The ratings agency says US tariffs are unlikely to dim the South Asian nation\u2019s prospects<\/p>\n
India\u2019s economy is expected to grow 7% this year, the ratings agency Moody\u2019s has said.
\nIn the Global Macro Outlook report it released on Thursday, the agency said the steep 50% tariffs Washington has imposed on India would not have a major impact.
\n\u201cIndian exporters, facing 50% US tariffs on some products, have succeeded in redirecting exports, its overall exports climbed 6.75% in September even as shipments to the US dropped 11.9%,\u201d Moody\u2019s said in the report.\u00a0
\nThe US imposed a 25% import tariff on India in August after the countries failed to reach a trade agreement. This was followed by an additional 25% punitive levy on New Delhi for its continued imports of Russian oil.<\/p>\n
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Moody\u2019s projected consumption demand and infrastructure spending would boost economic growth.
\nIt also noted that private sector capital spending is likely to remain cautious.
\nIndia\u2019s central bank, the Reserve Bank of India (RBI), has estimated economic growth for the 2025-26 financial year at 6.8%, while the country\u2019s finance ministry has projected 6.3%-6.8% growth.
\nOfficial data put economic growth in the January-March quarter at 7.4%. It increased to 7.8% in the April-June quarter.
\nMoody\u2019s has also projected that the Indian economy will grow 6.4% in 2026 and 6.5% in 2027.
\nIn September, India announced it was cutting the Goods and Services Tax (GST) in order to boost spending ahead of the festive season.
\nThe rating agency said an easing monetary policy stance and low inflation have supported economic growth.
\nRBI slashed its key policy rate thrice in 2025, including a 50 basis point cut in June.
\nIndia\u2019s retail inflation hit a record low of 0.25% in October, from a revised 1.44% in September, according to government data.<\/p>\n","protected":false},"excerpt":{"rendered":"
The ratings agency says US tariffs are unlikely to dim the South Asian nation\u2019s prospects India\u2019s economy is expected to grow 7% this year, the ratings agency Moody\u2019s has said.…<\/p>\n","protected":false},"author":1,"featured_media":22460,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"rop_custom_images_group":[],"rop_custom_messages_group":[],"rop_publish_now":"initial","rop_publish_now_accounts":[],"rop_publish_now_history":[],"rop_publish_now_status":"pending","footnotes":""},"categories":[4,6,3],"tags":[],"class_list":["post-22459","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-economy","category-environment","category-politics"],"aioseo_notices":[],"aioseo_head":"\n\t\t\n\t\n\t\n\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t