India's Economic Tightrope: Navigating Growth Amid Global Uncertainty

India, once a leader in economic growth, faces a potential slowdown due to global and domestic factors. The government plans to stimulate the economy but challenges remain, including weak investment and consumption. Policymakers are contemplating fiscal and monetary measures to bolster the economy.

India, which showcased impressive economic growth last year, is now grappling with potential deceleration. Economic forecasts predict a 6.4% growth rate for the fiscal year ending in March, the lowest in four years, due to diminishing investment and manufacturing sectors.

The government is addressing concerns amid growing pressure to adjust monetary policy and reduce fiscal tightening. These adjustments are seen as essential to revive consumer confidence and invigorate spending. Political discussions, led by Prime Minister Narendra Modi, emphasize economic growth as a priority.

To facilitate economic recovery, proposals include tax and tariff reductions to stimulate purchasing power and boost trade. Analysts stress the importance of strategic international trade adjustments, particularly against possible impacts from Trump's tariff policies, to ensure continued economic momentum.

(With inputs from agencies.)