It is also a major achievement for coach Pullela Gopichand, who has overseen the rise of both Nehwal and Srikanth at his academy in Hyderabad.
"This is a huge achievement for Srikanth as well as for Indian badminton," Gopichand told media in Australia.
"There has been a lot of talk about our women doing well, but now we will have a men's No.1. This will help Srikanth become more relaxed. Whatever happens from here, he will always know that he was ranked as the best in the world - that he has accomplished that goal. It will help him focus more on winning tournaments."
Srikanth, who burst onto the scene with victory in the Thailand Open in 2013, secured the World No. 2 ranking in November last year but missed out on the chance to claim the top spot after suffering an injury.
The Indian shuttler won four Super Series titles - Indonesia, Australia, Denmark, and France -- last year, becoming only the fourth in the world to achieve the feat.