Following weak Q2 GDP data, several analysts have lowered their FY25 real GDP growth forecast, while others believe there could be RBI action to ease liquidity sooner, if not rate cuts.

India's economy is expected to have slowed in the July-September quarter, growing at the slowest pace in 18 months, weighed down by weak urban consumption following a rise in food prices despite an increase in government spending.

India's Q2 GDP growth slowed significantly from 8.1% to 5.4% in Q2 FY25, driven by weaker consumption and adverse weather impacts on key sectors. The slowdown aligns with economist predictions of 6.5% growth,