Indian Economy Report: While there is an atmosphere of uncertainty in the markets around the world after the Iran-US war, the Indian economy is continuously shining. In the latest economic report released by the government, it has been said that the situation of domestic demand and investment in the country is strong. Be it GDP growth, manufacturing sector or record sales of vehicles, the country is progressing on every front.

How is the economic health of the country?

India’s GDP growth in the financial year 2025-26 has been 7.7%. In the last quarter of the year it further jumped to 7.8%. That means the pace of the country’s economy is increasing. Tremendous growth is being seen in both the manufacturing and services sectors of the country. PMI stood at 54.2 in June 2026. It is above the 50 mark for the 37th consecutive month, which means that work in factories is continuously increasing. Companies are getting new orders and employment opportunities are being created.

At the same time, the Services PMI Index increased from 58.8 in April to 59.8 in May. The great thing is that this is the biggest increase after November 2025. This sector is strong due to new customers and export demand.

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India’s Index of Industrial Production or IIP grew at a pace of 5.1% in May 2026, which is the highest in the last 5 months. In manufacturing, the automobile sector has jumped by 14.5% and the electrical equipment sector has jumped by 20.8%. An increase of about 10% has also been recorded in electricity and gas supply.

Government’s big bet on infrastructure

It has been told in the report that the government is strengthening the basic infrastructure of the country. In the first two months (April-May) of the financial year 2026-27 alone, the government has made a capital expenditure of Rs 2.51 lakh crore. This is approximately Rs 29 thousand 650 crore more than last year.

Let us tell you that out of this, Indian Railways alone has spent more than Rs. 84 thousand crores in April-May, which is about 30 percent of its target for the entire year. This money is being spent on the safety of trains, new signal systems, protection systems and laying of new tracks.

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Jump in GST collection

This report shows that the government is successful even in the matter of tax collection. GST collection increased by 13.9% to about Rs 1.95 lakh crore in June 2026, which was Rs 1.71 lakh crore in June 2025. Talking about direct tax, till June 17, the net direct tax collection has increased by 14.64% to Rs 5.21 lakh crore. There is good growth in both corporate and personal taxes.

Demand for vehicles increased in villages

Interestingly, vehicle sales in rural areas have increased by 7.8% in the month of May. If we talk about the entire country, then 26.11 lakh vehicles were sold in April 2026, which is the biggest ‘April record’ in the auto history of India. There was bumper demand for SUVs, EVs and two-wheelers in May and June also.

Goldman Sachs: There is relief news for crores of people of the country. Crude oil prices have fallen. After the fall in the prices of crude oil in the international market, now the possibility of increase in the prices of petrol and diesel in India has reduced significantly. Not only this, global investment bank Goldman Sachs has also increased the estimate of India’s economic growth rate. Experts believe that cheap crude oil can prove beneficial for the Indian economy in many ways.

Why did you get relief?
In recent days, after the tension between America and Iran has subsided, there has been a decline in the prices of crude oil in the international market. This has also reduced the concerns regarding oil supply. India imports a major part of its crude oil requirement. In such a situation, when oil becomes cheaper in the global market, the pressure on the government and oil companies to increase the prices of petrol and diesel also reduces.

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Inflation will also be affected
The benefit of cheaper crude oil is not limited to petrol and diesel only. This also reduces transportation costs, which can also impact the prices of food items, everyday goods and other products. Goldman Sachs has also reduced its inflation forecast for India. Along with this, the estimate of current account deficit has also been reduced as compared to earlier.

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How will India benefit?

• There will be less pressure on the price of petrol and diesel
• Will help in controlling inflation
• Government’s import bill may reduce
• There will be less pressure on the rupee

Will petrol and diesel become cheaper?
At present, no reduction in the prices of petrol and diesel has been announced by the oil companies. However, experts believe that if crude oil prices remain low for a long time, then customers may get relief in the future.

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Elon Musk Networth: When it comes to the richest people in the world, the first name that comes to mind is Elon Musk. But the real size of his wealth becomes clear when compared with countries, companies and sports teams. According to recently revealed figures, Elon Musk’s total wealth has reached almost 25 percent of India’s GDP. This means that one person has more wealth than even many big economies of the world.

Musk can buy RCB 561 times

The brand value and franchise value of Royal Challengers Bangalore (RCB), one of the most popular teams of IPL, is in billions of rupees. According to media reports, Elon Musk’s wealth is so much that he can buy a team like RCB up to 561 times. This comparison has been made to explain the huge size of his wealth. Even the franchises included among the most valuable teams of IPL look very small in comparison to Musk’s net worth.

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Far ahead of many big industrialists of India

Elon Musk’s wealth is more than the total wealth of many big industrialists not only in India but also in the world. His net worth is sometimes said to be bigger than the combined wealth of India’s top billionaires. A large part of Musk’s wealth comes from his stake in Tesla, SpaceX and other tech companies. This is the reason why his net worth keeps changing with the ups and downs of the stock market.

How did wealth increase so fast?

The biggest contribution to Elon Musk’s wealth is the increasing valuation of his companies. Especially the tremendous rise in the market price of SpaceX and Tesla has taken their net worth to new heights. Experts say that most of his wealth is not in cash, but in the form of shares and stakes. That is, on paper his wealth looks huge, but most of it is linked to the valuation of companies.

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Wealth bigger than the economy of many countries

Musk’s wealth is being compared with the GDP of many countries. Statistics show that his total wealth is more than the annual economic activities of many developed and developing countries of the world. This is the reason why Elon Musk is no longer just a name in the business world, but has become a symbol of global economic power.

Igor Sechin, CEO of Russian oil company Rosneft, has made a big prediction about India. He has said that about 50 percent of the new oil demand that will increase in the world in the coming decade will come from India alone. This means that India can gradually become the biggest driving force of the global energy market.

Why will India become the largest oil consumer?

According to Igor Sechin, India’s rapidly growing economy, increasing population, urbanization and increase in vehicle use are the main reasons for this. He said that by 2035, India’s oil consumption can increase by about 44% to about 8 million barrels per day. He says that the demand for energy is increasing fastest in developing countries, but India is at the forefront among them. Therefore, India’s role in the global oil market will become even more important in the coming years.

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Big change in the global energy market

Rosneft CEO also indicated that the world’s energy structure is changing. Demand for oil may be stable or slow in developed countries, but demand will increase rapidly in developing countries like India. For this reason, a large part of the global oil demand growth will be linked to India. He also said that India is not just an oil consumer but is becoming the center of global energy strategy.

Growing impact of Russia-India energy partnership

Sechin also said that the oil supply to India from Russia has strengthened the economic cooperation between the two countries. Since 2022, India and China have benefited billions of dollars from cheap Russian oil. This makes it clear that the global energy market is no longer just a game of supply and demand, but the role of geopolitics has also increased significantly in it.

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What will be the challenge in the coming times?

Although this growth is an opportunity for India, it also comes with challenges. The increasing demand for oil means that the country’s import dependence may increase further. If prices go up in the international market, it will have a direct impact on petrol-diesel and inflation. According to experts, to strengthen its energy security, India will also have to work rapidly on renewable energy and alternative fuels.

On one side, America is the world’s largest military power and on the other side, China is the fastest emerging economic superpower. In the last few years, the conflict between the two countries increased continuously over trade war, Taiwan, technology and military tension, but now the picture of Beijing has caught the attention of the world. When US President Donald Trump reached China, he openly praised Chinese President Xi Jinping. Trump said, ‘I tell everyone that you are a great leader.’ He also said that ‘It is an honor to be your friend.’ Jinping also said in a very soft tone, ‘China and America should not become competitors, but partners.’ So is this just a diplomatic smile in front of the cameras, or do both countries really want to reset relations?

What happened in the meeting?

On May 14 (Thursday), Trump received a warm welcome at the Great Hall of the People in Beijing. Trump said that whenever any problem arose between the two countries, he and Xi Jinping resolved it by talking directly. Trump said, ‘I used to call you and you used to call me. People don’t know, but we solved many problems very quickly.

He also said that he has brought along America’s ‘best business leaders’ on this tour. This statement was not just a compliment, but also an economic signal that Trump wants to strengthen trade relations with China again.

Xi Jinping gave a big message, not just friendship

Trump’s style was personal and friendly, but Xi Jinping’s message is considered to be deeper and strategic. He said, ‘We should support each other’s success and growth and find the right path for relations between big countries in the new era.’

Jinping also mentioned the Thucydides Trap. This is a principle in international politics which states that when a new power challenges an old power, the risk of conflict or war increases. Jinping’s indication was clear that China does not want open conflict with America, but wants a balance between competition.

But how did the atmosphere change so suddenly?

This is the most interesting question. Till some time ago the atmosphere between the two countries was extremely tense:

• Trade War: Fight over tariffs and import duties.
• Technology War: Competition on semiconductors, AI and 5G.
• Taiwan: China considers it as its part, while America speaks openly about the security of Taiwan.
• South China Sea: Tension over military presence and maritime claims.
• Iran and global security: Changing equations in the Middle East are also part of the conversation.

In such an environment, Trump reaching Beijing and adopting such a soft tone in the beginning is big news in itself.

What will be the consequences of praise?

This meeting focuses on issues like trade, tariffs, agricultural products, rare earths, technology and Iran crisis. Trump’s emphasis is mainly on economic deals. They want more purchases of American soybeans, beef, Boeing aircraft and other products from China. There is talk from both sides about strengthening last year’s trade truce and creating a new investment forum.

The Chinese side said that the talks between the economic teams have yielded ‘balanced and positive’ results. Relaxation of export controls on rare earth minerals and better access of American products to the agricultural market seem possible. Both the countries also seem to have agreed on creating a trade and investment mechanism.

According to experts, more stability and limited deals are expected from this conference rather than major breakthroughs. America wants to maintain its policy on the issue of selling arms to Taiwan, while China considers it sensitive. The issue of Iran war and Hormuz Strait was also discussed between the two. Top businessmen, including Nvidia’s CEO Jensen Huang, who accompanied Trump, are considering this trip as an opportunity for American companies to gain better access to the China market.

Will praise be enough?

Foreign affairs expert and JNU professor Rajan Kumar says, ‘Compliments definitely warm the atmosphere. Trump’s personal chemistry style and Xi’s partner-oriented approach are giving positive messages to both sides. But real success will depend on closed-door talks and concrete agreements. Past experiences show that despite personal friendship, trade deficit, technology restrictions and security issues remain challenges.

According to the information so far, both the leaders can also agree on each other’s visit to America and the program of meeting at forums like APEC, G20. If this meeting goes in the right direction, it can make 2026 a year of stability and cooperation in the relations between the two countries. The exchange of compliments between the world’s two largest economies gives hope that despite difficulties, a path to cooperation can be found. The results will become clear in the coming days, but the beginning has definitely been good.

Whenever there is a big meeting between China and America, one term comes up again and again – ‘Thucydides Trap’. This is not a new rule of the game, but a bitter truth of 2,500 years old history, which explains the tension between the world’s two biggest powers even today. Let us understand this without any further ado…

Where did the name Thucydides come from?

This whole idea comes from the book of Thucydides, an old Greek historian. He had studied the ‘Peloponnesian War’ that took place between Athens and Sparta in about 400 BC very closely. At that time, Athens was rising rapidly and its growing power created fear in the minds of the old superpower Sparta. Thucydides then wrote a line that still applies today, ‘This war became necessary because the growing power of Athens had created fear in Sparta.’

Simply put, whenever a rising power (like China today) starts challenging an existing ruling power (like the US), the risk of conflict between them increases significantly. This is the Thucydides Trap. This is not a law, but a dangerous pattern repeated over and over again in history.

Direct war broke out in 12 cases

Professor Graham Allison of Harvard University, the biggest expert on this matter, studied the history of the last 500 years in depth. He conducted a total of 16 such case studies in the last 500 years where an emerging power directly challenged an established power. allison’s book ‘Destined for War: Can America and China Escape Thucydides’ Trap’ The surprising thing is that in 12 out of those 16 cases, outright war broke out. That means the probability of collision was up to 75 percent. There were only 4 cases where there was no bloodshed and that too because those countries acted with great understanding and diplomacy.

Why is America and China being discussed about this?

As of today, America is the number one economy in the world, but the pace of China is putting it to rest. China has emerged as the world’s factory. Its GDP was only 361 billion dollars in 1990, which will increase to more than 20 trillion dollars by 2025. On PPP basis, China is already the world’s largest economy. America is still ahead in nominal GDP, but China is rapidly catching up.

America’s GDP in 2023 was around $27.36 trillion, while China’s GDP was around $17.79 trillion. According to the International Monetary Fund (IMF), China’s economy may overtake America around 2030. This figure alone is the real root of Sparta’s fear. America feels that China is giving it a tough challenge not only in economy, but also in technologies like 5G and Artificial Intelligence, and in terms of military power in the South China Sea. This is the reason why in every meeting of the leaders of the two countries, this ‘trap’ is reminded that this obsession of getting ahead is not pushing the world towards a big war.

America’s defense budget in 2026 is approximately $831-954 billion, which is more than the next 6-7 countries in the world combined. China’s official budget is around $277–336 billion (with 7% growth), but PPP and actual spending estimates go above $500 billion. China’s navy is now the world’s largest in number of ships. Tension is increasing in Taiwan, South China Sea and Indo-Pacific.

So is the fight certain?

no way. Professor Allison himself says that traps are not mandatory, provided the leadership shows wisdom. Just as during the Cold War, America and the Soviet Union had opened the avenues of diplomacy and dialogue to avoid direct conflict, similarly in today’s situation, continuous dialogue is the only way out. This is the reason why whenever there is a dialogue between China and America, the discussion becomes intense about what steps both the countries are taking to avoid falling prey to this trap.

On May 13, 2026, Trump-Xi Jinping met in Beijing. Xi Jinping openly said, ‘The world has reached a new crossroads. Can China and America overcome the Thucydides Trap and create a new model of relations between big countries?’ Trump described the relationship as ‘strong’, but economic, technological and security issues (trade, tech, Taiwan, Iran) run deep on both sides. Ellison believes that even today, deep economic ties (trade, investment) and nuclear weapons between the two countries make war expensive. This is not just a term, but a mirror which shows how much wisdom is needed by the big powers of the world today.

On May 10, 2026, Prime Minister Narendra Modi had made an emotional appeal to the citizens of the country and said that we all should together save the country’s foreign exchange. For this we will have to reduce expenditure on things coming from outside. This appeal came at a time when India’s foreign exchange reserves had come down to $ 690.69 billion, the rupee had touched an all-time low of 95.63 against the dollar and the price of crude oil had gone above $ 105 per barrel. In such a situation, the question arises that if PM Modi’s appeal is accepted, how much damage can be caused to the country’s economy?

Three big economic reasons behind PM Modi’s appeal

1. Rising price of crude oil: India buys about 89% of its crude oil requirement from other countries. In the year 2025-26, India imported crude oil worth about $123 billion. This is the largest part of our total import bill. In the last one year, the price of oil increased from $ 70 per barrel to above $ 113. When oil is expensive, more dollars go out of the country’s pockets.
2. Heavy import of gold: Every year 700 to 800 tonnes of gold is consumed in India, whereas in our country only 1 to 2 tonnes of gold is produced. We have to import the remaining gold from outside. About 72 billion dollars were spent on this in the year 2025-26. Buying gold means going out of dollars.
3. Rupee is weakening and CAD is under pressure: On May 12, 2026, the rupee reached its lowest level of 95.63 against the dollar. When the rupee weakens, buying goods from outside becomes more expensive. This creates a danger of increasing inflation.

Understand in simple words: CAD means Current Account Deficit. When a country spends more than it earns from other countries, it is called CAD. This directly puts pressure on our foreign exchange reserves. A major reason for these three problems is the ongoing tension in West Asia, due to which the oil supply has been affected and the oil market of the entire world is unstable.

If the appeal is accepted, how big a loss is possible to the economy?

If the entire country starts implementing these things together, then foreign exchange will be saved, but the demand in many important parts of the economy will suddenly decrease. This can have a direct impact on jobs, business and the country’s growth rate (GDP growth):

1. Big impact on gold and jewelery industry

This is the area that will suffer the first and biggest blow. India is the second largest gold purchasing country in the world and imports more than 90% of its gold requirement. In the last financial year (FY26), India imported gold worth about $72 billion, which is about 10% of the total import bill.

loss estimate

• Threat to jobs: According to Rajesh Rokade, Chairman of All India Gems and Jewelery Domestic Council (GJC), this appeal may threaten the livelihood of more than 1 crore (10 million) people who are directly or indirectly associated with the jewelery industry.
• Impact on MSMEs and artisans: According to the Gem and Jewelery Export Promotion Council (GJEPC), about 3 lakh small businesses (MSMEs), artisans and traditional jewelery hubs (Mumbai, Surat, Jaipur, Kolkata, Hyderabad) will be affected by the prolonged decline in gold demand.
• stock market crash: Immediately after the appeal, shares of big jewelery companies fell heavily. Titan Company fell by 5.34%, Kalyan Jewelers by 7.43%, Senco Gold by 8.98% and PC Jewelers by 3.89%.
• Effect on gold price: Experts say that India is the world’s largest gold consumer, so if Indians do not buy, global gold prices may fall.

2. Impact on tourism, hospitality and aviation industries

The Prime Minister has appealed to ban foreign trips and promote work from home. This will have a direct impact on the travel, hotel and airline industries.

loss estimate

• Impact on foreign exchange expenditure: In the financial year 2025, about 58% of the total amount sent under the Liberalized Remittance Scheme (LRS) was spent on international travel.
• Pressure on domestic sectors: If people start working from home on a large scale, it will put short-term pressure on sectors like hospitality, aviation, logistics and commercial real estate which are dependent on the physical movement of people.
• Foreign Tourism Disadvantages: The appeal of holding weddings and programs within the country will save Indian expenditure on foreign tourist destinations, but the business of tour operators and airlines associated with it will be affected.

3. Eye on private consumption and economic growth

This is a matter of biggest concern. The contribution of private consumption in India’s economy is about 60%. This means that the speed of our GDP depends to a great extent on how much we all are spending together.

loss estimate

• Estimate of huge decline in GDP growth: On May 12, 2026, Moody’s Ratings reduced India’s 2026 GDP growth forecast by 0.8% to 6%. Their reasons were weak private consumption, slow capital formation and sluggish industrial activity. The estimate for 2027 was also reduced to 6%.
• CRISIL estimates: CRISIL has estimated GDP growth for the financial year 2026-27 at 6.6%.
• Worst case: According to JM Financial, if the oil supply disruption continues for a few more weeks, then in the worst case scenario GDP growth could fall to 6-6.5%.
• Economist’s warning: According to Anil Kumar Bhansali, head of Finrex Treasury Advisors, the short-term effect of the PM’s advice will be in the form of a slowdown in economic growth.

4. What will be the government finances and fiscal deficit?

When people reduce consumption, the taxes received by the government (like GST) also reduce. Also, the government’s budget may deteriorate due to high oil prices and the burden of subsidies.

loss estimate

• Nomura reports: Japanese financial institution Nomura estimates that India’s fiscal deficit may increase to 4.6% of GDP in the financial year 2026-27, which is more than the budget target of 4.3%.
• Losses of oil companies: Government oil companies (OMCs) are incurring a loss of Rs 30,000 crore every month due to keeping prices stable. If prices have to be increased even after reducing consumption, its political and economic damage will be different.
• Moody’s warning: Moody’s said higher fuel and fertilizer costs will put pressure on government finances, which could lead to cuts in planned capital spending (government investment).

5. Stock market and investor confidence

Immediately after the Prime Minister’s appeal, the stock market reacted very negatively, which shows that fear of economic slowdown has settled in the minds of investors.

loss estimate

• Disadvantages of Market Capitalization: On May 12, 2026, on the first trading day after the appeal, the Sensex fell 1,312.91 points (1.70%) and the Nifty fell 360.30 points (1.49%). In this decline, market capitalization of more than Rs 6 lakh crore of BSE listed companies was wiped out in just one day.
• Investors’ concerns: Nomura said in his note that the PM’s appeal is an indication that India’s fiscal situation is reaching a ‘tipping point’.
• Record fall in rupee: On the same day, the rupee fell by 82 paise and closed at a record low of 95.31 against the dollar.

6. What will be the impact on edible oil and agriculture sector?

PM Modi has also appealed to reduce the consumption of edible oil and adopt natural farming instead of chemical fertilizers. Although it has health and environmental benefits, there are also some challenges economically.

loss estimate

• Risks to Agricultural Productivity: Abruptly moving away from chemical fertilizers can have a short-term impact on crop production, leading to the risk of increasing food inflation.
• Additional pressure on imports: India’s fertilizer imports had already increased by 61% to $16 billion in FY26, which is a matter of serious concern.

Estimate of slowdown in economic activities

Professor Lekha Chakraborty of NITI Aayog and NIPFP says this is a ‘sensible economic stability strategy’, which encourages citizens to reduce import-heavy consumption. However, she also believes that fuel consumption is not completely dependent on the will of the people, because industry, logistics and transportation run on it. If there is a sharp decline in fuel consumption, it could mean a slowdown in economic activity.

Not increasing prices is also a problem

Rahul Ahluwalia, founding director of the Foundation for Economic Development, said that the PM’s address actually reflects the distortion of the delayed recovery in prices. If prices were allowed to rise in line with the market over time, people’s consumption habits would automatically change.

Is this a sign of a 1991-like crisis?

ORF’s economic expert Vivek Mishra believes that the situation now is not as bad as 1991. At that time, India’s foreign exchange reserves were equal to only three weeks of imports. But organizations like Nomura have warned that the government may have to ask ordinary households to share this economic burden. Its immediate effect can be seen in the form of increase in the prices of petrol and diesel.

Reduction in imports, a different perspective

Yes Bank Chief Economist Indranil Pan cautioned that the debate should not be limited to CAD only. The net inflow of foreign investment (FDI) is very weak. The policy response should focus on increasing capital flows rather than curbing consumption.

Iran-US War Impact: The increasing tension in the Middle East is affecting the economy of the entire world and now its effect can be seen on India too. Asian Development Bank (ADB) has warned that due to the ongoing crisis in the Middle East, crude oil prices may remain high for a long time. This may increase inflation in India and also affect the economic growth rate.

Crude oil prices may remain high

According to PTI report, ADB Chief Economist Albert Park said that if the Middle East crisis continues for a long time, there will be a big impact on the supply chain and there may be an increase in the prices of crude oil. According to him, the average price of crude oil in 2026 could be $96 per barrel. Whereas in 2027 it may remain around $80 per barrel.

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India’s GDP growth will be affected

Albert Park said that this crisis will also affect India’s economic growth rate. ADB estimates that India’s GDP growth may decline by 0.6 percent and may come down to 6.3 percent. It is noteworthy that in April, ADB had estimated India’s GDP growth to be 6.9 percent for the current financial year, while it was expected to reach 7.3 percent in the next financial year. But it is a matter of relief that the Indian economy can get back on track next year.

Can inflation increase?

The impact of rising crude oil prices will not be limited to GDP only. Along with this, inflation may also increase in India. ADB had earlier estimated the inflation rate for the current financial year at 4.5 percent, which has now been increased to 6.9 percent. This means that inflation may see a jump of up to 2.4 percent.

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Why will inflation increase?

India imports a large part of its oil and gas needs from abroad. In such a situation, if oil and gas become expensive in the international market, then it directly impacts India. Apart from this, due to increase in gas prices, fertilizers and fertilizers will become expensive, which will increase the costs of farmers.

If farmers use less fertilizer, crop production may decrease. This will directly affect the prices of food items. That means, it is clear that if the tension in the Middle East continues for a long time, it will have a direct impact on inflation in India, which will have a direct impact on the pockets of the common people.

Assocham Report: Regarding the Indian economy, Assocham has expressed confidence that even if the price of crude oil remains between 90 to 100 dollars per barrel, the country’s growth rate can still remain above 7 percent. This means that despite pressure on crude oil prices, there is little possibility of a major impact on growth.

According to the report, in the last few years, the country has strengthened its capacity on several occasions amid the impact of expensive oil. ASSOCHAM said that the country has gone through high oil prices many times before. Despite this, there was not much impact on the pace of economic development.

Oil remained expensive, yet there was not much impact on growth

1. According to ASSOCHAM, there have been many years between 2000-01 to 2025-26 when crude oil prices were at medium or high levels. However, even during this period, India’s economy showed strong growth.

2. Talking about the figures, despite the oil price being around $ 93 per barrel in 2022-23, the growth was 7.6 percent. At the same time, even at the level of around $ 82 per barrel in 2023-24, the growth rate was 7.2 percent.

3. Between 2011 and 2014, even when oil was above $100 per barrel, GDP growth was between 5.2 to 6.4 percent. These figures clearly show that despite crude oil becoming expensive, the country’s economy has remained stable.

GDP growth expected to be above 7%

ASSOCHAM says that India’s GDP growth may remain above 7 percent in 2026-27. The main reasons for this are strong consumption, stable exports and continuously increasing capital investment.

According to the organization’s president Nirmal Kumar Minda, all these factors together strengthen the economy. Will also continue to support growth in future also.

Crude oil prices rise as tensions increase

As the situation in the Middle East shows signs of worsening again, there has been a sharp increase in the prices of crude oil. Today, on April 23, 2026, the price of WTI crude oil future crossed $ 93 per barrel. At the same time, Brent crude has also increased to the figure of $ 102.501 per barrel. From which it is clear that this tension is having a direct impact on oil prices at the global level.

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China GDP Growth: On one hand, there is pressure on many countries due to the ongoing tension in the Middle East, while on the other hand, the situation in the neighboring country China is telling a different story. Despite global uncertainty, China’s economy has performed better than expected in the first three months of the year.

According to official figures, China’s GDP has increased by 5 percent on an annual basis during this period. Experts had estimated it to be around 4.8 percent. These strong figures have come at a time when there is tension between US and Iran.

Signs of improvement in China’s economy

Beijing has recently reduced its annual GDP target to between 4.5 percent and 5 percent. Which is considered to be the lowest since 1991. However, compared to 4.5 percent in the last quarter, some improvement is definitely being seen.

expert opinion

Brookings Institution analyst Kyle Chan believes that car and other export figures have become the strongest aspect for the country this time. The manufacturing sector has played an important role in this growth. But pressure is still visible in the property sector.

Kyle Chan has also expressed his views on the Iran war and its impact. According to him, the impact of this conflict can be seen on the GDP of the upcoming quarterly results. He has also said that the pace of the economy is slowing down a bit.

Trump tariff got a blow

America currently has a 10 percent tariff on most Chinese goods. Despite this, China’s economy has performed better than expected.

These figures of strong GDP growth can be a cause of concern for Donald Trump. The increase in China’s economic growth despite tariff pressure shows the growth of the country’s manufacturing sector.

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