Fri Jan 31 15:57:31 IST 2025: ## India’s Economy Shows Steady Growth Despite Global Uncertainty: Economic Survey 2024-25

**Chennai, January 31, 2025** – India’s economy maintained steady growth in fiscal year 2025 (FY25), reaching a real GDP growth of 6.4%, according to the Economic Survey 2024-25, presented to Parliament today by Union Finance Minister Nirmala Sitharaman. This figure is close to the decadal average, and projections for FY26 forecast growth between 6.3% and 6.8%.

However, the survey also highlighted challenges. Food inflation surged to 8.4% (April-December FY25), driven by rising vegetable and pulse prices, exceeding the Reserve Bank of India’s (RBI) comfort level of 4%. While overall retail inflation averaged 5.4%, remaining within the RBI’s tolerance limit, the elevated food prices pose a concern.

The manufacturing sector, although recovering, lags pre-pandemic levels due to global demand slowdown and supply chain disruptions. Conversely, the labour market showed expansion, with the unemployment rate dropping from 6% in 2017-18 to 3.2% in 2023-24, according to the 2023-24 Periodic Labour Force Survey (PLFS).

The Economic Survey, released ahead of the Union Budget on February 1st, provides a comprehensive overview of the Indian economy, covering key indicators such as GDP, government spending, fiscal deficit, and capital expenditure. The survey’s findings offer a mixed picture of an economy navigating global uncertainties while demonstrating resilience in certain sectors.

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