India’s economy is projected to grow between 6.3% and 6.8% in FY 2025-26, according to the Economic Survey 2024-25, presented in Parliament today by Finance Minister Nirmala Sitharaman. The survey highlights strong domestic fundamentals, declining unemployment, and stable inflation, while emphasizing the need for continued reforms to sustain growth.
Despite the robust outlook, the projected growth would be India’s lowest since the pandemic year (2020-21), when GDP contracted by 5.8%. Recent years saw 9.7% growth in 2021-22, 7% in 2022-23, and 8.2% in FY24.
Key concerns include global geopolitical uncertainties, trade disruptions, and inflation risks. The survey stresses the need for grassroots-level structural reforms and deregulation to enhance global competitiveness. It also warns of risks from AI misuse and corporate bond market inefficiencies.
Sitharaman will present the Union Budget 2025-26 on Saturday, setting the course for India’s economic future.
