New Delhi, March 26 -- The Indian economy is estimated to achieve a growth of 6.5 per cent in FY25 despite considerable external headwinds, the Monthly Economic Review by the Department of Economic Affairs (DEA), Ministry of Finance said.

The Monthly Economic Review added that the performance of the economy in the past quarters was driven by strong agricultural and service sector performance on the supply side and a steady increase in consumption and core merchandise and services exports on the demand side.

"Geopolitical tensions, trade policy uncertainties, volatility in international commodity prices and financial market uncertainties pose considerable risks to the economic growth outlook, globally and locally. One offsetting positive...