Former Reserve Bank of India Governor Raghuram Rajan downplayed the impact of President Donald Trump's "Liberation Day" tariffs on India even as the financial markets swooned in response to the measures.

Former Reserve Bank of India (RBI) governor Raghuram Rajan on Thursday criticized the Trump administration’s newly imposed reciprocal tariffs on approximately 60 countries, calling it a "self-goal." He warned that the move would mainly harm the US economy in the short term.

Former RBI governor Raghuram Rajan criticised the Trump administration’s new reciprocal tariffs, calling them a 'self-goal' that will harm the US economy in the short term. Rajan notes that the impact on India will be relatively smaller and suggests India reduce domestic tariffs to boost trade and competitiveness despite the global trend towards protectionism.