By Admin 
The International Monetary Fund (IMF) has cut the estimate of India’s economic growth rate (GDP growth). According to the IMF’s World Economic Outlook report of April 2025, now India’s GDP growth is estimated to be 6.2 per cent in 2025, which was earlier stated to be 6.5 per cent in the January 2025 report. According to the IMF, the amendment has been made globally due to increasing uncertainty and the US’s new trade policies, especially tariffs imposed by President Donald Trump.
Bad news also for global economy
The report said that India’s economic condition remains relatively stable, mainly due to increasing private consumption in rural areas. However, global trade stress and uncertainties have affected India’s possible growth, due to which the growth rate has seen a decline of 0.3 percentage points.
The IMF has made a big deduction in the development estimates of the entire global economy, not only in India, but also. Now the global GDP growth is expected to be only 2.8 percent in 2025, which is half percent less than the earlier estimate.
America and China will also suffer loss
America’s growth rate has been reduced from 2.7 per cent to 1.8 per cent, while China’s GDP growth has now been reduced from 4.6 per cent to 4.0 per cent. IMF also stated that China’s growth estimate for 2026 has also been reduced to 4.5 per cent to 4.0 per cent.
The IMF report clearly warned that in the last few months, rapid changes in tariffs and business policies declared by the US are becoming a big risk for the global economy. The report said that the world is coming out of the economic system, which was going on for the last 80 years. The old rules are being challenged and new rules have not yet come into existence.
India needs to balance
In the context of India, the IMF stressed that although domestic demand and some stability remains from the rural economy, there is a need to be cautious to deal with global level uncertainty. In the coming time, India will have to take care of global conditions by balanceing its economic policies.
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