Economy

S&P raises India's FY27 growth forecast to 7% from 6.6%

S&P Global Ratings raised India's growth forecast for FY27 to 7%, up from its earlier 6.6% estimate. The agency attributed the upgrade to robust industrial activity, healthy consumption, strong goods exports and accelerating government investment, which pushed June-quarter growth above expectations. S&P also indicated the Reserve Bank of India may deliver a rate hike, aligning with other agencies' recent upward revisions to India's growth outlook.

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Sovereign rating agency's growth revision; examiners ask the exact figure and the agency behind it.

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Key facts

  • S&P Global Ratings raised India's FY27 growth forecast to 7% (from 6.6%).
  • Drivers: robust industry, healthy consumption, strong goods exports, rising govt investment.
  • June-quarter growth came above earlier expectations.
  • S&P expects a possible RBI rate hike.

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