ADB forecasts 7% India growth in 2026 despite weather risks
Good news for India's economy: The Asian Development Bank (ADB) now expects the country to grow by 7% in 2026, thanks to strong spending at home and big investments from the government.
But there's a catch: ADB warns that unpredictable weather (hello, El Nino) and high energy costs could make things tricky for farmers and push up food prices.
Inflation in India 4.8% in August
Inflation is running hotter than the Reserve Bank of India would like, hitting 4.8% in August, mostly because food prices keep climbing.
Looking ahead, ADB thinks inflation could stay around 5.2% in 2026, which might limit how much the central bank can tweak interest rates or help cool things down.
Still, India's economy is holding steady with solid consumer spending and accelerating public infrastructure spending.