Page 2 - Indian Economy

India 'deeply engaged' with major economies on all fronts: Ashwini Vaishnaw

On being asked if India will be having a meeting with the US delegation, Ashwini Vaishnaw said, "The format of Davos is a format where we generally do panels and bilaterals

Can the Union Budget 2026-27 unveil a low debt-deficit path to growth?

The forthcoming Budget could think of maintaining public capital expenditure at 3% so that domestic resources are available for private investments

Why growth isn't saving the rupee despite low inflation, modest CAD

Strong headline numbers, low inflation and a modest current account deficit have fostered the belief that little needs fixing

IMF upgrades India's FY27 GDP growth forecast to 6.4% despite trade risks

The IMF on Monday raised India's growth projection to 7.3 per cent for fiscal 2025-26, up 0.7 percentage point from its October forecast, on the back of better-than-expected performance of the economy. The Washington-headquartered multilateral lending agency has also revised India's Gross Domestic Product (GDP) growth forecast to 6.4 per cent for fiscal year 2026-27 beginning April 1, 2026, from its earlier estimate of 6.2 per cent. "In India, growth is revised upward by 0.7 percentage point to 7.3 per cent for 2025 (fiscal FY26), reflecting the better-than-expected outturn in the third quarter of the year and strong momentum in the fourth quarter," it said in its World Economic Outlook (WEO) update. Growth is projected to moderate to 6.4 per cent in 2026-27 and 2027-28 as cyclical and temporary factors wane, the International Monetary Fund (IMF) said. According to India's statistics ministry, GDP during April-September of 2025-26 registered a growth rate of 8 per cent, on the back

India's FY26 GDP growth of 7.3% to lift household incomes: Moody's

Moody's Ratings on Monday projected India to clock a 7.3 per cent growth in the current fiscal, and said the strong economic expansion would support average household incomes and stimulate demand for insurance protection. In its report on India's insurance sector, Moody's said the industry looks set to benefit from sustained premium growth on the back of robust economic expansion, increased digitisation, tax changes and a planned reform of the dominant state owned insurance sector. The increase should improve the industry's currently weak profitability. "We expect India's economy to grow by 7.3 per cent in FY 2025 (year to March 2026), up from 6.5 per cent the previous year. This will increase average incomes and support demand for insurance," it said. In FY 2024-25, GDP per capita rose 8.2 per cent year-on-year to USD 11,176, while headline GDP grew by 6.5 per cent. Moody's said India's robust economic growth contributed to a 17 per cent increase in total insurance premium revenue

Nominal GDP growth for FY27 seen at 10-10.5%: Economists

Economists expect the Union Budget to peg FY27 nominal GDP growth at 10-10.5%, aided by rising inflation and a low base, influencing debt and fiscal metrics

India's GDP to grow at 7.5-7.8% in FY26, 6.6-6.9% in FY27: Deloitte

India is likely to clock a GDP growth of 7.5-7.8 per cent in the current fiscal, supported by festive demand and robust services activity, and moderate to 6.6-6.9 per cent in FY27 on a high base and persistent global uncertainties, Deloitte India said on Wednesday. For India, 2025 will be remembered as the year of "resilience" in domestic demand, decisive reforms in fiscal, monetary and labour policies, and recalibrations in trade policies. Real GDP grew 8 per cent in the first half (April-September) of the ongoing 2025-26 fiscal despite global headwinds such as trade disruptions, policy shifts in advanced economies, and volatile capital flows. Deloitte India expects full year GDP growth at 7.5-7.8 per cent for FY2025-26, supported by festive demand and robust services activity. Furthermore, growth may moderate to 6.6-6.9 per cent in FY2026-27, reflecting a high base and persistent global uncertainties, it said in a statement. "India's resilience is no accident. It stems from ...

World Bank upgrades India's economic growth forecast to 6.5% for FY27

It highlighted AI and possible resolution of trade disputes as upside risks

India experiencing remarkable growth in 'orange economy': PM Modi

The Prime Minister emphasised that the period leading up to 2047, when India marks 100 years of independence, is a decisive phase for both the nation and its youth

Prospects for faster growth amid lingering macro and structural constraints

While the economy is well poised, key macro numbers and structural constraints continue to weigh

The Land Trap: How land, real estate investment can destabilise the economy

Mr Bird's book is an interesting contribution to understanding why land continues to occupy such a role in modern economies and the trajectories of nations

Will Budget 2026 synchronise Customs law with India's FTA ambitions?

Customs regimes can lead to labyrinthine legal disputes. Budget 2026 must recognise that an excessively defensive Customs posture can itself become a trade barrier

Statsguru: 'Gigification' of Indian economy and the future of work

What is often framed as flexible employment increasingly resembles regular work, raising questions around hours, pay and working conditions

Govt to meet fiscal deficit target of 4.4% in FY26, may even better it: PwC

The government is likely to achieve the fiscal deficit target of 4.4 per cent of the GDP in FY26, and it could even better it, a positive signal to global investors about India's commitment to fiscal management, PwC Partner and Economic Advisory Services leader Ranen Banerjee said. The revision in the nominal GDP growth target from 10.1 per cent to 8 per cent by the National Statistical Office recently raised concerns about the government's ability to meet the fiscal deficit target. Although the nominal GDP growth rate has been revised downward to 8 per cent from 10.1 per cent, the absolute numbers are almost matching the budget estimates, he said, adding that this means the denominator is not shrinking and the government should easily meet the 4.4 per cent fiscal deficit target. It is to be noted that the government overachieved its fiscal deficit target of 4.8 per cent against 4.9 per cent of GDP pegged for FY25. "It has a headroom to actually better it. We believe that optically

Indian economy resilient despite global challenges: Shaktikanta Das

India's economy remains resilient despite geopolitical headwinds and trade barriers, with real gross domestic product projected to grow 7.4 per cent in FY26, the principal secretary to the PM said

India consumer price inflation likely rose to 1.50% in December

Core inflation, excluding food and fuel components, likely edged up to 4.53 per cent in December from an estimated 4.2 per cent-4.3 per cent in Nov, ‍partly due to a 7 per cent rally in gold prices

India's economy likely to grow 6.6% in FY27 despite higher US tariffs: UN

The statistics ministry on Wednesday estimated the economy to grow 7.4 per cent in 2025-26

Census 2027: Centre notifies first phase, house listing to begin April 1

The House Listing and Housing Census will precede population enumeration and focus on housing conditions and amenities, with the exercise scheduled across states and UTs in 2026

NSO releases first advance estimates: GDP may expand 7.4% in FY26

Nominal growth expected at 8%, slowest since FY21; fiscal deficit target likely to be met

India's Reform Express gaining momentum: PM Modi on GDP growth data

Prime Minister Narendra Modi on Wednesday said India's "Reform Express" is gaining momentum, powered by the NDA government's investment policies as the economy is projected to grow at 7.4 per cent in the fiscal year 2026. "India's Reform Express continues to gain momentum. This is powered by the NDA Government's comprehensive investment push and demand-led policies," Modi said in a post on X. The First Advance Estimates released by the Ministry of Statistics and Programme Implementation on Wednesday put the GDP growth rate in 2025-26 (April 2025 to March 2026) at better than the 7.3 per cent forecast of the Reserve Bank of India (RBI) and the government's initial projection of 6.3 to 6.8 per cent. "Be it infrastructure, manufacturing incentives, digital public goods or 'Ease of Doing Business', we are working to realise our dream of a prosperous India," the prime minister said.