The UN’s World Economic Situation and Prospects 2026 projects India’s economy will expand 6.6% in 2026, supported by resilient household consumption and strong public investment, even as global growth remains subdued and trade tensions persist.
Payments major PhonePe has received SEBI approval to proceed toward an IPO, a key regulatory milestone for one of India’s most watched fintech listings. Reports say the public issue is expected to be structured as an offer for sale, with existing investors including Walmart among those likely to pare holdings, and the company expected to file updated draft papers next.
Ahead of the Union Budget 2026, an Economic Times survey of over 5,000 respondents shows optimism about India’s growth fundamentals led by domestic consumption, while job creation and external shocks remain top concerns. Many respondents favour fiscal flexibility over rigid deficit targets.
With Union Budget 2026 due on 1 February 2026, discussions are intensifying around whether the government will offer additional relief for salaried taxpayers and the middle class. Analysts say any change will balance revenue needs with consumption support, while companies watch for signals on capex, manufacturing and jobs.
Ahead of the Union Budget, market sentiment has turned cautious with Nifty trading below its 200-day moving average. Analysts flag higher volatility risk as FII selling and a softer rupee add pressure, while traders watch key technical levels.
External Affairs Minister S. Jaishankar met a US Congressional delegation in New Delhi on January 25, 2026, with both sides discussing the India-US partnership, the Indo-Pacific, and the Ukraine conflict, alongside themes like trade, security and critical technology cooperation.
India’s CPI inflation rose to 1.33% year-on-year in December 2025, still below the RBI’s tolerance band, leading economists to say there may be room for another repo-rate cut depending on upcoming policy decisions.