Economic Survey 2025-26: Domestic Support Stabilizes Indian Markets Amid Global Challenges

• The Economic Survey 2025-26 highlights that Indian markets remained stable despite global challenges, primarily due to strong domestic support.
• Key factors like policy support, improved macroeconomic conditions, and increased domestic investor participation prevented a market collapse.
• Measures such as reduced personal income tax, GST slab revisions, interest rate cuts, and improved corporate performance contributed to market stability.
• Despite setbacks like increased US tariffs, lower-than-expected corporate earnings, and foreign capital outflows, Indian equities showed resilient performance.
• Benchmark indices Nifty 50 and BSE Sensex recorded moderate gains of 11.1% and 10.1% respectively between April and December 2025, indicating consolidation.

Why It Matters: Domestic strengths and policy support were crucial in stabilizing Indian markets amidst global economic headwinds.