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GST cuts to boost demand, but global risks loom, says finmin
Mint New Delhi
|October 28, 2025
Goods and Services Tax (GST) rate cuts are set to bolster domestic demand by easing the tax burden on consumers and businesses, spurring consumption and investment across sectors, and supporting job creation, the finance ministry said in its monthly economic review for September, released on Monday.
The ministry said core inflation is likely to stay soft.
(MINT)
A strong performance in industry and services, along with a stable labour market, is expected to reinforce this momentum, the ministry noted. However, it cautioned that persistent global uncertainties could weigh on exports and external demand, posing downside risks to growth.
The report said ongoing structural reforms and new government initiatives, including the roll-out of GST 2.0, are expected to cushion the economy against these challenges.
Dit verhaal komt uit de October 28, 2025-editie van Mint New Delhi.
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