Fitch Ratings (Fitch) Raises India FY26 GDP Growth Forecast to 7.5%

Key facts

• Fitch Ratings (Fitch) upgraded India’s Gross Domestic Product (GDP) growth forecast for the Financial Year 2025-26 (FY26) to 7.5% from the previous projection of 7.4%.
• The agency revised the India FY27 growth estimate upward to 6.7% from the earlier projection of 6.4%.
• India’s GDP grew by 7.8% in the third quarter of FY26 and 8.4% in the second quarter, while the FY25 growth was recorded at 7.1%.
• Global GDP growth is projected at 2.6% for 2026, assuming oil prices do not exceed $70 per barrel.
• Inflation in India is projected to reach 4.5% by December 2026.
• The Reserve Bank of India (RBI) Monetary Policy Committee (MPC) maintained the policy rate at 5.25% in February, which Fitch expects to remain unchanged through next year.
• Brian Coulton serves as the Chief Economist of Fitch.