Current Affairs - Economy - Discussion

Fitch Ratings has raised India’s GDP growth forecast for FY27 to 6.9%, from its earlier projection of 6.4%. The upward revision was driven by stronger-than-expected economic activity, including India’s 7.8% GDP growth in the June quarter. Fitch also expects private investment to improve, with investment growth projected to exceed 10%. However, it has cautioned that economic momentum could slow during the remaining part of FY27 due to weaker manufacturing and services growth, below-normal monsoon rainfall, and higher inflation. Other agencies, including S&P Global Ratings and Moody’s, had projected 7% growth for India in FY27.