New Delhi, May 28 -- Indian small businesses recorded their strongest growth since the COVID-19 pandemic in 2025, with four out of five firms reporting expansion, even as rising costs and geopolitical uncertainty continued to pose major challenges, according to CPA Australia's Asia-Pacific Small Business Survey 2025/26.

The survey showed that 80 per cent of Indian small businesses grew in 2025, significantly higher than the Asia-Pacific average of 63 per cent. It also found that 87 per cent of Indian small businesses expect growth in 2026, while 84 per cent anticipate growth in the local economy, making India one of the most optimistic small business markets in the region.

According to the report, improvements in customer experience and...