Current Affairs - Economy - Discussion

Fitch Ratings revised India’s FY25 GDP growth forecast upward to 6.9%, an increase from its earlier estimate of 6.5%. This revision reflects strong domestic demand, resilient private sector activity, and the positive impact of GST reforms. Consumer spending and supportive financial conditions, including stable interest rates and liquidity, have strengthened India’s economic outlook despite global trade challenges. GST reforms are expected to further enhance compliance, lower costs of doing business, and stimulate consumption. Fitch also projects India’s economy will maintain robust momentum in the medium term, averaging 6.3% growth by FY27, keeping the country ahead of global growth trends.