Economy, Banking and Finance · 20 January 2026

International Monetary Fund (IMF) revises India’s FY 2025-26 growth forecast to 7.3%

Exam-focused facts from the 20 January 2026 current affairs briefing.

Key facts

  • International Monetary Fund (IMF) raised India’s 2025 growth projection by 0.7 percentage point to 7.3% from 6.6% in October 2025.
  • IMF lifted India’s 2026 growth estimate to 6.4% from 6.2%.
  • World Bank pegs India’s FY2026 growth at 7.2%, an upward revision of 0.9 percentage points.
  • Government estimates India’s GDP growth at 7.4% for FY 2025-26, up from 6.5% last FY.
  • IMF projects global growth at 3.3% for 2026 and 3.2% for 2027.
  • IMF forecasts US growth at 2.4% in 2026, Euro area at 1.3% in 2026 and 1.4% in 2027, China at 4.5% in 2026 and 4.0% in 2027.
  • Global headline inflation seen easing to 3.8% in 2026 and 3.4% in 2027 from 4.1% in 2025.