Real economy decrease: SBI Flags GDP, Trade and Investment Rights in a new blatant report

A new research report warned the Bank of India (SBI) that the last boom in the American economy may have been anomaly, fueled by post -sustainable policy measures.

The report, entitled “The American Economy heading towards (UN), puts the exceptional (UN)? , A series of disturbing trends that indicate a long-term decrease in the potential of growth, investment and productivity in the United States-which indicates a possible end of the so-called American economic exception.

According to the sub -execution body, the increase after birth in the American economy was likely to be more effective, more than wasting policy more than structural power. Long -term data indicates a fixed decrease in GDP growth, low exports, and weakening consumption patterns. “The jump in the American economy after it was out of political splendor,” the report notes that the basic indicators such as the growth of the productivity of the total factors (TFP) and the addition of value to a declining path.

After increasing the warnings, the net savings of GDP in the United States decreased to its lowest level since 2011, while the debt ratio to GDP continues to climb the emerging secular. The study also indicates that high wages, while positive workers hinder new investments. The average cost of the employer was $ 31.47 per hour in December 2024, and sectors such as manufacturing to attract the required investment for long -term growth.

The report warns that without deep structural adjustments – including stimulating the participation and productivity of the private sector – the American economy may not retrieve the possible growth path any time soon. Even if modifications occur, SBI warns that these will include “short -term costs” and are full of “IFS and Buts”.

In addition to stormy clouds, Donald Trump’s tariff by 25 % on steel and aluminum imports, active from March 13, 2025, may increase US economic expectations. Although India runs a trade deficit with the United States in these commodities, SBI sees a potential silver lining: India can take advantage of trade flows.

Moreover, the American markets seem to have lost Steam. After huge gains after birth, including the amazing maximum market of $ 52.9 trillion for S&P 500 as of February 2025, markets are now declining. “The markets, including the United States, seem to have run out of breathing, which reduces all intermittent gains as investors are increasingly wondering about profit guidelines for persistent fluctuations,” the report says. Even giants such as the “wonderful Seven” stocks, which are often seen as bulletproof, have begun to show cracks under the strain of economic uncertainty and geopolitical risks.

The GDP model in Atlanta Virus now reflects this slowdown, reducing its growth estimate in Q1 2025 to -2.4 % of +2.9 % expected earlier, which is an acute swing fed the recession fears. “American economic growth slides last year,” SBI writes, noting that the growth of GDP from 3.2 % in Q4 2023 to 2.5 % in the second quarter of 2024.

In a broader note, the SBI report highlights that India stands out of turmoil. Since the United States and other advanced economies are slowing down, the diverse export base in India, the active pursuit of free trade agreements, and strong local consumption can help it attract its share in the market. The report confirms that India has signed 13 feet in the past five years, including major partners such as the United Arab Emirates and Australia, and is actively negotiating new deals with the United Kingdom, Canada and the European Union.

SBI notes that the mutual tariff from the United States is unlikely to surpass India significantly, which leads to a decrease of only 3-3.5 % in exports, which can be compensated by increasing goals across manufacturing and services sectors.

In short, the SBI report indicates that the world tends away from the dominance of the United States, with the high debts, slow growth, and commercial battles that have a long shadow on the economic future of America – and India is likely to enter the void as an upward global commercial player.