The global economic landscape in 2025 is marked by divergence, with the US and Japan poised for strong growth, while Europe and China face headwinds. Domestically, after a weak first half of FY25, we anticipate a modest recovery in the second half, driven by a stronger rural demand, increased government capital expenditure, and moderating inflation. To unlock long-term growth potential, policy focus needs to be on stimulating demand and capitalizing on trade and investment opportunities amid global shifts. On monetary policy, we expect a shallow rate-cut cycle to begin in February 2025, driven by economic growth pressures and further inflation moderation, with additional measures to support systemic liquidity.