After thrashing England 4-0 in the recently concluded five-match test series, India will start the New Year on top of the ICC standings.
India extended their unbeaten run to 18 matches, beating England by 75 runs in the fifth and final test in Chennai.
"(India) can't be overtaken this year since the team rankings are updated only at the end of each test series," said the ICC in a statement.
Making it their longest run in their history without defeat, India are currently on 120 points on the rankings, 15 points ahead of second place Australia.
Virat Kholi also led India to series wins against West Indies and New Zealand in 2016.
England, however, have now dropped to fifth on the standings, with the pressure increasing on team captain Alastair Cook.