Overview

• India is negotiating the first tranche of a US Bilateral Trade Agreement, aiming for completion by fall 2025, with potential earlier finalization to reduce tariffs.
• Finance Minister Nirmala Sitharaman emphasized India's strategy of policy agility and long-term investments to counter rising global protectionism and supply chain disruptions.
• Indian financial markets have shown resilience, supported by record retail participation and a shift of domestic institutional investors to dominant roles.
• The US has granted India a 90-day pause on new tariffs, providing temporary relief to exporters as trade recalibrations continue.
• India is focusing on infrastructure development, inclusive growth, and regional cooperation to strengthen its domestic economic foundation against external shocks.