<h1>Fiscal and monetary stability underpin recovery, stressing capex-led growth, credit expansion and green investment frameworks.</h1> Broad-based recovery is driven by strengthened domestic demand, higher public and private capital expenditure and credit expansion to MSMEs and NBFCs, with a capex-led growth strategy and improved balance sheets underpinning a renewed investment cycle. Fiscal measures show buoyant direct tax and GST revenues alongside higher central capital spending and incentives to states to prioritise infrastructure, aimed at preserving a positive growth-interest rate differential. Monetary tightening, moderated liquidity and supply-side fiscal interventions complement inflation management. Expanded social spending, digital public infrastructure and green finance initiatives support inclusion and the energy transition.