The Indian government has expressed its disagreement with the IMF staff's 'baseline' assumption that the 50 per cent US tariffs on its goods exports 'would remain in place indefinitely', based on which the staff pegged the country's GDP growth at 6.6 per cent this year, and pared its 2026-27 projection by 20 basis points to 6.2 per cent.
Real GDP growth surprised on the upside in 2025, but weaker nominal growth, trade uncertainty, and soft demand signal a bumpier road ahead.
India's real gross domestic product (GDP) is likely to grow at 7.5 per cent in FY26 and moderate to 7 per cent in the subsequent fiscal year, a domestic rating agency said on Wednesday.
Developers are entering one of the busiest construction cycles, with the top four firms planning launches worth Rs 1.13 trillion over the near to medium term, even as execution faces pressure from approval delays, labour shortages, rising costs, and contractor capacity limits across the industry.
The banking sector could see better loan growth in the third quarter of financial year 2026 (Q3FY26) with improved net interest margins (NIMs), though the full impact of latest rate cuts will be largely felt in the fourth quarter. There may be lower slippage in unsecured loans and microfinance institutions (MFIs) along with steady recovery trends, which should lower credit cost.
Across all sectors, the future of work depends on adaptability.
The government bond yield curve is likely to flatten in the financial year 2027 (FY27) as the Reserve Bank of India (RBI) is expected to ease supply pressure in the ultra-long segment. In FY26 so far, reduced investments by insurance companies and pension funds pushed up yields on ultra-long tenor securities, steepening the curve.
India needs to increase the investment rate to 34-35 per cent from 31-32 per cent currently to achieve a growth rate of 7 per cent and above, said S Mahendra Dev, chairman, economic advisory council (EAC) to the Prime Minister, on Wednesday.
Of the 823,000 new subscribers in January, the share of young people (18 to 25 age group) declined to 57.07% (470,000) from 57.28% (485,066) in the preceding month.
Mexico on Thursday imposed a tariff of up to 50 per cent on imports from its non-preferential trade partners, including India, a move that might hit New Delhi's annual $5.75 billion shipments to its third-largest car export market.
Gold prices on Tuesday surged Rs 723 to touch an all-time high of Rs 110,312 per 10 grams in the domestic futures market, tracking strong global cues amid growing expectations of a US Federal Reserve interest rate cut next week. Traders said weak US labour market data has strengthened the case for monetary policy easing, putting pressure on the dollar and boosting demand for the safe-haven asset.
India, the world's fourth largest economy, is set to maintain the 'goldilocks' phase with tailwinds of good growth, low inflation and robust banking performance as well as reform initiatives poised to sustain the economic pace witnessed during 2025.
New Zealand Prime Minister Christopher Luxon on Monday said the negotiations for a free trade agreement with India have been concluded.
'The real story of 2025 is that India officially stopped being a 'market of the future' and started acting as the world's primary economic engine.'
Average employee salaries in India are set to increase by 9 per cent in 2026, with a renewed focus on short-term incentives and skills-based systems, a report said on Wednesday. According to Mercer's Total Remuneration Survey 2026, organisations in India are shifting toward broader, more holistic value propositions and the top factors influencing salary increases include individual performance, inflation and the organisation's competitiveness in the job market, among others.
According to the global professional services company, the sharp fall in the value of the rupee against the US dollar in 2013 contributed to reducing labour costs in India.
The labour ministry on Monday rebutted a recent report by Citigroup which forecast that India will struggle to create sufficient employment opportunities even with a 7 per cent growth rate. The ministry in a statement said the report "fails to account for the comprehensive and positive employment data available from official sources such as Periodic Labour Force Survey (PLFS) and the Reserve Bank of India's KLEMS data."
'Once the 60-plus population hits 20 to 30 per cent of the country, the demand for elderly-care treatments will surge -- cardiac, metabolic, neurological, and musculoskeletal medicines are going to dominate the market for the next several decades.'
Affordable homes, priced under Rs 40 lakh per unit, may not be attractive anymore, not just for developers but also for investors, with the segment seeing a 26 per cent price rise over three years since 2022 versus 40 per cent returns from luxury homes priced Rs 1.5 crore and above.
Investor sentiment across Asian markets has shifted sharply in August, reveals the latest Bank of America (BofA) Fund Manager Survey, which found global growth expectations retreating after three months of improvement.
Mundane as it may seem, this is in some ways a metaphor for the challenges facing the nation, argue Arvind Subramanian and Devesh Kapur in their new book, A Sixth Of Humanity.
'More and more people from the middle class will become self-employed gig workers mostly working from home, rather than as office workers with salary, promotion, bonuses, etc.'
'They are totally disconnected with farm activities which their families have been involved in for years.'
Rising for the sixth consecutive session, gold prices rallied Rs 1,000 to hit yet another record high of Rs 105,670 per 10 grams in the national capital on Monday, lifted by expectations of a rate cut by the US Federal Reserve this month and robust demand in overseas markets.
Investors will take cues from the December quarter corporate earnings, with blue-chips like Infosys, Reliance Industries scheduled to report their results this week, in addition, inflation data and trading activity of foreign investors will also be crucial in dictating market trends, analysts said.
For both polishing unit operators and diamond merchants, the US is still the biggest export destination: Three in every 10 diamonds polished in India end up in American stores.
'When you compare Bihar's poverty from its earlier times, then there is a huge difference. Things have improved a lot. And migration has played an important role in reducing poverty.'
AI is changing jobs in India faster than ever, but professionals are learning the real skill isn't coding -- it's adaptability.
Generative AI is transforming workplaces but at a cost -- there are fewer jobs for young workers just entering the workforce, reveals a Goldman Sachs report.
India is projected to grow at 6.4 per cent in fiscal year 2025 and 2026, and the country's stable growth is driven by a reform momentum supporting robust consumption growth and a push for public investment, the International Monetary Fund has said. The IMF released its World Economic Outlook (WEO) Update on Tuesday.
The government on Wednesday approved two schemes worth Rs 45,000 crore to help exporters tide over the impact of high tariffs imposed by the US on Indian shipments.
AI will erase outsourcing jobs, redefine skills and disrupt global giants within five years, predicts Vinod Khosla. The IT legend urges young people to become generalists: Adaptable thinkers who can learn quickly, connect dots across disciplines and shift careers as technologies evolve.
'Our problem is not a budget deficit but a trust deficit. We need to trust our institutions and industries to innovate and lead. That is the way forward for India.'
The RBI advisory follows a labour ministry request earlier this year seeking the central bank's expertise to identify gaps in EPFO's investment strategy and fund management practices, including accounting, risk management, and internal governance.
'What we are willing to do is definitely going to depend on what the Indian government wants to do.'
The technology major confirmed that a 'low single-digit percentage' of its 270,000 employees would be affected in the fourth quarter of 2025.
'There are still plenty of jobs out there -- but not enough people with the right skills to fill them.'
US President Donald Trump signed a proclamation restricting entry of certain non-immigrant workers and imposing a USD 100,000 fee on H-1B visas, citing abuse of the program and national security concerns.
India's top cement producers delivered a solid July-September quarter (Q2) in 2025-26 (FY26), lifted by firmer prices, higher sales volumes, and a favourable base. Seasonal weakness and maintenance outages did dent sequential performance, but the overall picture remained positive - and the road ahead looks steady.
As it gains commercial viability, the food will likely become a powerful political currency.
