Growth outlook at risk: FinMin report

Last week, the International Monetary Fund cut its economic growth forecast for India for the current fiscal year, citing increased trade tensions and global uncertainty

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Trade tensions and geopolitical risks pose a challenge to India’s economic growth in the fiscal year that started this month, potentially disrupting supply chains and pushing up prices, a finance ministry report said.

“Uncertainties stemming from global developments constitute a key risk for the growth outlook for fiscal year 2025/26,” the Ministry of Finance said in its monthly economic report released Tuesday.

The report, prepared by the ministry's chief economic adviser, warned that beyond trade, the perception of prolonged uncertainty could lead private companies to delay investment plans.