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Reforms to boost growth, but tariff suspense a risk: FinMin
Business Standard
|September 27, 2025
IF Q1 TREND IS MAINTAINED, GROSS FDI INFLOWS COULD HIT ABOUT $100 BN IN FY26, THE FINANCE MINISTRY'S MONTHLY ECONOMIC REVIEW SAID
The Centre's reform agenda, such as the recent goods and services tax (GST) rate rationalisation, is expected to cushion the economy against the adverse effects of tariffs and trade disruptions, but persistent tariff uncertainties could impact export sectors and pose spillover risks to domestic employment, income and consumption, the Finance Ministry said on Friday.
While India's economic outlook remains broadly optimistic, with the nearterm outlook characterised by steady, reform-driven growth rooted in macroeconomic discipline and adaptive economic diplomacy, the ministry's monthly economic review for August reckoned that ongoing vigilance is warranted against external shocks and global market volatility.
The United States' move to levy a onetime $1,00,000 on new H1B visa-seekers is a reminder of the risks of trade uncertainties hitting the 'hitherto unaffected services sector', the review noted.
This story is from the September 27, 2025 edition of Business Standard.
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