Ind-Ra Raises India’s FY27 GDP Growth Forecast to 6.8%
Why in the news
A domestic rating agency nudged up its growth estimate for the coming fiscal, citing a softer oil price outlook, while flagging several downside risks.
Key facts
- Agency: India Ratings and Research (Ind-Ra).
- Real GDP growth, FY27: revised to 6.8% from 6.7%.
- Main reason: expected lower crude oil prices.
- Nominal GDP growth: 10.4%.
| Indicator (FY27) | Ind-Ra projection |
|---|---|
| Real GDP growth | 6.8% (earlier 6.7%) |
| Nominal GDP growth | 10.4% |
| CPI inflation | 4.9% |
| WPI inflation | 8.5% |
Inflation outlook
- CPI inflation: 4.9%.
- WPI inflation: 8.5%.
Risks
- Geopolitical tensions.
- High inflation.
- Rupee depreciation.
- Weaker government capital expenditure.
Exam angle
- Agency and numbers: Ind-Ra; 6.8% real growth, 10.4% nominal growth.
- Inflation figures: CPI 4.9%, WPI 8.5%.
- Reason for upgrade: lower crude oil price expectations.