US Tariff Impact on India Won't Last Beyond 2 Qtrs: CEA

The chief economic adviser (CEA) V. Anantha Nageswaran on Wednesday said US tariffs-related challenges will dissipate in the next one or two quarters, and urged the private sector to do more as the country navigates through other longer-term challenges.

- Pti

He attributed the growth slowdown in fiscal year 2025 (FY25), which saw a deceleration to 6.5% from FY24's 9.2%, to tight credit conditions and liquidity issues. The right agriculture policies can add 25% to real GDP growth, Nageswaran added.

On the US tariffs, the CEA said it is the second and third-order impacts, which will flow once sectors like gems and jewellery, shrimps and textiles have taken the first-order brunt, that will be "more difficult" to tackle.