Gross Domestic Product

The president of the industry body further stated that India's strong industrial competitiveness will balance the impact of US tariff announcements, and GDP will see only a 0.1 per cent impact in the short term.

India’s GDP has doubled from $2.1 trillion to $4.2 trillion in 10 years, driven by robust reforms, industrial expansion, and digital transformation. With sustained growth, India is set to become the third-largest global economy by 2028.

On the domestic front, India is set for a substantial defence push. The government has announced plans to place Rs 1.5 trillion worth of large-scale defence orders by March 2025. This move, aimed at addressing slow ordering momentum in FY25, is expected to provide a significant boost to defence stocks.

The Indian economy expanded at a faster rate of 6.2 per cent in Q3FY25, compared to 5.58 per cent in Q2FY25. However, the growth rate was slightly below expectations, which were pegged at 6.3 per cent.

The SBI report has also revised India's full-year GDP growth estimate for FY25 to 6.5 per cent, up from the earlier estimate of 6.4 per cent in the First Advance Estimates (FAE) published on January 7.

The Indian economy grew by 6.2 per cent in real terms in the October-December quarter of the current financial year 2024-25, Ministry of Statistics and Programme Implementation's official data showed on Friday.

The Federation of Indian Chambers of Commerce and Industry (FICCI) maintained its forecast at 6.4 per cent, while the International Monetary Fund (IMF) also kept its estimate unchanged at 6.5 per cent.

India's economic growth is expected to pick up momentum in the third quarter of the financial year 2024-25 (Q3FY25), with GDP growth estimated at 6.2 per cent, up from 5.4 per cent in the second quarter (Q2FY25), according to a report by Union Bank of India.

To reach this milestone, the report also mentioned that India will need to maintain a strong annual economic growth rate of 8-10 per cent. This growth will be driven by changes in major sectors, advancements in technology, and a skilled workforce ready for future demands.

The RBI bulletin noted that the uncertainty surrounding global trade and geopolitical landscape, have had a bearing on domestic equity markets. The benchmark and broader markets declined on account of selling pressures from foreign portfolio investors (FPIs) as sentiments remained weak.