India's emphatic 2-0 series win over has lifted them one place up to second and ahead of South Africa in the ICC Test ranking issued on monday.
India, who were well behind South Africa in the previous rankings, gained seven points to move to 116 and close the gap with Australia (129).
Third-placed South Africa also have 116 points but when calculated to decimal points, India ranks ahead of the African nation.
India, who were in second place in January, had slipped to third in June, but made amends by their outstanding performance at home against the top-ranked Aussies in the four-Test series for the Border-Gavaskar Trophy.
India next play a two-Test series against fifth ranked England at home and is likely to sum up the year on a high.
Sri Lanka are fourth while Pakistan are sixth followed by New Zealand, the West Indies and Bangladesh at seventh, eighth and ninth spots.
Third-placed South Africa also have 116 points but when calculated to decimal points, India ranks ahead of the African nation.
India, who were in second place in January, had slipped to third in June, but made amends by their outstanding performance at home against the top-ranked Aussies in the four-Test series for the Border-Gavaskar Trophy.
India next play a two-Test series against fifth ranked England at home and is likely to sum up the year on a high.
Sri Lanka are fourth while Pakistan are sixth followed by New Zealand, the West Indies and Bangladesh at seventh, eighth and ninth spots.