Page 4 - Gdp Growth

Datanomics: Net exports' contribution to US GDP growth at its peak

Net exports of goods and services contributed 4.99 percentage points to GDP growth in the second quarter of 2025, the highest in the US since at least 1947

RBI's MPC likely to keep repo rate unchanged: Business Standard poll

Respondents expect downward revision in FY26 inflation forecast

Trump tariffs may drag India's FY26 GDP growth by 20-40 bps: Economists

Apart from the 25 per cent tariff, Trump on Wednesday threatened to impose a penalty on India for buying Russian oil and defence equipment

IMF raises India's GDP growth projection by 20 bps to 6.4% for FY26

IMF revises India's FY26 GDP growth to 6.4%, citing a favourable external environment; global growth also projected higher for 2025 and 2026

Ind-Ra cuts India's FY26 GDP growth forecast to 6.3% on weak outlook

India Ratings & Research (Ind-Ra) on Wednesday trimmed India's growth projection for the current fiscal to 6.3 per cent, citing uncertainties around US tariffs and weak investment climate. Ind-Ra expects GDP in FY26 to grow 6.3 per cent y-o-y, 30bp lower than its earlier forecast of 6.6 per cent made in December 2024. The economy is facing both headwinds and tailwinds, it said in its mid-year economic outlook. "Major headwinds are: i) uncertain global scenario from the unilateral tariff hikes by the US for all countries and ii) weaker-than-expected investment climate. The major tailwinds are: i) monetary easing, ii) faster-than-expected inflation decline, and iii) likely above-normal rainfall in 2025", said Devendra Kumar Pant, Chief Economist and Head Public Finance, Ind-Ra. The Indian economy had grown at 6.5 per cent in 2024-25 (April 2024 to March 2025) Ind-Ra's projections for FY26 are lower than the 6.5 per cent GDP growth projected by the RBI and the Asian Development Bank .

Inflation undershoots, yet risks remain: Rate cuts may spark volatility

The MPC's June 2025 decision to cut the repo rate by 50 basis points - more than expected - surprised markets

Has Indian inequality declined? Post-tax income data holds the answer

Many who are accustomed to media reports claiming high inequality in the country have responded to the WB's claims with scepticism or outright dismissal

UK economy shrinks again in May, raising new worries amid global headwinds

Gross domestic product declined by 0.1 per cent after a 0.3 per cent drop in April, the Office for National Statistics said

Need 10% nominal GDP growth a year to achieve Viksit Bharat goal: CII chief

India needs an average nominal GDP growth rate of 10 per cent annually to achieve the government's vision of Viksit Bharat by 2047, CII President Rajiv Memani said. Nominal GDP is the total value of goods and services produced in a country, measured using current market prices, without adjusting for inflation, unlike real GDP. "India would require an average about 10 per cent nominal growth to achieve the Viksit Bharat vision," Memani told PTI. In an interview to PTI, the newly-appointed president of the industry lobby observed that the interim trade pact between India and the US, expected to be finalised shortly, will remove the cloud of "uncertainty", providing access to a bigger market for Indian firms, especially in labour-intensive sectors. The trade pact between the two nations will also pave the way for technology transfers, more joint ventures and partnerships, the CII president said. "So I think first is that the uncertainty which was there, I think that will go away. Peo

India's FY26 GDP growth likely to be 6.4-6.7% amid strong demand: CII

The Indian economy is expected to grow by 6.4-6.7 per cent during the current financial year driven by strong domestic demand, even as geopolitical uncertainty poses downside risks, CII President Rajiv Memani said on Thursday. Addressing his first press conference after taking over as the CII president, Memani observed that factors including a good monsoon forecast, and enhanced liquidity emanating from the Reserve Bank's CRR cut, and interest rate reduction will support the country's economic growth. Last month, the central bank announced slashing Cash Reserve Ratio (CRR) by 100 basis points, which will unlock Rs 2.5 lakh crore liquidity to the banking system for lending to productive sectors of the economy. Benchmark interest rate was cut by 50 basis points to 5.5 per cent. "We expect (economic growth in) a range of 6.4 to 6.7 per cent," Memani said in response to a question on CII's gross domestic growth (GDP) forecast for India during 2025-26. Observing that there are some obvi

Patchy rural recovery and a weak capex weigh on Q1 growth outlook

Urban demand continues to face headwinds and though rural demand is accelerating, it is still patchy, reckoned several economists

Boosting growth: Integrate MSMEs and e-commerce to surge GDP globally

To close the GDP gap with China, MSMEs, e-commerce, states, logistics growth, and the private sector must work synergistically, with time-bound targets and rewards

EVs, defence, RE sectors face rare earth risks, says finance ministry

Finance ministry's May 2025 review notes easing inflation and strong GDP growth, but flags upside risks from global conflicts, oil prices and investor sentiment shifts

Icra retains India's FY26 GDP forecast at 6.2% despite rising global risks

Rating agency Icra on Wednesday retained its India's GDP growth forecast for fiscal 2025-26 at 6.2 per cent, assuming well-distributed monsoons and crude oil prices averaging around USD 70/barrel. However, geopolitical tensions in West Asia, volatility in financial markets, and uncertain trade policies pose downside risks to this growth outlook, which have intensified, Icra said in its Macro Update June 2025. Reserve Bank has projected the GDP growth at 6.5 per cent. "Economic activity has displayed a mixed trend in the first two months of FY2026, with only nine of the 17 non-agri indicators showing an improvement over Q4 FY2025, even as the output of summer crops is estimated to grow at a healthy pace," the report said. The early onset of monsoons in May 2025 partly weighed upon the performance of the electricity and mining sectors. It also said the prospects for urban consumption remain bright owing to the income tax relief, rate cuts and softening food inflation. However, glob

GDP base revision could be done more frequently in future: Rao Inderjit

MoSPI is examining the feasibility of salvaging the data of 7th Economic Census in consultation with states/UTs

Waller sees room for Fed to cut rates amid easing inflation concerns

Waller said economic data show GDP growth and inflation are running close to the central bank's targets

Indian equities to outperform despite near-term risks: Standard Chartered

While acknowledging that valuations appear stretched, Standard Chartered noted that Nifty's 12-month forward P/E ratio of 20.6x is above its long-term average of 18.2x but still below recent peaks.

Monetary policy: Innovative, out of box, and 'Lucas unanticipated surprise'

After pandemic, this is the first time RBI has reduced policy repo rate by 50 bps to 5.5%

CRR cut surprised mkts; RBI may await data before next rate move: Analysts

The policy, according to U R Bhat, co-founder & director, Alphaniti Fintech shows the RBI's confidence in inflation and other macro variables

RBI Policy: Full of surprises, dovish on growth, neutral on further cuts

With inflation expected to rise back to above 4 per cent by Q4-FY26, the Monetary Policy Committee has capitalised upon the available headroom to frontload rate action