Business · Economy · 1 hr ago
IMF raises India’s FY27 growth forecast to 7%
The International Monetary Fund has raised its forecast for India’s economic growth in FY27 to 7%, from 6.4%.
FY27 is India’s financial year that begins in 2026.
The IMF also expects growth of 7% in FY28, up from its earlier forecast of 6.7%.
It cited strong household and business demand, a busy services sector and India’s large domestic market as supports for growth.
India’s economy grew 7.8% in FY26, and the World Bank and India’s central bank have also raised their FY27 forecasts.
The IMF says trade agreements with the United Kingdom and European Union could support growth by reducing trade barriers and strengthening supply chains.
It forecasts retail inflation of 5% in FY27, while warning that conflict, cyber threats and extreme weather could weaken the global outlook.
The IMF raised India’s FY27 growth forecast to 7% from 6.4%, citing resilient domestic demand and strong services activity.
It also increased its FY28 growth projection to 7% from 6.7%.
The Fund said favourable demographic trends, a large domestic market and continued structural reforms support India’s growth potential.
The World Bank and the Reserve Bank of India had each raised their FY27 forecasts for India to 7.1% last week.
The IMF projects India’s inflation at 5% in FY27, easing to 4.4% in FY28.
- Who
- The International Monetary Fund.
- What
- It raised India’s FY27 growth forecast to 7% from 6.4% and its FY28 projection to 7% from 6.7%.
- When
- Tuesday, October 13, 2026.
- Where
- India.
- Why
- The IMF cited resilient domestic demand and strong services activity.
This story does not have two clearly opposing sides.
The World Bank and the Reserve Bank of India raised their FY27 growth projections for India to 7.1%.
The IMF released its World Economic Outlook and raised India’s FY27 growth forecast to 7%.
- FY27 growth forecast
- 7%, up from 6.4%
- FY28 growth projection
- 7%, up from 6.7%
- World Bank FY27 forecast
- 7.1%
- RBI FY27 forecast
- 7.1%
- FY27 inflation projection
- 5%, easing to 4.4% in FY28
What people are saying
India’s growth remained robust, underpinned by domestic demand and services, despite higher oil prices.
As geopolitics and technology reshape the global economy, how well prepared each country is to adapt to the changes will determine its medium-term potential.
Sources
Related news
India’s trade agreements could add $140 billion to GDP by 2035
Rupee rises about 1% after India’s central bank takes support measures
Juspay revenue rises 30% to $75 million
Mesa School of Business raises Rs 110 crore in Series A funding
Rupee Gains as India’s Central Bank Adds Currency Support Measures
India’s Rupee Support Effort Faces Pressure From Oil and Inflation
Proposed Jio IPO could lift telecom valuations, analysts say
Tonbo Imaging sets ₹665–700 per share price band for ₹852 crore IPO
Indian 10-year bond yields reach highest level since March 2023
Nifty weekly expiry puts 22,250–22,500 range in focus
Clueso raises $10 million in Series A funding
