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Morgan Stanley Lifts FY27 India GDP Growth Forecast to 6.7%

18 May 20261 min read
ECONOMYMorgan StanleyLifts FY27 IndiaGDP GrowthForecast to 6.7%18 May 2026safalsetu.com

Why in the news

Global brokerage Morgan Stanley upgraded its growth outlook for India. It also gave a view on FY28, inflation and the world economy.

Key facts

  • FY27 GDP growth: revised up to 6.7% from 6.2%.
  • FY28 GDP growth: projected at 7%.
  • Inflation: estimated at 4.7%, attributed to higher production costs and a weaker rupee.
  • Global growth in 2026: expected to moderate to 3.2%.
ProjectionValue
India FY27 GDP growth (earlier)6.2%
India FY27 GDP growth (revised)6.7%
India FY28 GDP growth7%
Inflation estimate4.7%
World growth, 20263.2%

Exam angle

  • Likely question: the revised FY27 number and the earlier estimate it replaced.
  • Number tags: 6.7% (from 6.2%); 7%; 4.7%; 3.2%.
  • Cause tags for inflation: production costs, rupee weakness.

Test yourself

1. Morgan Stanley's revised India GDP growth forecast for FY27 is what?

The forecast was raised to 6.7% from 6.2%.

2. What FY28 GDP growth did Morgan Stanley project for India?

The report projected FY28 growth at 7%.

3. What global growth rate did Morgan Stanley project for 2026?

Global growth is expected to moderate to 3.2% in 2026.