CHENNAI ■ MADURAI ■ VIJAYAWADA BENGALURU ■ KOCHI ■ HYDERABAD ■ VISAKHAPATNAM ■ COIMBATORE ■ KOZHIKODE ■ THIRUVANANTHAPURAM ■ BELAGAVI ■ BHUBANESWAR ■ SHIVAMOgGA ■ MANGALURU ■ TIRUPATI ■ TIRUCHY ■ TIRUNELVELI ■ SAMBALPUR ■ HUBBALLI ■ DHARMAPURI ■ KOTTAYAM ■ KANNUR ■ VILLUPURAM ■ KOLLAM ■ TADEPALLIGUDEM ■ NAGAPATTINAM ■ THRISSUR ■ KALABURAGI ■ ■ HYDERABAD l friday l January 30, 2026 l `9.00 l PAGES 38 l late cITY EDITION Policy prescriptions Tariff impact Focus on building national capabilities and economic sovereignty in the face of shrinking space for rules-based trading, anti-immigrant stance, weaponisation of energy and export controls 2% Costly freebies Direct cash transfers to voters ahead of elections ­— a new strategy adopted by political parties — have long-term viability risks. Aggregate spending on such transfers would be `1.7 lakh crore in FY26, it warned Cool inflation Retail inflation is unlikely to cause major worries as the economy is supported by favourable supplyside conditions and gradual pass-through of GST rate cuts. Inflation may average 2% this fiscal. The new CPI series, due to kick in on Feb 12, will have implications for inflation assessment G RAM G vs MGNREGS The VB-G RAM G Act, 2025 was brought in because there was a notable decline in work under MGNREGS. Since its enactment in 2005, MGNREGS provided wage employment, stabilised rural income, and created basic infrastructure, but the nature of rural employment requirements transformed over time. VB-G RAM G is a comprehensive statutory overhaul of the earlier scheme, it said Ec o n o m i c S u r v e y 2 0 2 5 - 2 6 Despite global volatility, GDP to grow at 6.8-7.2% for FY27, says Chief Economic Advisor India to stay in fast lane P U S H P ITA D E Y @ New Delhi INDIA’s economic engine is revving up and is expected to enter the next financial year at full throttle, the Economic Survey 2025-26 tabled in Parliament on Thursday signalled as it projected a real GDP growth rate of 6.8%–7.2% for FY27. This outlook follows a strong performance in FY26 where the economy is estimated to grow at 7.4%, reinforcing India’s position as the world’s fastestgrowing major economy for the fourth consecutive year. The Survey upgraded India’s medium-term potential growth Vague, capable of misuse SC stays UGC fiat on campus equity KLIS increased cultivated area in TG The Economic Survey 2025-26 attributed the around 70% increase in cultivated area in Telangana since 2014 to the Kaleshwaram project and Mission Kakatiya | P4 rate to 7% from the previous estimate of 6.5%. However, it flagged global uncertainties and warned of a 2008-like crisis in 2026. Given the potential risks, having a strong and sustained manufacturing growth would be the need of the hour, the finance ministry said. “First Advance Estimates place real GDP growth at 7.4% S U C HITRA K A LYA N M O HA N T Y @ New Delhi THE Supreme Court on Thursday stayed till March 19 the University Grants Commission (Promotion of Equity in Higher Education Institutions) Regulations, notified on January 23 after hearing a batch of pleas with growth largely driven by domestic demand. Private consumption and capital formation continue to support expansion, while services remain the key contributor on the supply side,” the Survey said. Higher tax collection, better export markets, lower inflation and better employment will contribute to the g rowth momentum. The Survey, tabled by Finance Minister Nirmala Sitharaman in both Houses on Thursday, highlighted how internal resilience has helped create a buffer for the economy against external headwinds. The Survey listed strong fiscal indicators—revenue receipts rising from 8.5 % of GDP in the pre-pandemic period (FY16-FY20) to 9.1% in FY22FY25, moderation of revenue expenditure from 13.6% of GDP in FY22 to 10.9 % in FY25, and halving of fiscal deficit from 9.2% in FY21 to 4.4% in FY26. The Survey advocated for more de-regulation to create a self-reliant (Swadeshi) Indian economy. At turbulent times when the “trade is no longer reciprocal” and “markets are no longer neutral”, Swadeshi-oriented policies will be imperative to India’s growth.  P9, 12 challenging the Commission’s controversial order. The new Promotion of Equity in Higher Education Regulations, 2026 had revised measures to tackle caste-based discrimination in campuses by restricting grievance mechanisms only for SC, ST and OBC categories. “The 2026 UGC regulations on what amounts to caste-based discrimination shall be kept in abeyance. The 2012 Regulations will continue. The provisions are prima facie vague and capable of misuse,” the court said. A two-judge bench of Chief Justice Surya Kant and Justice Joymalya Bagchi passed the or- Maharashtra bids a tearful adieu to Ajit Pawar | p10 SIT summons KCR in phone-tapping probe Rahul, Tharoor meet signals thaw in relations @ Hyderabad P r e e t h a N a i r @ New Delhi E x p r e ss N e w s S e r v i c e The second Special Investigation Team (SIT) on Thursday issued a notice to BRS supremo and former chief minister K Chandrasekhar Rao in the alleged phone-tapping case, asking him to appear on Friday at 3 pm. KCR, however, informed the SIT that he was occupied with municipal elections, with Friday being the last day for filing nominations. “Fix any other date of your convenience for examination,” KCR said in a letter, assuring full cooperation with the investigation. Later in the evening, the SIT said it would issue a fresh notice on Friday It also informed . KCR that he could be examined at a place of his choice in Hy- derabad city not necessarily at , the Jubilee Hills police station, as he is above 65 years of age. The notice was served at his Nandinagar residence under Section 160 of the CrPC. Citing the same provision, KCR asked the SIT to conduct the examination at his residence in Erravalli village, Markook mandal of Siddipet district. KCR will be the fourth BRS leader to appear before the SIT in the case, after party working president KT Rama Rao, former minister T Harish Rao and former MP J Santosh Kumar who were examined on January 20, January 23 and January 27, 2026, respectively . The case pertains to alleged illegal tapping of about 6,000 phones of judges, politicians, journalists and others during the BRS regime.  continued on P4 inside Centre lists Medigadda in ‘Category-1’, indicates serious deficiencies that need urgent action I P4 no decision yet on shifting of Nizam’s jewellery to Hyderabad, Centre informs parliament I P2 Food items to now carry less weightage in determining consumer price index I P10 der noting that the court was prepared to examine the constitutionality of the new regulations. The petitions before the court alleged that the UGC adopted a non-inclusive definition of caste-based discrimination and excluded certain categories from institutional protection. The court orally ob- served that if it does not intervene in the matter, it “will lead to a dangerous impact” and “divide the society”. In strong remarks during the hearing, the Chief Justice questioned Solicitor General Tushar Mehta, asking whether India was becoming regressive. It also questioned why ragging had been left out Amid reports of unease with the party leadership, Congress MP Shashi Tharoor on Thursday held a detailed meeting with party president Mallikarjun Kharge and Leader of Opposition in the Lok Sabha Rahul Gandhi, signalling a possible thaw in relations. According to sources, Tharoor was assured by Rahul that he would receive due recognition within the party going forward as both sides emphasised unity with the party gearing up for the Kerala Assembly polls. The nearly two-hour meeting addressed concerns over Tharoor’s perceived sidelining within the organisation. Sources said Rahul conveyed to Tharoor that his services were crucial for the Congress and assured him that he would be included in important decisionmaking processes going forward. This was the first time Rahul had spent such an extended period with Tharoor. WITH THIS ISSUE CITY’S BEST WEEKEND GUIDE 38 PAGES, INCLUDING 24 OF INDULGE (TABLOID) of the scope of the new regulations. Referring to provisions in the regulations that contemplate separate hostels for different castes, the court said, “For God’s sake, don’t do this. We all used to stay together.” The Centre, UGC and others have been asked to file their detailed responses by March 19.