Key areas to focus on in the Indian Economy for UPSC include economic growth, poverty alleviation, sustainable development, and fiscal policy. Understanding the significance of agriculture, industrialization, and services is also essential. Candidates should be familiar with major economic reforms, current policies, and their implications. Institutions like the Reserve Bank of India and economic surveys provide critical insights. Keeping abreast of current economic trends and government initiatives enhances preparedness for questions related to the economy in the exam.