India: IMF Raises Growth Forecast to 7.3%
The International Monetary Fund (IMF) has raised its growth forecast for the Indian economy for the fiscal year 2026 by 0.7 percentage points, now projecting it at 7.3%, citing stronger-than-expected economic dynamics.
This revision follows an update from the Indian National Statistical Office, which has also raised its growth estimates to 7.4% for the fiscal year ending March 31, surpassing the range previously set by the Indian government, which was between 6.3% and 6.8%.
In its biannual World Economic Outlook report released on Monday, the IMF indicated that the improved forecast for fiscal year 2026 reflects better-than-expected performance during the third quarter, alongside strong momentum in the fourth quarter.
For the years 2026 and 2027, the IMF expects the Indian economy to grow by 6.3% and 6.5%, respectively.
Globally, the IMF predicts that economic growth will remain resilient, stabilizing at 3.3% in 2026 and 3.2% in 2027.
