Economy

The Asian Development Bank (ADB) has projected India’s economy to expand by 6.5% in the fiscal year 2025-26, reflecting robust domestic demand, resilient investment activity, and structural reforms. Despite global headwinds such as slowing international trade and elevated commodity prices, India’s growth outlook remains strong due to government initiatives in infrastructure, manufacturing, and digital economy expansion. The ADB highlights that sustainable growth will depend on policy continuity, inflation management, and financial sector stability.

Pakistan is poised for a pivotal International Monetary Fund (IMF) review, with USD 7 billion (approximately Rs. 6.3 trillion) in funding contingent on meeting fiscal, monetary, and structural reform targets. The review will assess Pakistan’s progress on budgetary consolidation, foreign exchange stability, and macroeconomic reforms aimed at reducing fiscal deficits and promoting sustainable growth. IMF approval is crucial to unlocking tranche disbursements, supporting foreign reserves, and maintaining investor confidence.

Gold prices have climbed to historic highs as fears of a potential U.S. government shutdown fuel investor demand for safe-haven assets. Uncertainty surrounding federal budget approvals has prompted traders and institutions to seek refuge in precious metals, driving significant gains in the gold market. Analysts note that geopolitical tensions, inflationary pressures, and macroeconomic uncertainty are compounding the effect, reinforcing gold’s role as a hedge against market volatility.

The Meghalaya Pavilion was inaugurated at the World Food India (WFI) 2025 exhibition, highlighting the state’s investment opportunities, agricultural innovations, and tourism potential. The pavilion showcases Meghalaya’s rich natural resources, agro-based industries, and eco-tourism initiatives, aiming to attract domestic and international investors. Officials emphasized the pavilion’s role in strengthening market linkages, promoting sustainable development, and positioning the state as a key player in India’s food and agribusiness sector.

The Uttar Pradesh government has reiterated its commitment to creating a business-friendly environment for investors, with a strong emphasis on policy support, infrastructure development, and ease of doing business. Speaking at a recent event, MSME Minister Rakesh Sachan highlighted the state’s proactive measures to attract both domestic and global investors, particularly in sectors like manufacturing, renewable energy, and micro, small, and medium enterprises (MSMEs).

The Uttar Pradesh International Trade Show placed water conservation and sustainability at the heart of its agenda, underlining the state’s commitment to balancing industrial progress with environmental responsibility. Featuring a convergence of entrepreneurs, policymakers, and innovators, the event emphasized the urgent need for efficient water management practices in agriculture, industry, and urban development.

The Securities and Exchange Board of India (SEBI) has announced an increase in the minimum net worth requirement for custodian firms to Rs 75 crore, signaling stricter regulatory oversight in the financial services sector. The move aims to strengthen the operational resilience, financial stability, and risk management capabilities of custodians handling securities and investor assets. Analysts suggest that this step will enhance investor protection, ensure higher compliance standards, and align India’s custodian framework with global best practices.

The Indian government has announced restrictions on silver jewellery imports, aiming to curb trade imbalances and protect domestic manufacturers. This regulatory intervention is intended to promote local production, encourage value addition within the country, and reduce dependence on imported goods. Industry stakeholders are evaluating the impact on supply chains, pricing, and inventory management, while analysts note potential implications for retail markets and consumer affordability.

Maharashtra has solidified its position as India's wealth powerhouse in 2025, with Mumbai leading as the nation's "Millionaire Capital." According to the Mercedes-Benz Hurun India Wealth Report 2025, the state boasts 1,78,600 millionaire households, marking a 194% increase since 2021. This surge reflects robust economic growth, strategic investments, and the state's pivotal role in India's financial ecosystem.

India is on the cusp of a historic transformation in its indirect tax regime as the Goods and Services Tax Council prepares to implement the most extensive set of reforms since GST’s launch in 2017. Effective September 22, 2025, the revised framework—dubbed GST 2.0—will rationalize tax slabs, eliminate the long-standing compensation cess, and restructure compliance mechanisms. These changes are expected to reduce prices of essential goods, benefit consumers and farmers, and simplify processes for businesses.