India's Economic Forecast: Growth Amid Global Turbulence

India Ratings & Research projects a 6.9% GDP growth for India in the 2026-27 fiscal year, supported by key reforms and trade deals. The Indian Rupee is expected to average 92.26 to a dollar, and government debt as a percentage of GDP will decrease. The Union Budget 2026-27 will include key announcements.

India Ratings & Research (Ind-Ra) has forecasted India's GDP to grow by 6.9% in the fiscal year 2026-27, starting April 1. Chief Economist Devendra Kumar Pant highlighted that reforms like GST, income tax cuts, and trade agreements would shield the economy from global unrest.

The Indo-US trade deal with reduced tariffs is expected to boost GDP growth. Ind-Ra predicts the Indian Rupee to average 92.26 against the dollar in FY27, and the government's debt-to-GDP ratio to fall to 55.5%.

The Union Budget 2026-27, announced on February 1, is anticipated to feature customs duty rationalization and allocations under the Viksit Bharat-G RAM G Act. The 16th Finance Commission report, suggesting tax devolution between the Centre and states, will also be published.

(With inputs from agencies.)