CEA flags 3 'near term' headwinds for Indian economy: What are they
India's Chief Economic Adviser V Anantha Nageswaran identified three headwinds for the economy: strained US-India relations, volatile energy prices, and a lack of AI integration. He emphasized the need for a dual focus on manufacturing and services to achieve developed nation status by 2047.
Why it matters
These insights provide a roadmap for India's economic policy and highlight the structural challenges the country faces in a competitive global market.
Chief economic adviser V Anantha Nageswaran has flagged three near term headwinds for India's growth story: unsettled relations with the US, volatile energy prices and the absence of an artificial intelligence (AI) play in the country, weighing down the country's economic momentum.Earlier, speaking at the State Bank of India’s Banking and Economics Conclave in Mumbai on Thursday, Nageswaran described India-US relations as being in an “uneasy equilibrium” as trade-related differences between the two countries persist.At the 13th SBI Banking & Economics Conclave 2026, Nageswaran said that India’s economic growth has remained resilient, even as the country’s development journey unfolds against a global backdrop marked by geopolitical tensions, the weaponisation of supply chains, climate variability and competition from China’s manufacturing capabilities.“We have to reimagine and be prepared to reinvent many of the ways in which we operate, whether you are in the private or the public sector,” he added.Nageswaran said India…
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