Skip to content

Moody’s Analytics Cuts India’s 2025 GDP Forecast to 6.1%

11 April 20251 min read
ECONOMYMoody’s AnalyticsCuts India’s 2025GDP Forecast to6.1%11 April 2025safalsetu.com

Why in the news

Moody’s Analytics lowered its outlook because US trade measures could hurt exports, though India is seen as fairly insulated.

Key facts

  • Trigger: the 26% tariff applying fully once the 90-day freeze ends.
  • Cushion: low dependence on external demand.

Monetary outlook

  • Further RBI rate cuts expected in coming meetings.
  • With earlier tax incentives, easing should support consumption and investment.

Exam angle

  • Agency: Moody’s Analytics.
  • Policy rate seen at 5.75%.

Test yourself

1. What 2025 GDP growth forecast for India did Moody's Analytics arrive at after the cut?

It lowered the forecast to 6.1% from 6.4%.

2. Which policy rate level does Moody's Analytics expect RBI to reach by the end of 2025?

Moody's projects the policy rate at 5.75% via 25 bps cuts.

3. Which sector is listed among those most affected by US tariffs in the Moody's assessment?

Gems and jewellery, medical devices and textiles are named.