Growth Projection
UN sees India 2025 econ growth slowing to 6.3%, inflation easing at 4.3%
This story was originally published at 21:09 IST on 16 May 2025
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NEW DELHI – The United Nations Department of Economic and Social Affairs has projected India's economic growth to slow down to 6.3% in 2025 from an estimated 7.1% for 2024, according to the department's update to the World Economic Situation and Prospects report. The UN also expects inflation in India to cool down to 4.3% in 2025 from 4.9% a year ago, the updated report said.
United Nations Department of Economic and Social Affairs releases the World Economic Situation and Prospects report annually in collaboration with the United Nations Conference on Trade and Development, and the five regional commissions of the UN. The annual report for 2025 was released in January, which was updated by the department on Thursday.
The report, which provides a comprehensive assessment of the global economy, said that India is one of the fastest-growing large economies supported by resilient consumption and government spending. "In India, unemployment remains largely stable amid steady economic conditions, though persistent gender disparities in employment underscore the need for greater inclusivity in workforce participation," the report said.
The UN expects the Indian economy to grow 6.4% in 2026. The Indian government has projected a range of 6.3-6.8% for GDP growth in 2025-26 (Apr-Mar). The Reserve Bank of India has also projected a growth of 6.5% for FY26.
The UN expects global economic growth to slow down to 2.4% in 2025 from 2.9% estimated for 2024, the report said. But the global economic growth is likely to recover to 2.5% in 2026, as per the report. The global trade growth is also expected to massively slump to 1.6% in 2025 from 3.3% a year ago. The UN has forcast a global trade growth of 2.3% for 2026. End
Reported by Krity Ambey
Edited by Akul Nishant Akhoury
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