What is the IMF's latest GDP growth forecast for India in FY26?

The IMF has revised India's GDP growth forecast for FY26 upward to 7.3%.

How does the IMF see inflation evolving in India?

The IMF expects India's inflation to return to near-target levels, mainly due to subdued food prices.

What are the global economic concerns mentioned by the IMF?

The IMF highlighted concerns about disruptions to global trade and the potential impact of escalating tariffs.

Home / Business and Economy / IMF Boosts India Growth to 7.3% Amid Global Headwinds

IMF Boosts India Growth to 7.3% Amid Global Headwinds

19 Jan

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Summary

IMF revises India's FY26 GDP growth forecast up to 7.3%
Subdued food prices expected to bring inflation near target
Global trade disruptions pose risks despite India's resilience

IMF Boosts India Growth to 7.3% Amid Global Headwinds

The International Monetary Fund (IMF) has raised India's GDP growth forecast for FY26 to 7.3%, a notable upward revision attributed to stronger-than-anticipated performance in the third quarter and sustained momentum. This projection indicates a robust expansion for India's economy in the upcoming fiscal year.

Inflationary pressures in India are anticipated to recede, with the IMF expecting it to return to near-target levels. This favorable outlook is primarily driven by the forecast of subdued food prices, which will play a crucial role in stabilizing overall inflation.

Despite projecting a resilient global economic outlook, the IMF acknowledges that escalating trade disruptions and tariffs could significantly impact the global economy. However, India is currently navigating these challenges, with its strong growth trajectory underscoring its position as a key global economic engine.