India's eco growth to remain robust; GST reform to help cushion adverse impact of US tariffs: IMF
GST
Dated:- 26-11-2025
PTI
New York\/Washington, Nov 26 (PTI) India's economy is estimated to grow at 6.6 per cent in 2025-26, the International Monetary Fund said, noting that the Goods and Services Tax reforms are likely to help cushion the country from the adverse impact of the 50 per cent tariffs imposed by the US.
\n“India\u2019s economy has continued to perform well. Following the economic growth of 6.5 per cent in fiscal year 2024\/25, real GDP expanded by 7.8 per cent in the first quarter of fiscal year 2025\/26,” the IMF said in a statement after its Executive Board completed an annual assessment for India.
\nThe International Monetary Fund (IMF) said that looking ahead, India\u2019s ambition to become an advanced economy can be supported by advancing comprehensive structural reforms that enable higher potential growth.
\nDespite external headwinds, growth is expected to remain ro<\/p>\n
= = = = = = = =<\/p>\n
Plain text (Extract) only<\/strong> = = = = = = = =<\/p>\n ely impact rural consumption and reignite inflationary pressures, it added. = = = = = = = =<\/p>\n
For full text:-Visit the Source <\/a><\/p>\n
\nHeadline inflation is projected to remain well contained, reflecting the one-off effect of the GST reform and continued benign food prices. “Headline inflation has declined markedly, driven by subdued food prices”, the IMF said.
\nIt noted that the financial and corporate sectors have remained resilient, supported by adequate capital buffers and multi-year low non-performing assets. Fiscal consolidation has advanced, and the current account deficit has been contained, supported by resilient service exports.
\nIMF Executive Directors commended India's strong economic performance and resilience, which has benefited from sound macroeconomic policies and reforms. Amid high uncertainty, the Directors called for continued sound policies and noted that accelerated implementation of structural reforms will be critical to maintain stability and support India\u2019s ambition of becoming an advanced economy.
\nThey concurred w<\/p>\n