Modi Announces Tax Relief to Boost India’s Economy Amid Trump Tariff Tensions

Indian markets surged following Prime Minister Narendra Modi’s GST reforms and tax cuts aimed at boosting domestic consumption amid U.S. tariff pressures. The Nifty 50 rose 1%, BSE Sensex 0.84%, and the rupee strengthened against the dollar. Reforms include a two-tier GST structure (5% and 18%), abolition of previous 12% and 28% levies, and simplified compliance for MSMEs and essential goods. Key sectors like autos, manufacturing, logistics, and consumer goods are expected to benefit. With India’s economy reliant on domestic consumption, low inflation, and rising consumer spending, the measures are projected to support GDP growth and investment sentiment.