Trump’s 50% tariffs on India could reduce the country’s GDP by up to 0.5% this year, India’s Chief Economic Adviser V. Anantha Nageswaran said in a Bloomberg TV interview on Monday. "Depending on how long it lasts even within this financial year, it may translate into a GDP impact of somewhere between 0.5% to 0.6%," he said. Despite the potential drag, Nageswaran said he would maintain the government’s growth forecast of 6.3%–6.8% for the FY2025-26, citing the 7.8% growth in Q1, which marked the fastest growth in over a year. President Trump imposed the 50% tariff on Indian imports last month, claiming that India’s oil purchases were helping fund Moscow’s war effort. Last week, Finance Minister Sitharaman said India would continue buying Russian oil, as it remains economically viable. Separately, Sitharaman stated that GDP growth in FY 2025–26 could exceed the projected 6.3%–6.8%, driven by a surge in consumption following recent GST tariff cuts, alongside the strong Q1 performance.