastructure, skilled labour, and energy production.
What will propel India's economic growth are its rapidly expanding middle class, youthful population, reduced reliance on agriculture, and high domestic savings and interest rates.
At the same time, the report warns, while India's impressive economic growth over the last 15 years has reduced the number of people in absolute poverty, the growing gap between the rich and the poor will become an important political issue.
While regional and ethnic insurgencies will persist, the report says India's unity will not be threatened.
