Modi turns to India's vast middle class to revive growth in rough global year


India's Finance Minister Nirmala Sitharaman holds a folder with the Government of India's logo as she poses with her officials while leaving her office to present the annual budget in the parliament, in New Delhi, India, February 1, 2025. REUTERS/Altaf Hussain

NEW DELHI (Reuters) -India slashed personal tax rates in its annual budget on Saturday, as the world's fifth largest economy focuses on boosting domestic demand amid uncertainty over the global economic outlook due to potential new tariff barriers.

The world's most populous country is expected to post its slowest growth in four years next year amid frail urban demand and weak private investment, while stubbornly high food inflation has dented disposable incomes.

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