Current Affairs - Economy - Discussion

Crisil has projected India’s GDP growth rate for the financial year 2025–26 at 6.5%. This projection reflects optimism backed by factors like expected monetary easing, tax relief, and a favourable monsoon, which could stimulate agricultural output and consumption. Despite these positive indicators, the forecast includes caution over potential risks such as increased US tariffs that may affect global investor confidence and reduce investment inflows. On the upside, lower crude oil prices and stronger domestic demand are anticipated to bolster economic momentum, making the 6.5% estimate a balanced outlook amidst both opportunities and external challenges.