India's GDP growth forecast for FY26 gets a boost
India's expected economic growth just got an upgrade—Ind-Ra now predicts the country's GDP will grow by 7% in FY26, up from its earlier 6.3% estimate.
This brighter outlook comes after a surprisingly strong April-June quarter, which saw the economy grow 7.8%.
For comparison, the RBI is forecasting a slightly lower 6.8% growth for the same year.
What's driving this optimism?
The bump in Ind-Ra's forecast is thanks to falling inflation, better pay in rural areas, and GST rationalization.
While exports to the US have dipped recently, Ind-Ra says a bilateral trade deal with the US would be essential for reviving Indian exports.
They say that how much people spend and invest at home will really shape India's economic momentum going forward.
Official numbers for July-September come out on November 28—so keep an eye out!