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Modi flags EU trade deal, reforms as US pact remains elusive

Swati Gupta / Bloomberg
Swati Gupta / Bloomberg • 1 min read
Modi flags EU trade deal, reforms as US pact remains elusive
Narendra Modi with European Council president Antonio Costa (left) and European Commission president Ursula von der Leyen in New Delhi on Jan 27.
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(Jan 29): India’s free trade deal with the European Union offers the nation’s manufacturers duty-free access to a large market, helping them establish the country’s brand globally, Prime Minister Narendra Modi said.

He pledged to build on the recent deal by promising more reforms to boost economic growth. The comments are key as they signal the government’s intent ahead of the annual budget due on Feb 1.

“We are moving fast on the reform express,” said Modi while speaking to reporters outside the parliament in New Delhi. “The country is moving out of long-term pending problems to a long-term solution position now at a great pace.”

With a trade deal with the US still elusive, Prime Minister Narendra Modi is leaning more heavily on domestic reforms to sustain growth. The government is expected to push measures to improve the ease of doing business and lift investment as external demand remains under pressure.

The Indian economy is expected to expand 7.4% in the current financial year ending March 31, but according to analysts, the future outlook remains clouded by global economic factors and tariff-related uncertainty.

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