Crisil FY26 Growth Forecast: India to Expand 6.5%
Why in the news
Crisil pegged FY26 growth at 6.5%, saying home demand would offset global uncertainty such as geopolitical tension and US-led trade actions.
Key facts
- Assumptions: normal monsoon, stable commodity prices, cooling food inflation, budget tax relief and cheaper borrowing.
- Short-term growth rests on urban and rural consumption; medium-term on investment and efficiency.
- Services remain the main driver, at a slower pace.
| Area | Outlook |
|---|---|
| Manufacturing growth | 9% average, FY25-FY31 (6% pre-pandemic) |
| Manufacturing share of GDP | 20% by FY31 |
Resilience
- “Safe harbours”: healthy growth, low current account deficit, low external public debt and adequate forex reserves.
- Lower food inflation should pull headline inflation down.
Exam angle
- Report by Crisil; FY26 growth 6.5%.