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Growth Estimate: Moody's cuts India's 2025 GDP forecast to 6.3% on trade, policy uncertainty

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Growth Estimate

Moody's cuts India's 2025 GDP forecast to 6.3% on trade, policy uncertainty

This story was originally published at 09:01 IST on May 7, 2025  Back
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Moody's Ratings on Tuesday cut India's GDP growth projections for 2025 by 20 basis points to 6.3%, citing heightened global policy uncertainty and trade restrictions. In its May update of the Global Macro Outlook 2025-26 report, Moody's said geopolitical stresses, like tensions between India and Pakistan, also have a potential downside risk to its baseline growth forecasts. "Costs to investors and businesses are likely to rise as they factor for new geopolitical configurations when deciding where to invest, expand and/or source goods," the rating agency said.

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