Last Updated on October 14, 2025 11:09 pm by BIZNAMA NEWS
AMN
The International Monetary Fund(IMF) has said, India’s GDP will grow faster than estimated earlier despite the impact of US tariffs on Indian economy. In its World Economic Outlook report released today, the IMF showed India’s GDP growth rate for 2025-26 at 6.6 per cent versus 6.4 per cent earlier. But the IMF has lowered its estimates by 20 basis points to 6.2 per cent for 2026-27.
The upward revision was on carryover from a strong first quarter more than offsetting the increase in the US effective tariff rate on imports from India since July. The IMF has edged up its 2025 global growth forecast as tariff shocks and financial conditions have proven more benign than expected. However, it warned that a renewed U.S.-China trade war threatened by President Donald Trump could slow output significantly.
The IMF now predicts global real GDP growth at 3.2 percent for 2025, up from a July forecast of 3.0 percent and a more severe April forecast of 2.8 percent that came after Trump imposed broad global reciprocal tariffs and a tit-for-tat escalation with China ensued. It sees global growth at 3.1 percent in 2026, unchanged from the July forecast.
