India's Economic Resilience: Navigating Global Uncertainty

India's economy is expected to thrive in FY27 due to robust domestic fundamentals and policy momentum, against a backdrop of global tension and economic fragility. The Economic Survey 2025-26 suggests strategic reforms have uplifted growth prospects, highlighting India's macroeconomic stability and potential to achieve a 7% growth rate.

India's economic forecast for FY27 remains optimistic, supported by strong domestic fundamentals, stable inflation, and consistent policy advances, even as the international scene grows more volatile. The Economic Survey 2025-26 points to an upward revision of India's potential growth rate to 7% from 6.5%, citing structural reforms and enhanced supply-side conditions as key contributors.

Despite global headwinds marked by geopolitical conflicts and trade flux, India stands to maintain its growth trajectory well into FY27. The Survey underscores India's comparative advantage over other major economies, crediting its large domestic market and macroeconomic stability as buffers against external shocks.

Going forward, the Survey outlines various global scenarios facing 2026, from managed disorder to potential systemic disruptions. It stresses the resilience of India's economic frameworks, highlighting strengths in banking sectors, liquidity conditions, and foreign exchange reserves, despite geopolitical pressures that might disrupt capital flows.

(With inputs from agencies.)