CEA V Anantha Nageswaran says India's economy is performing better than expected, with growth likely above 6.7 per cent this fiscal, aided by fiscal discipline, tax reforms, and steady inflation
Deloitte India on Thursday projected India's economy to grow 6.7-6.9 per cent in the current fiscal amid buoyant demand and policy reforms. Indian economy grew 7.8 per cent in the April-June quarter of current fiscal. Deloitte India's 'India Economic Outlook' report forecasts a GDP growth between 6.7 and 6.9 per cent, averaging 6.8 per cent this fiscal year, up by 0.3 percentage points from Deloitte's previous forecast. This performance signals not just resilience but a renewed sense of India emerging stronger than most nations. Similar growth rates are expected in the subsequent year, but the range of variation remains broader due to uncertainties associated with trade and investment. The GDP growth forecast is in lines with the RBI which projected FY26 economic growth at 6.8 per cent. Growth is likely to be supported by buoyant domestic demand, accommodative monetary policy, and structural reforms, such as GST 2.0. Low inflation will contribute to spending as purchasing power ..
He further said that India's Gross National Income (GNI) per capita of $2,650 needs to double for it to get around the low-middle income group
India, however, is expected to remain the world's fastest-growing major economy, supported by continued strength in consumption growth
A favourable base effect and low deflator growth which boosted the headline figure in Q1 is likely to have continued in Q2 - though less pronounced
India's fiscal deficit rose to 38.1 per cent of FY26 budget estimates in April-August, driven by higher capital expenditure and muted revenue receipts, CGA data showed
CEA V Anantha Nageswaran said India's Q1 growth momentum will continue into Q2 FY26, with GST reforms lifting demand, fiscal deficit on track, and borrowing plans unchanged
India has not done badly-it's just that other markets have done better, Wood said. For India, he believes, the inflows from domestic investors have been critical in preventing a correction.
According to the latest data, the economy grew at a staggering 7.8 per cent rate in the April-June quarter of 2025-26, far above forecasts made by economists based on all the other available data
Fitch Ratings has raised India’s FY26 GDP growth forecast to 6.9% from 6.5%, citing strong domestic demand. The global rating agency said robust real incomes will boost consumption.
The GST 2.0 is expected to deliver a significant consumption boost of around ₹2.8 trillion, equivalent to 0.7 per cent of GDP, Antique Broking said
BMI said any export front-loading that continued post-June has likely been cut short by the rise in US 'reciprocal' tariffs, first to 25 per cent on July 31, 2025, and then to 50 per cent on August 27
Economists say the effect of a low deflator and low base is likely to boost expansion
Nearly all segments of the economy supported growth in the first quarter
Harsha Vardhan Agarwal highlighted that income tax relief and repo-rate reduction by the Reserve Bank of India were among several other factors for the GDP growth
India's GDP grew 7.8% in Q1 FY26, a five-quarter high led by manufacturing and services, though US tariffs pose risks to sustaining growth momentum
Wood has removed the investment in Aditya Birla Real Estate in his India long-only equity portfolio and replaced it with an investment in Mahindra & Mahindra (M&M)
Q1 FY26 GDP: MoSPI data shows GDP growth above RBI's 6.5% estimate; nominal GDP at ₹86.05 trillion, GVA at ₹44.64 trillion
India's gross domestic product probably expanded 6.7 per cent in the three months to June, the first quarter of the financial year, according to the median estimate in a Bloomberg survey
Data from the Annual Survey of Industries (ASI) show that these sectors together employed around 21 million workers directly and via contractors in 2023, Nomura said