economy
February 1, 2026
India forecasts steady growth despite Trump tariffs
India’s Economic Survey has projected GDP growth of up to 7.2% on the back of strong domestic demand
TL;DR
- India's GDP is projected to grow between 6.8% and 7.2% in the 2026-27 financial year.
- Strong domestic demand is the primary driver of this projected growth.
- Global volatility, slower growth in trading partners, and tariff-induced disruptions are cited as factors weighing on the outlook.
- India's rupee has slid to a record low against the dollar.
- A 50% US tariff imposed in August has been mitigated by New Delhi slashing its goods and services tax.
- India aims to bolster its economy and protect it from tariff shocks through upcoming federal budget measures.
- India overtook Japan to become the world's fourth-largest economy last year.
- New Delhi is actively diversifying its trade basket, finalizing a deal with the EU and signing pacts with the UK, Oman, and New Zealand.
- India is in trade talks with nearly a dozen other trade blocs and countries.
Continue reading
the original article