Economic Survey 2025 In 10 Points

India’s Growth Outlook

The economy is projected to grow at 6.3-6.8% in FY26, slightly higher than 6.4% in FY25. Strong fundamentals and fiscal consolidation support stability.

Global Headwinds & Inflation Risks

India must navigate global economic and political uncertainties with strategic policies. Inflation risks persist amid external shocks.

Infrastructure Push

Public capital expenditure and business optimism are expected to drive investment growth. A continued step-up in infrastructure investment over the next 20 years is crucial.

Boosting Competitiveness & Exports

To compete globally, India must implement grassroots-level reforms and benchmark against leading economies. Increasing exports and foreign investment are key priorities.

Forex Reserves & Debt Coverage

India’s forex reserves at $640.3 billion can cover 10.9 months of imports and 90% of external debt, ensuring economic stability.

Ease of Doing Business 2.0

State governments should take charge of the next phase of business reforms, addressing root causes of regulatory hurdles.

AI & Automation: A Challenge for India

As a service-oriented economy, India faces major disruptions from AI and automation. The impact is magnified due to its large workforce and relatively low per capita income. Adapting to AI-driven transformation is crucial.

Manufacturing & Emerging Tech Focus

India must develop its manufacturing sector and invest in AI, robotics, and biotechnology to drive long-term economic growth.

Agricultural Research & Climate Resilience

More research is needed to boost pulses, oilseeds, and key crops production, making agriculture more climate-resilient and reducing crop losses.

Investment & Growth Targets

India must sustain 8% GDP growth for two decades to become a developed nation by 2047. Investment rates need to rise from 31% to 35% to achieve this goal.