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A group of former cricket captains, including Indian batting legend Sunil Gavaskar and one of England's longest-serving skippers Sir Alastair Cook, have called on Pakistan to ensure its ex-PM Imran Khan be given proper care while in custody. The cricketer-turned-politician has been in jail since
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‘India Is A Key Growth Engine….’: Why IMF Heaps Praise On New Delhi
‘India Is A Key Growth Engine Powering The World’: Why IMF Praise Stuns Global Economists
IMF chief Kristalina Georgieva says India is driving global growth even as trade tensions, debt and uncertainty weigh on the world economy.
Washington: The International Monetary Fund (IMF) has placed India at the heart of the global growth story. IMF Managing Director Kristalina Georgieva described the country as a “key growth engine” in a world still navigating the turbulence of Trump-era tariffs and economic headwinds.
“Global growth patterns have been changing over the years, notably with China decelerating steadily while India develops into a key growth engine,” she said ahead of the IMF and World Bank annual meetings in Washington next week.
Her remarks came as world markets react to sweeping tariffs introduced by US President Donald Trump on April 2. Despite the policy shock, the IMF chief said the global economy is holding firm. “The global economy is doing better than feared, but worse than we need,” she said during a keynote session at the Milken Institute.
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Georgieva pointed to the unexpected strength of major economies, including the United States and India. “Growth is expected to slow only slightly this year and next,” she said, adding that “all signs point to a world economy that has generally withstood acute strains from multiple shocks”.
She credited the relative stability to “improved policy fundamentals”, private sector adaptability and “lower-than-expected tariffs”.
In a cautious reassurance, she highlighted, “The world has so far avoided a tit-for-tat slide into trade war.”
The IMF's assessment comes amid rising friction over Trump's tariff regime. On April 2, the United States imposed new trade barriers, including a 50 percent duty on Indian imports, half of it targeting India's discounted oil purchases from Russia.
Washington has accused India and China of “funding” Moscow's war against Ukraine. New Delhi has maintained that its decisions are based on national interest and market pricing.
Georgieva appeared to play down fears of a global economic spiral. “The full effect of those tariffs is still to unfold. Global resilience has not so far been fully tested,” she said.
She added that the US tariff rate, though down from 23 percent in April to 17.5 percent today, remains “far above the rest of the world”.
Meanwhile, India has brushed off concerns about Washington's tariff blow. Finance Minister Nirmala Sitharaman said the country's fundamentals remain strong and growth continues at a sustainable pace.
“The Indian economy is resilient and continues to grow sustainably,” she said last week, highlighting that external shocks would have only a limited effect on India's economic momentum.
The numbers back that claim. India recorded a real GDP growth of 7.8 percent in Q1 of FY 2025-26, surpassing the Reserve Bank of India's 6.5 percent projection. Economists attribute the surge to robust consumer spending, higher investment flows and a recent cut in GST rates that boosted demand.
Georgieva's recognition of India's economic strength adds weight to the country's growing influence in global economic policy discussions. As the IMF meetings begin in Washington, all eyes are now on whether India can sustain its pace and help steady a fragile global recovery amid Trump's trade turbulence.
Source: ZeeNews
Related Posts: India IMF 2025, Kristalina Georgieva India growth, Trump tariffs India, IMF global economy outlook, India GDP 7.8%, India US trade tensions, IMF Washington meetings
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