Union Finance Minister Nirmala Sitharaman highlighted the positive effects of the recent interim trade agreement between India and the United States. While recognizing the deal’s potential to enhance bilateral trade relations, she stated that it would not lead to changes in the current GDP growth projections for India.
The minister emphasized the importance of such trade agreements in supporting economic growth but maintained a cautious approach regarding their immediate impact on macroeconomic indicators.
**Why this matters**
Trade agreements between major economies like India and the US can influence market dynamics and investor confidence. However, maintaining stable GDP forecasts suggests a measured assessment of the deal’s short-term economic impact, reflecting ongoing considerations of broader economic factors.
Source: NewsData