Moody’s sees India powering ahead at 6.5% through 2027

Robust internal demand, export diversification amid punitive US tariffs, and sustained infrastructure investment will help India retain its fastest-growing major economy tag for the next couple of years.

- Rhik Kundu

Moody's says govt-led capex to power the economy.

(BLOOMBERG)

India's economy will likely expand at a steady 6.5% pace through 2027, up from a projected 6.4% in 2026, and 7% in 2025, Moody's Ratings said in its Global Macro Outlook 2026-27 on Thursday.

The rating agency said government-led capital expenditure and resilient household consumption will continue to power the country’s economy, even as private investment stays cautious.