GDP(Gross domestic product) growth At 6.3-6.8%, Expansion To Remain Taken care of: Economic Overview

Budget 2025: The study refers major areas of strength for to monetary essentials, a declining joblessness rate, stable expansion, and the requirement for additional changes to support development energy.

New Delhi:

The Indian economy is projected to extend at a pace of 6.3 percent to 6.8 percent in the monetary year 2025-26 (FY26), as per the Financial Overview 2024-25 introduced in Parliament by Finance minister Nirmala Sitharaman today.

The overview, delivered in front of the Association Spending plan, refers major areas of strength for to monetary basics, a declining joblessness rate, stable expansion, and the requirement for additional changes to support development energy.

The basics of the homegrown economy stay hearty, with a solid outside account, adjusted monetary combination and stable confidential utilization. On equilibrium of these contemplations, we expect that the development in FY26 would be somewhere in the range of 6.3 and 6.8 percent,” the Financial Overview peruses.

The Gross domestic product pace of 6.3 percent to 6.8 percent will be the least starting around 2020-21 – the Coronavirus year – when India enlisted a negative development of 5.8 percent. The year 2021-22 saw Gross domestic product rate was 9.7 percent, 7% in 2022-23 a 8.2 percent in the last monetary year.

Ms Sitharaman will present the Union Budget 2025-26 on Saturday.

Here are the highlights from the Economic Survey:

• Fundamentals of Indian economy remain robust with strong external account and stable private consumption.
• Food inflation likely to soften in Q4 FY25 with seasonal easing of vegetable prices, Kharif harvest arrivals.
• India’s economic prospects for FY26 balanced. Headwinds to growth include elevated geopolitical, trade uncertainties.
• Navigating global headwinds will require strategic, prudent policy management and reinforcing domestic fundamentals.
• ndia needs to improve global competitiveness through grassroots-level structural reforms, and de-regulations, says Survey.
• The Survey says India needs to improve its global competitiveness through grassroots level structural reforms, deregulation.
• Inflation risk from higher commodity prices seems limited in FY26, geopolitical tensions still pose risk.
• Lack of appropriate governance framework for AI may lead to potential abuse or misuse of technology.
• Economic Survey says insolvency law’s deterrent effect has led thousands of debtors resolving distress in early stages.
• Entry costs, information asymmetry, absence of secondary market must be addressed to boost liquidity in corporate bond market.
• Rupee depreciation in 2024 mainly due to strong US dollar amid geopolitical tensions, uncertainty around US election.
• Meaningful market correction in 2025 could have cascading effect on India, especially given higher participation of new retail investors.