CEA warns US ties, energy costs as economic headwinds, urges strategic buffers

The Centre for Economic Analysis (CEA) released a report highlighting the impact of robust economic ties with the United States and escalating energy costs on India's growth trajectory. According to the analysis, these factors are emerging as key headwinds that could constrain future expansion. The think‑tank called on policymakers to develop strategic buffers, such as enhanced foreign‑exchange reserves and diversified energy sourcing, to mitigate the risks. CEA’s findings underscore the need for proactive measures to safeguard the economy against external shocks. The report has been circulated among government officials and industry stakeholders.