The International Monetary Fund (IMF) on Tuesday upgraded its fiscal year 2025–26 (FY 2026) economic growth forecasts for India, citing a more favourable global economic situation. The IMF revised its growth forecast for India to 6.4% for FY 2026, up 20 bps from the 6.2% it had projected in April.
The agency also revised its forecast for FY 2027 by 10 bps to 6.4%. In its World Economic Outlook report, the IMF said that India’s growth outlook reflects a more benign external environment than assumed in the April reference forecast. It maintained its FY 2025 growth estimate at 6.5%, underscoring the economy’s strength despite global headwinds. Separately, on Monday, the Finance Ministry’s Monthly Economic Review for June mentioned that the economy has the look and feel of “steady as she goes” as far as FY26 is concerned, as The Economic Times reported. Meanwhile, the RBI’s Survey of Professional Forecasters projected GDP growth rates for FY 2026 in the range of 6.2% to 6.5%.
