S&P retains India's GDP growth at 6.5%

S&P Global Ratings on Monday retained the growth forecast for India at 6.5% for FY 25-26.

- FPJ News Service

The spike in the effective US tariff on India is weighing on the expansion of export-oriented manufacturing in the country. But there are signs the US may lower tariffs on Indian products.

"We anticipate that India's GDP will grow by 6.5% in fiscal year 2026 (ending March 2026) and 6.7% in fiscal 2027, with risks evenly balanced. Domestic growth remains robust, driven by strong consumption, despite the impact of US tariffs," S&P said in a statement.