Minister of Finance Nirmala Sitharaman has stated that Indian economy can keep the growth ratio as it is in the midst of the uncertainties in the world at large. During her visit to the Chicago office of the Embassy of India, Sitharaman, who addressed the Indian diaspora meeting in the city, said the economy “has bounced back remarkably” from the Covid-19 pandemic and it has continued to expand at 7% or above.
India is struggling the most in the wake of the geopolitical crisis, the impact of tariffs and disruption in the world energy and fertiliser supplies in the Strait of Hormuz, she said. The Minister of Finance, however, did not lose heart and said India’s growth was projected to be around the same level this year.
Sitharaman’s comments came shortly after the Reserve Bank of India’s latest growth projection. The central bank had revised its 2026-27 real GNP growth estimate by 10 basis points upwards to 6.7% from the previous 6.6% projection in June on Wednesday, August 5.
It was an upbeat revision in the RBI’s forecast amid geopolitical uncertainties in the West, trade-related doubts, and an otherwise volatile monsoon in the first quarter of 2026-27 as the Indian economy faced its challenges.
Sitharaman also pointed out that the Government has been working to safeguard supply of energy and fertilisers from the world due to disruptions in the global supply chains. She claimed that despite the challenges that were being caused by the Strait of Hormuz crisis India was still keeping a “billion” stock of fertilisers.
Indian supply of almost 80% of the fertilisers used for agriculture comes from the strategic waterway, including urea, DAP and potash, the finance minister said. She said that the government provided supplies by alternative routes so as farmers can’t miss supplies.
Sitharaman insisted energy should remain available to households and government has taken measures to protect citizens from the impact of global supply disruptions.