Indian economy slows to six-quarter low of 6.5 percent in Q2

The second quarter of the fiscal year 2025 saw a decline in the Indian economy, with a growth rate of 6.5%, the lowest in six quarters. This slowdown can be attributed to factors such as reduced government spending, a decrease in merchandise exports, and underwhelming quarterly results.

These challenges highlight the difficulties faced by the Indian economy during these uncertain times. The estimates from a poll of 11 economists ranged from 6.2% to 6.8%. In comparison, the economy had experienced a strong growth rate of 8.1% in the same quarter of the previous fiscal year, FY24.

It is evident that the Indian economy is currently facing significant challenges, with the growth rate dropping to its lowest point in six quarters. This decline can be attributed to various factors, including reduced government spending and a decrease in merchandise exports. These challenges emphasize the difficulties faced by the Indian economy during these uncertain times.

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