economy

January 29, 2026

India bets on up to 7.2% growth next year, outpacing most major economies

India's economy is growing faster than most, but it is still seeing capital outflows.

India bets on up to 7.2% growth next year, outpacing most major economies

TL;DR

  • India forecasts economic growth of 6.8% to 7.2% for fiscal year 2027.
  • India is expected to remain the fastest-growing major economy globally.
  • U.S. tariffs on Indian exports have been mitigated by finding alternative markets.
  • Structural reforms and policy measures have accelerated India's growth.
  • The weakening rupee and capital outflow are significant concerns.
  • High global interest rates are deterring foreign investment in India.
  • Improving the ease and speed of doing business is crucial for attracting capital.

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