RBI hails India’s growth resilience amid global uncertainty
India’s economy maintained strength despite global instability and positioned itself for continued expansion, according to the Reserve Bank of India’s October Bulletin released Monday. Manufacturing and services sectors demonstrated solid growth while inflation fell to its lowest level since June 2017. The International Monetary Fund raised India’s 2025 growth forecast by 20 basis points to 6.6 percent, though 2026 projections decreased because of American import tariffs. The Organisation for Economic Co-operation and Development increased its 2025 estimate by 40 basis points to 6.7 percent.
RBI Governor Sanjay Malhotra said declining inflation created room for monetary policy to support expansion without sacrificing price stability objectives. Capacity utilization measures and domestic consumption patterns showed improvement as urban demand recovered and rural spending remained robust. Trade and economic policy uncertainty rose in the United States through September before global investor confidence weakened in October amid renewed tensions between Washington and Beijing. Malhotra emphasized that achieving development goals by India’s centennial independence anniversary requires coordination across fiscal, monetary, and regulatory frameworks.
