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Is 6.5% GDP growth new normal?

The New Indian Express Thrissur

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June 01, 2025

INDIA's economy posted an unexpected 7.4% GDP growth in the fourth quarter of FY25, pushing the full-year growth to 6.5%.

- DIPAK MONDAL @ New Delhi

INDIA's economy posted an unexpected 7.4% GDP growth in the fourth quarter of FY25, pushing the full-year growth to 6.5%. While that's a respectable number, it is the slowest pace in the last four years. Estimates for the next couple of years remain muted - between 6.3% and 6.5%. So, is India's economic engine losing steam, or is 6.5% growth the new normal?

Economists fear that growth may plateau around 6-6.5%, and that the ingredients for a return to 7%-plus growth are missing.

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