India's Economic Growth Projections

India is projected to maintain a stable growth rate of 6.4% in fiscal years 2025 and 2026, driven by reform momentum, robust consumption growth, and increased public investment, according to the International Monetary Fund (IMF).

Growth Projections

• 6.4% growth for 2025 and 2026 (Fiscal Year basis).
• Calendar year projections: 6.7% for 2025 and 6.4% for 2026.
• 2024 growth rate recorded at 6.5%.

Factors Driving Growth

• Reform momentum: Key to maintaining stable growth.
• Robust consumption growth: Significant contributor.
• Public investment push: Aimed at infrastructure and market flexibility.

Future Priorities

• Fostering job creation and reskilling labor from the agricultural sector.
• Investing in infrastructure and removing trade restrictions.
• Medium-term goals include: 
  1. Investing in education.
  2. Implementing land reform.
  3. Expanding social safety nets.
  4. Reducing bureaucratic red tape.

Global Economic Outlook

The global economy is projected to grow at 3.0% in 2025 and 3.1% in 2026, reflecting improved financial conditions and fiscal expansion in major jurisdictions.