Reserve Bank of India raises FY27 GDP forecast to 7.1%
Business
The Reserve Bank of India is feeling optimistic about the economy, raising its GDP growth forecast for FY27 from 6.7% to 7.1%.
This upgrade comes thanks to strong spending by people across the country, a trend Governor Sanjay Malhotra says is keeping economic momentum going.
RBI raises rate to 5.5%
RBI also tweaked its quarterly outlooks, bumping up projections for Q2 and Q3 of FY27 but leaving Q4 steady at 6.8%.
Looking ahead, the Q1FY28 forecast was trimmed a bit to 7.1%.
With global issues like the West Asia conflict and higher oil prices in mind, RBI raised its key interest rate by 25 basis points (now at 5.5%) and shifted to a more cautious policy stance, aiming to keep inflation in check while supporting steady growth even in uncertain times.