Rising inflation directly doesn’t lead to increase in india’s GDP,

Rather it leads too increase in nominal GDP of the country which is calculated at current year prices of final goods and services, that neans inflation leads to increase in nominal GDP even if the productivity of the country is stagnent

Which makes Nominal GDP of a country as an illusionary indicator of growth in an economy while real indicator is increase in Real GDP which is calculated at base year prices (unaffected by inflation)

Infact sometimes Increase in Nominal GDP of a country results in negetive growth in following ways 

1. Increase in cost of production

As a result of increase in general price levels producers would face increase in cost of production, This leads to lower profit margins which makes the producers difficult to survive

2 Lower consumer spending in long term

Rise in general price levels leads to decrease in purchasing power of consumer if income doesn’t increase proportionately, as a result consumer tends to reduce the consumption

3. Rise in interest rates

To curb the inflation RBI mmay increase the interest rates, so that it makes costly to consumer to borrow and it tends to lower the consumer spending

4. Economic unstability

Inflation leads to uncertainty in economy which makes it difficult to make decisions for consumers as well as producers which results in. Economic unstability

GOVERNMENT can take necessary steps to curb the inflation through fiscal policy so as to reduce uncertainty in market by 

• Increasing taxes on income to reduce the purchasing power of consumers

• decresing govt spending or investments

• borrowing more from public to reduce the money supply in markets

Through monitery policy by 

• increase in repo rates or reverse repo rates

• controlling open market operations

• increasing interest rates etc