Israel-Iran war: India’s economy shows early strain; CEA warns of 'significant' hit to growth, inflation, balances in March review

The report notes that "economic activity in India remained robust up to February 2026, with strong performance across both supply- and demand-side indicators," underscoring resilience built on domestic demand, infrastructure expansion, and policy support. High-frequency indicators reinforced this narrative, with manufacturing and services activity remaining in expansionary territory, while consumption indicators such as vehicle sales and digital payments showed strong growth.

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