India’s economy is expected to grow 6.4 per cent in FY25, its slowest since the Covid contraction in 2020-21
Lower nominal GDP growth at 9.7 per cent pressures the government to manage the fiscal deficit at 4.9 per cent of GDP
Underspending on capital expenditure might help the fiscal deficit but risks long-term growth
The Budget must address slowing growth and return to a sustainable, higher trajectory
The government must announce and implement its next-generation reforms framework soon
India’s growth depends on domestic policies that boost competitiveness and improve the business climate