India is one of the fastest growing major economies in the world, but ADB reduced the growth estimate

ADB Report on India: The Asian Development Bank (ADB) on Wednesday reduced India’s growth estimate from 6.7 percent to 6.5 percent for the financial year 2025-26 amid trade uncertainty and concerns about the US high fees. India remains one of the fastest growing major economies in the world, despite a decline in the July Asian Development Scenario (ADO) compared to April 2025.Also Read: Recession in the world but Indian economy strengthens, know who claimed this …

According to the July Asian development scenario of July, this amendment has been mainly due to the US fee and the impact of policy uncertainty. In addition to the effects of low global growth and the direct impact of additional US fees on Indian exports, increased policy uncertainty can affect investment flow.ALSO READ: India has become the fourth big economy of the world, leaves Japan behind

Economic activities strong: It said that despite this, economic activities remain strong and the improvement in rural demand is expected to increase domestic consumption strongly. Service and agriculture sector growth is expected to be the major driver and the forecast of more monsoon rainfall than normal will give support to the agricultural sector.
Estimates of growth rate 6.7 percent: The report estimates the growth rate of 6.7 percent for FY 2026-27. The initial expectations of softening of crude oil prices can also support economic activities in FY 2025-26 and FY 2026-27.Also Read: Indian Economy: Indian economy will leave Germany and Japan behind in 3 years, CEO of NITI Aayog expressed estimates

In the Economic Review, the growth rate of GDP for FY 2025-26 is estimated to be between 6.3 percent and 6.8 percent while the Reserve Bank of India (RBI) has reduced its growth estimate for the current financial year from 6.7 percent to 6.5 percent. (Language)

Edited by: Ravindra Gupta