Current Affairs - Economy - Discussion

The World Bank has revised India’s GDP growth projection upward to 7.2% for FY26, up from an earlier estimate of 6.3% in June 2025. This revision reflects strong domestic demand, robust private consumption, and the positive impact of tax reforms that have improved disposable incomes, particularly in rural areas. Despite global uncertainties, including US tariffs on imports, India is expected to remain the fastest-growing major economy in FY26. The growth moderation to 6.5% is projected only for FY27, making 7.2% the accurate forecast for the current fiscal year.