The International Monetary Fund (IMF) projects India’s GDP growth to remain resilient at 6.6% in FY2025-26, driven by strong domestic demand and infrastructure investment, despite potential global trade fragmentation and geopolitical tensions. The report emphasizes India’s robust economic performance, marked by improved financial stability and effective fiscal management, while noting the importance of continued structural reforms to enhance productivity and labor market flexibility. The IMF commends the government’s focus on inclusive growth and prudent fiscal measures, urging careful monitoring of fiscal impacts from tax reforms. Overall, India’s macroeconomic fundamentals appear strong, positioning the country favorably for sustained growth amid global challenges.