Prime Minister Narendra Modi on Saturday chaired a high-level meeting with the Prime Minister’s Economic Advisory Council to address the economic challenges posed by escalating tensions in West Asia.
The discussions focused on safeguarding India’s economy from global disruptions, managing supply chain vulnerabilities, and sustaining the country’s robust GDP growth of 7.7%.
“The global landscape is volatile, but India must continue its momentum,” Modi reportedly said, emphasizing the importance of resilience amid geopolitical uncertainties.
The council’s deliberations included a detailed assessment of the impact of the West Asia conflict on trade routes, energy markets, and inflationary pressures, particularly as Consumer Price Index (CPI) inflation projections near 5.9% following recent Reserve Bank of India policy decisions.
Official data released on June 5 highlighted India’s economic strength, with real GDP for the fourth quarter of FY 2025–26 expected to grow by 7.8% year-on-year, and full-year growth projected at 7.7%. Real GDP for Q4 is estimated at Rs 87.77 lakh crore, up from Rs 81.40 lakh crore the previous year, while nominal GDP rose 9.1% to Rs 94.65 lakh crore.
For the full fiscal year, real GDP is forecasted at Rs 323.12 lakh crore, marking a 7.7% increase, driven primarily by significant expansions in the secondary and tertiary sectors.
The meeting also underscored India’s strategic push toward self-reliance and energy diversification to buffer against external shocks. Modi’s recent visit to Hazira, Gujarat, where he reviewed nuclear readiness and expanded the PM Surya Ghar rooftop solar initiative, reflects the government’s commitment to a greener energy future.
Modi urged citizens to adopt sustainable practices, reduce reliance on imported fuel, and embrace domestic products, saying, “Economic stability begins at home.”
Participants also explored measures to attract investment by offering tax incentives on government security bonds, aiming to keep Indian markets attractive amid global volatility. The government continues to prioritize reforms that enhance ease of doing business and improve living standards, blending immediate crisis management with long-term structural strategies.
As global economic growth remains uneven and geopolitical tensions persist, the Modi administration’s proactive approach seeks to maintain India’s standing as one of the world’s fastest-growing major economies, while reducing its exposure to external risks.
