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Economy News, Latest Economic News Today | The HinduBusinessLine

GE, HAL clinch tech deal on joint jet engine plan India rejects USTR allegations, seeks termination of Section 301 probe Indian automobile sales record highest-ever sales in FY26, first time after FY19: SIAM Madhya Pradesh CM says basmati rice from the State is exported to 47 nations 63 Moons’ cybersecurity arm pilots GPS-spoofing solution at Indian airports Highways ministry notifies amendment to streamline fee for overloaded vehicles on NHs Global aviation crisis deepens as fuel shortage, Iran conflict hit airlines TRI launches agri-voltaic project to help farmers earn double income Hotel industry to hit $31 billion in 2029; listed hotel firms set to add 70k rooms by 2030: CBRE Temperatures may trend up over North-West, Central India until weekend Reduction in airport tariff credit neutral, minimal impact on revenue: Ind-Ra Global coffee prices rise as fertiliser costs and West Asia tensions threaten supply Bluspring Enterprises to acquire LSG Sky Chefs India, enters aviation catering sector China says policy to improve relations with India remains unchanged amid Arunachal naming row Research firms divided over impact of below normal monsoon on food inflation Unnat Krishi Mahotsav concludes, farmers to emerge as energy, fuel & hydrogen providers, says Gadkari Airlines may get ₹5,000 crore credit support under proposed ECLGS variant How kashmir’s breakthrough is making Gucchi mushroom farming possible Centre not taking away State’s power on bonus for agri produces, says FM Sitharaman Carriers cut flights on cost pressures, uncertain demand GE Aerospace scales AI from pilots to production; India anchors global capability West Asia crisis may push India’s current account deficit to 2% of GDP: Crisil Tax Dept to resume Tiger Global reassessment, says GAAR relief won’t alter SC ruling Ceasefire talks fail to restore vessel movement in Strait of Hormuz, fate of 599 ships remain inconclusive DMRC launches mid-life refurbishment of Blue Line trains to enhance safety and passenger experience Retail inflation likely rose 3.5-4% in March India-UK free trade pact may come into force from second week of May: Official 'West Asia war a good opportunity for energy reforms, lower costs for industry' India’s marine exports surge to ₹62,408 crore in 2024-25, Govt sets ₹1 lakh crore target PM Modi to inaugurate Dehradun-Delhi Expressway on April 14 India’s economic growth journey huge opportunity for international partners: Kwatra From diesel to daylight: How government solar schemes are powering India’s farmers The next energy leap: Replicating ethanol’s success in diesel Delhi EV Policy: Electric 3-Wheelers Only by 2027, 2-Wheelers by 2028 Windfall levy on export bound diesel, ATF raised India-flagged LPG tanker Jag Vikram crosses Strait of Hormuz after US-Iran ceasefire Muted pricing power, rising costs to curb benefits of demand in cement sector: HDFC Securities Central Railway to run four special local trains for Ambedkar Jayanti Cotton Association revises output estimates for 2025-26 up at 324 lakh bales of 170 kg each Agtech marketing in the age of regional content and creator communities Rajnath Singh, Nitin Gadkari to join 3-day agri event at Shivraj’s home turf, inaugurated today How agripreneurship will drive improved rural livelihoods in India World’s largest tur producer, yet an importer: A self-sufficiency puzzle unfolding on ground Ethanol in diesel generators: India’s next practical step towards energy security How sustainable sourcing can unlock value in India’s agri-value chains West Asia Crisis: Induction cooking may consume 13-27 GW power Govt defers power plant maintenance for three months; 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India faces its driest period in 11 years as IMD projects monsoon at 90% of LPA
By Prabhudatta Mishra · 2026-05-29 · via Economy News, Latest Economic News Today | The HinduBusinessLine
Ministry of Earth Sciences Secretary Dr M Ravichandran (centre) addressing a press conference on the Second Stage Long Range Forecast for Southwest Monsoon 2026, in New Delhi.

Ministry of Earth Sciences Secretary Dr M Ravichandran (centre) addressing a press conference on the Second Stage Long Range Forecast for Southwest Monsoon 2026, in New Delhi. | Photo Credit: -

The India Meteorological Department (IMD) on Friday scaled down its projection for the South-West Monsoon to 90 per cent of the long-period average (below-normal rainfall), leaving the country facing its driest weather in 11 years.

The rainfall, taking into account the long-period average (LPA) or the average rain since 1971, will likely be the lowest since 2015. It could leave the country dry in most parts. In 2015, it was 86 per cent of the LPA, while in 2014, it was 88 per cent of the LPA. In 1991, IMD forecast the monsoon rain at 90 per cent of LPA. 

In 2023, the monsoon was 92 per cent LPA, which resulted in over a third of the country experiencing prolonged dry periods and drought.  The lowering of the earlier forecast made in April, with IMD forecasting 92 per cent of LPA, comes even as the monsoon has run into an incoming western disturbance and lost its vigour.

To set in next week

Releasing the second stage monsoon forecast for 2026, India Meteorological Department (IMD) Director General M Mohapatra said the monsoon, which accounts for over 75 per cent of the annual rainfall, is likely to emerge over the Kerala coast next week. 

Initially, the IMD had predicted the monsoon to set in on May 26 before it faced hurdles. The European Centre for Medium-Range Weather Forecasts (ECMWF) expects a trough developing from coastal Karnataka northwards to be sufficient to trigger moderate to heavy rainfall over central Kerala.

The India Meteorological Department’s (IMD) numerical model guidance continues to indicate that monsoon onset may remain delayed until June 4–5. From June 8 to 15, the monsoon may lose some of its early momentum, with rainfall retreating largely to coastal Kerala and Coastal Karnataka. 

Below-normal in core area

The IMD’s projection has an error margin of ±4 per cent. Mohapatra said the south, central, and northwest regions will have below normal rain, while the east and north-east meteorological sub-divisions may have normal precipitation (94-106 per cent of LPA)  in the June-September monsoon season. 

Normal to above normal rainfall is likely to be seen in some areas of the north-west and eastern parts of the southern peninsula and adjoining areas of east-central India, he said.

The IMD Director-General said that the monsoon core zone (MCZ), consisting of most of the rainfed agriculture areas in central India, is likely to be below normal, or less than 94 per cent of LPA.

Heat for central, north-west

On the outlook for June, he said that the monsoon may be below normal, while the maximum temperature in most parts is likely to be above normal. “The average rainfall for the country as a whole during June 2026 is most likely to be less than 92 per cent of the LPA of 165.4 cm,” said Mohapatra.

Also, normal to above-normal rainfall is likely over some parts of the north-west, south peninsula and isolated pockets of central India during June, he said. Quantitatively, the rainfall is likely to be less than 94 per cent in central and southern regions, while mostly irrigated north-west India may have below 92 per cent of LPA.

During June 1-7, rain bands may spread into south Goa in the north and eastward along the Western Ghats into adjoining Tamil Nadu, including central parts and north coastal districts, while Rayalaseema and parts of Telangana could also receive helpful showers early into the season.

Meanwhile, central and North-West India are likely to endure a renewed spell of heat and dryness. Southern Gujarat, western Madhya Pradesh and adjoining south Uttar Pradesh may face particularly harsh conditions.

(With inputs from Vinson Kurian, Thiruvananthapuram)

Published on May 29, 2026