IMF: India Remains Fastest-Growing Economy

The International Monetary Fund has dropped its global economic growth forecast to 2.8 percent in 2025 and 3 percent in 2026, down from 3.3 percent previously predicted for both years. Growth forecasts for most economically advanced countries have been downgraded, including India, where the economic growth forecast has been lowered from 6.5 percent to 6.2 percent for 2025. But even with the downgrade, the country remains the fastest-growing large economy in the world.

The IMF warns of the ripple effects of the trade war led by the United States, including heightened uncertainty. In the institution’s latest World Economic Outlook it said: “The swift escalation of trade tensions and extremely high levels of policy uncertainty are expected to have a significant impact on global economic activity.”