The Indian economy has seen several key developments over the past month, from a surprise interest rate cut by the Reserve Bank of India to a sharp decline in retail inflation and encouraging GDP figures.
As policymakers aim to strike a balance between growth and stability, recent data releases, including GDP numbers, CPI inflation, and fiscal deficit figures, offer a mixed yet optimistic snapshot of the macroeconomic landscape. Here’s a look at the top economic indicators that have captured public interest and were trending on Google Trends.
Here is a look at top 4 economic topics dominating Google Trends in June
GDP growth: Searches rising amid Q4 FY25 outperformance
India’s economy wrapped up FY 25 on a surprisingly strong note. Data released on May 30 shows that the country grew 7.4 per cent in Q4. For the full fiscal year, GDP rose 6.5 per cent, marking the slowest pace in four years — down from 9.2 per cent in FY 24 — primarily due to cooling consumption and a moderation in manufacturing.
Key drivers in Q4 included a strong 10.8 per cent jump in construction, 8.9 per cent growth in manufacturing, and a 7.1 per cent increase in mining. Investment, measured by gross fixed capital formation (GFCF), rebounded sharply to 9.4 per cent growth, while private consumption grew 4 per cent, an improvement from 2.4 per cent in Q3.
Repo rate: Jumbo RBI cut by 50 basis points
On June 6, the Reserve Bank of India (RBI) announced the second Monetary Policy Committee (MPC) decision for this fiscal year. In a surprise move, the RBI governor announced a 50 basis point cut in the repo rate, reducing it from 6.0 per cent to 5.5 per cent.
This was the third rate cut this calendar year, taking the total reduction to 100 basis points since February 2025 — a step aimed at easing borrowing costs and stimulating economic activity.
The central bank also changed its stance from “accommodative” to “neutral”, signalling that future policy decisions would depend on incoming data and broader macroeconomic conditions.
In addition, the RBI announced a 100 basis point reduction in the Cash Reserve Ratio (CRR), bringing it down from 4 per cent to 3 per cent in four phased 25-basis-point tranches starting from the fortnights of September 6, October 4, November 1, and November 29. This move is expected to inject approximately Rs 2.5 lakh crore of durable liquidity into the banking system by the end of November 2025.
Retail inflation eases to 2.82 per cent in May
India’s retail inflation eased to 2.82 per cent in May 2025, the lowest level since February 2019. The decline was largely driven by easing food prices, reflecting improved supply-side conditions and offering relief to consumers.
The Consumer Price Index (CPI) data for May, released on June 12, showed a 34-basis-point drop from the previous month. Food inflation, measured by the All-India Consumer Food Price Index (CFPI), slowed sharply to 0.99 per cent year-on-year in May (rural: 0.95 per cent, urban: 0.96 per cent), falling by 79 basis points compared to April and marking the lowest reading since October 2021.
Sub-categories saw notable shifts: pulses (–8.22 per cent Vs –5.23 per cent), vegetables (–13.70 per cent Vs –10.98 per cent), cereals (+4.77 per cent), and milk (+3.15 per cent). Fuel and light inflation remained steady at 2.78 per cent.
Fiscal deficit: Citizens and investors stay cautious
India’s fiscal deficit reached Rs 15.77 trillion in FY25, amounting to 4.8 per cent of GDP — an improvement from 5.9 per cent in FY24. The April data for FY26 showed a deficit of Rs 1.86 trillion, aligning with the government’s budget estimates.
For April alone, the deficit accounted for 11.9 per cent of the full-year target. The government aims to bring the fiscal deficit further down to 4.4 per cent by the end of FY26, signalling fiscal consolidation amid ongoing economic recovery.