How India’s economy defied odds in 2025 — but external shocks left a mark

India’s economy demonstrated remarkable resilience in 2025, achieving 8.2% GDP growth amidst global trade wars and tariffs. A rare ‘Goldilocks’ phase of low inflation and accommodative monetary policy, coupled with GST 2.0 and tax relief, bolstered domestic demand. The year concluded with mixed stock market trends, record FIIs, rupee pressure and tariffs highlighting ongoing global uncertainties.