India's GDP Growth to Face Setback Due to U.S. Tariffs, Warns Finance Secretary

Business conditions in India along with global economic stability may decline because of U.S. trade tariffs that could reduce India's GDP growth.

The Finance Secretary of India Ajay Seth predicted that U.S. administration tariffs would reduce Indian GDP growth by between 0.2 and 0.5 percentage points. Seth spoke at the Hudson Institute during IMF-World Bank Spring Meetings in Washington where he discussed economic impacts of trade tensions on India while stating its anticipated year-end growth rate stands at 6.5%.

According to Seth the impact of trade disturbances would create unfavorable business settings worldwide which would lower economic rates of expansion. The business outlook for the future of India makes him confident about its potential growth to reach 7% by the next 10 years.

A speedy expansion rate would be necessary to reach the planned ambitious targets according to Seth. The Indian delegation participates in meetings with U.S. administration representatives to handle trade issues although they are keeping key details of these negotiations secret. There are ongoing global trade tensions yet India works to overcome these barriers to support sustainable growth throughout the coming years.

The current circumstances show how international trade policies create business conditions which produce economic outcomes as India fights to sustain forward movement in the face of outside challenges.