Could Trump’s 25% tariff shrink India’s GDP growth to 6%? Nomura lists out 4 key risks
The US's 25% tariffs on Indian products may harm India's GDP growth, with a potential downside risk of 0.2%. Negotiations are ongoing, but if no deal is reached, India's growth rate could decrease by 6% in FY26. Nomura advises diversifying exports and predicts a support package for SMEs if tariffs are finalized. Inflation is expected to drop below 3%.