India Growth Seen Strong in 2026 Before Moderating

India’s economy is expected to grow quickly over the next few years.

Allianz Research predicts growth of 7.5% in 2026.

It expects growth to slow to 7.1% in 2027 and 6.8% in 2028.

India would still be one of the fastest-growing large economies.

Prices are expected to rise more quickly in 2027.

Inflation is forecast to reach 5.2% that year before falling in 2028.

Because of inflation and other pressures, India may make borrowing more expensive later in 2026.

The outlook depends on energy prices, bond markets and investment connected to artificial intelligence.