Crisil predicts India's GDP to fall to 6.6% in fiscal 2027
Business
India's growth is set to slow down in fiscal 2027, thanks to the ongoing West Asia conflict.
Crisil predicts GDP will drop from 7.6% in FY26 to 6.6% in FY27, and the current account deficit could widen from 0.8% to 2.2%, mostly because oil prices are climbing.
Crisil predicts India's inflation at 5.1%
Inflation is expected to jump from 2.0% in FY26 to 5.1% in FY27 as energy and transport get pricier, largely due to a closure of the Strait of Hormuz, which Crisil calls "the largest energy shock on record."
Brent crude prices are now forecast at $90 to $95 a barrel, up from $82 to $87, and these disruptions are making trade, freight, insurance, and even fertilizers more expensive for India's economy.