The IMF projects India’s GDP growth to moderate from 8.2% in 2023 to 7% in 2024 and 6.5% in 2025 as post-pandemic demand depletes. Headline inflation is expected to fall to 3.5% by end of 2025. Finance minister Nirmala Sitharaman remains optimistic, stating India is on track to become the third largest economy by 2027.