RBI'S JUNE 2025 POLICY - RATE CUT ON
- Credit Rating Agency in India
- RBI Monetary Policy
- RBI'S JUNE 2025 POLICY - RATE CUT ON
The global setting is characterized by heightened geopolitical tensions, viz., Russia-Ukraine war, the Middle Eastern situation, etc., and a precarious fisc with “tremendous” pressures for more spending on defense, climate, and aging populations. These aspects are starkly reflected in global public debt mounting to 100 % of global GDP by the end of the decade and higher long-term borrowing costs. An uncertain global trading system marked by trade protectionism and tariff turmoil causes extensive concern.
Geopolitical events heightened economic instability, amplified sector-specific risks, and intensified regulatory uncertainties. These geopolitical events accentuated global tensions, disrupted trade, and made the global markets volatile, affecting investor confidence and capital flows into emerging markets like India. This assumes greater significance for energy, infrastructure, and manufacturing, which are sensitive to international trade dynamics and supply chain disruptions.