India’s economic landscape in 2025 presents a blend of optimism and resilience across various sectors. Overall, the scene is encouraging and optimistic, according to chorus of experts.
Economic outlook
The Reserve Bank of India predicts a 6.6% GDP growth for 2025 (down from 7.7%) citing a rebound in rural spending, increased government investment, and a surge in service exports. (Dec. 30, 2024)
Goldman Sachs predicts India’s economy will grow at an average nominal rate of 6.5% between 2025 and 2030, with a specific forecast of 6.3% for 2025 (Dec. 10, 2024).
Moody’s Ratings estimates GDP growth of 6.6% in 2025 and 6.5% for 2026, driven by a gradual rebound in household consumption and moderating inflation (Nov. 15, 2024).
UBS forecasts steady year-on-year GDP growth of 6.5% from FY26 to FY28, citing the benefits of key reforms that are stabilizing the country’s medium-term economic outlook. These gains are expected to come from a stronger focus on manufacturing, a boost in services exports, and progress in digitalization.
However, UBS notes potential risks from weaker global growth tied to slower U.S. and China economies plus shaky geopolitical situations. While China’s economic influence poses challenges, the China+1 strategy provides India with opportunities to diversify and grow (Nov. 28, 2024).
S&P Global Ratings maintains its FY25 GDP growth forecast at 6.8%, supported by strong urban consumption, steady growth in the services sector, and continued investment in infrastructure (Sept. 19, 2024).
Employment outlook
According to the ManpowerGroup Employment Outlook Survey, which spans 42 countries and surveys over 40,000 employees, India is poised to lead with the strongest net employment outlook for Q1 2025.
FirstMeridian Business Services highlights a 20% increase in jobs tied to emerging technologies, with an overall 17% rise in new employment opportunities.
Roles in demand include application developers, software engineers, DevOps engineers, and specialists in artificial intelligence, machine learning, and cybersecurity.
Generative AI is expected to remain a key trend, driving demand for positions such as Generative AI Engineer, Algorithm Engineer, and AI Security Specialist. Beyond IT, BFSI and telecom are also projected to expand hiring.
Reskilling and upskilling, especially in IT, will remain critical to meet evolving client mandates. The talent platform Foundit (formerly Monster APAC & ME) anticipates a 9% growth in India’s job market, led by sectors like IT, retail, telecommunications, and BFSI.
India’s employment landscape in 2025 promises a strong momentum, with technology-driven roles leading the way and diverse industries contributing to sustained growth.
