India Announces 'Financial Emergency'; PIB Fact Checked
The Indian government’s fact-check source corrected a fake news story regarding the declaration of ‘Financial Emergency’ in India after the US President Donald Trump announced the tariffs on goods imported from India. The Press Information Bureau (PIB) Fact Check has clarified that ‘No Financial Emergency has been declared in India’.
Requesting netizens to stay alert and always rely on official sources for verified information, the online fact-checking platform debunked the misinformation spread by some Pakistani propaganda accounts claiming the declaration of a ‘Financial Emergency’ in India.
“A Pakistani propaganda account is claiming that a financial emergency has been declared in India following a $60 billion market wipeout due to a 25% tariff announced by Donald Trump”, it wrote, while saying the claim as #Fake.
A Pakistani propaganda account is claiming that a financial emergency has been declared in India following a $60 billion market wipeout due to a 25% tariff announced by Donald Trump.#PIBFactCheck
❌This claim is #Fake
✅ No financial emergency has been declared in India… pic.twitter.com/cJRp1GeeA1
— PIB Fact Check (@PIBFactCheck) July 31, 2025
However, India can declare a Financial Emergency under Article 360 of the India Constitution, if the President is satisfied that the financial stability or credit of India is threatened. It requires the approval of both houses of the Parliament within two months of the declaration. Once approved, it remains in operation until revoked.
Notably, the US President has announced 25% tariffs on Indian goods plus additional duty for importing large-scale Russian oil and alleging it to fuel the War in Ukraine. Following Donald Trump’s calling the Indian economy a ‘Dead Economy’, the Ministry of External Affairs (MEA) issued a statement stating that it remains focused on the substantive agenda that the two countries have committed to and reflected confidence in moving the relationship forward.
