economy

Next Gen GST Reforms: FM Nirmala Sitharaman Announced New GST Rates List 2025

Context: India’s GST has seen its biggest revamp since 2017, aimed at easing consumer costs, boosting demand, and giving a festive-season growth push - though it also raises concerns about revenue loss and fiscal sustainability. In a revolutionary step that...

State of Economy Report 2025, Purpose and Key Highlights

Context: The Reserve Bank of India (RBI) recently released its State of the Economy Report. What is the State of the Economy Report? Publisher: Reserve Bank of India (RBI). Nature: It is an in-house assessment, not an official policy statement...

Bond Yield: Meaning, Types, Calculation and Importance

Context: India’s 10-year benchmark government bond yield has risen by about 26 basis points in the past month. This happened despite the RBI cutting the repo rate by 100 basis points (1%) over the past seven months. What is Bond...

Foreign Direct Investment (FDI) Led Investment Models

Context: The Commerce and Industry Ministry has started consultations with e-commerce giants (Amazon, Walmart-Flipkart) and Indian MSMEs to explore models to boost e-commerce exports. Foreign Direct Investment (FDI) Investment made by a non-resident in an Indian company through capital instruments...

India’s GDP Growth Rate 2025, Key Drivers, Reasons and Challenges

India’s economy continues to remain a bright spot in the global economic landscape. For FY26 (2025–26), the Chief Economic Advisor (CEA) V. Anantha Nageswaran has projected the GDP growth rate between 6.3% and 6.8%, despite external headwinds such as US...

India’s Bioeconomy to Touch $300 Billion by 2030

Context: On the completion of one year of the BioE3 Policy, the Union Minister of Science and Technology launched India’s first National Biofoundry Network, aimed at making biotechnology a key driver of the country’s economy. What is Bioeconomy? Bioeconomy refers...

Suspension of Import Duty on Cotton, Implications and Solutions

Context: The government has suspended import duty on cotton in 2024–25 to address falling domestic production and rising raw material costs for the textile industry. Suspension of Import Duty on Cotton About Cotton Cotton is a kharif crop. It is...

Tourism Sector in India, Challenges, Growth and Significance

Context: The US decision to raise tariffs on Indian exports highlights the risks of overdependence on limited trade partners. India must diversify its economy, and tourism offers a powerful alternative. Growth and Significance of Tourism Sector in India Economic Contribution:...

GST Council Meeting, Key Decisions, GST Rate Revisions, and Impact

Context: The GST Council will hold its 56th meeting on September 3–4, 2025, in New Delhi to discuss GST rate cuts and reforms. GST Council GST Council was established under the 101st Constitutional Amendment Act, 2016, through Article 279A. It...

S&P Global Ratings Upgraded India’s Sovereign Rating

Context: S&P Global Ratings upgraded India’s sovereign rating from BBB- to BBB (still in investment grade, but one notch higher). First sovereign rating upgrade by S&P in nearly two decades (last in 2007). About Credit Rating Credit rating = measure...