Indian Prime Minister Narendra Modi faces the challenges of reviving growth and giving relief to a middle class hit by rising living costs, while also preparing for an uncertain year of global trade,

India's economic growth story has been driven in large part by urban consumption since the pandemic, but the economy is slowing. Modi is now hinting at tax cuts for the middle class ahead of budget talks.

India plans to cut personal income tax rates to boost middle-class spending power, Finance Minister Nirmala Sitharaman said on Saturday, as she announced an annual budget that also sought to increase private investment to strengthen growth.