Business News | Robust Fundamentals, Reform Push Drive India's Economic Resilience: Finance Ministry Review | LatestLY

New Delhi [India], August 27 (ANI): Robust macroeconomic fundamentals continue to bolster the resilience of the Indian economy, according to the monthly review by the Department of Economic Affairs under the Ministry of Finance. The government's recent policy initiatives, including the setting up of a Task Force for Next-Generation Reforms and the forthcoming GST reforms, deregulation initiatives of the States, coupled with the sovereign rating upgrade, are set to reduce borrowing costs, attract foreign capital, and bolster investment and consumption, the report for July released on Wednesday said. Also Read | Inter Miami vs Orlando City, Leagues Cup 2025 Live Streaming Online in India: How to Watch Semifinal Football Match Live Telecast on TV & Score Updates in IST?. "These reforms mark the beginning of an accelerated phase of governance transformation, ensuring that India extends its own line of progress, becoming more resilient, inclusive, and globally competitive in an era of rising global economic self-interest," it read. Robust macroeconomic performance and sound fundamentals over the past few years have earned India a well-deserved sovereign rating upgrade by the S&P credit rating agency to 'BBB'. Also Read | Russia-Ukraine Talks: Vladimir Putin and Volodymyr Zelenskyy in Contact but Cannot Yet Reveal Date for Next Round of Talks, Says Kremlin. The rating upgrade underscores India's resilient growth, anchored inflation expectations, and stronger credit metrics, underpinned by fiscal consolidation and improved quality of spending, the monthly review said. Building on the growth momentum gained during Q1 of FY26, the Indian economy continues to reflect resilience in July 2025. "Record e-way bill generation and a 16-month high in PMI manufacturing point to robust business activity. Further, the stronger expansion in the services PMI indicates growth in the services activity," the report read. Driven by a favourable base effect and deflation in food items, the headline inflation has continued to ease since October 2024, falling below the 2 per cent tolerance threshold in July 2025. In the dynamic global trade landscape, India has adopted a calibrated approach to negotiating FTAs, aiming to expand market access while protecting domestic interests, it lauded. "Recently, two major agreements, the India-UK CETA and the India-EFTA TEPA, have been concluded, and negotiations continue with a few other nations," it has apprised. (ANI) (The above story is verified and authored by ANI staff, ANI is South Asia's leading multimedia news agency with over 100 bureaus in India, South Asia and across the globe. ANI brings the latest news on Politics and Current Affairs in India & around the World, Sports, Health, Fitness, Entertainment, & News. The views appearing in the above post do not reflect the opinions of LatestLY)