India&rsquo;s economy continues to show resilience despite rising global uncertainties, according to the RBI&rsquo;s monthly economic bulletin released on Wednesday.
High-frequency indicators from May 2025 signal steady activity across industry and services, while agriculture has seen a broad-based increase in output during the 2024&ndash;25 season.
The RBI noted that inflation remains under control, with headline inflation staying below target for the fourth consecutive month, supported by record crop production and easing food price pressures.
India&rsquo;s GDP growth is projected at 6.5% for 2024&ndash;25, with a significant Q4 rebound. In global PMI surveys, India led in overall business activity and export order growth, outpacing major economies. Capacity utilisation in manufacturing also remained above the long-term average.
Rural demand showed signs of improvement, driven by the agricultural sector, while consumer confidence remained stable, with future expectations improving, the report said.
The RBI bulletin also highlighted favourable financial conditions, allowing for the effective transmission of rate cuts into credit markets. Despite a mild slowdown in bank credit to agriculture and services in April, external commercial borrowings remained strong.
Equity markets posted modest gains in May&ndash;June, rebounding sharply after a brief dip due to geopolitical tensions in the Middle East.
India&rsquo;s external sector remains robust, with adequate forex reserves covering imports and external debt comfortably, the RBI added.
[Except for the headline, this article has not been edited by the Benefit News editorial team and is published directly from the IANS news feed.]

RBI: Indian Economy Resilient Despite Global Headwinds

Strong growth, low inflation, and stable demand drive optimism amid global trade, geo-political risks

RBI: Indian Economy Resilient Despite Global Headwinds

Strong growth, low inflation, and stable demand drive optimism amid global trade, geo-political risks

June 25, 2025 | 17:28 IST