Eco Survey projects resilient growth, low inflation amid rising global risks

ECONOMY PROJECTED TO GROW 6.8%-7.2% IN FY27

- OUR CORRESPONDENT

India’s economy is expected to expand by between 6.8 per cent and 7.2 per cent in the financial year beginning April, according to the Economic Survey 2025-26 tabled in Parliament on Thursday, underscoring the country’s position as the world’s fastest growing major economy even as global trade tensions, geopolitical uncertainty and financial volatility cloud the outlook.

The projection for 2026-27 marks a moderation from the estimated 7.4 per cent growth in the current fiscal year, driven largely by consumption and investment. Still, the survey said a series of structural reforms over recent years have lifted India’s medium-term growth potential closer to 7 per cent, compared with an estimated 6.5 per cent three years ago, reflecting efficiency gains and improved economic resilience. “The outlook, therefore, is one of steady growth amid global uncertainty, requiring caution, but not pessimism,” the report said.

As per National Statistics Office estimates, India’s economy grew 7.4 per cent in the ongoing fiscal, making it the fastest growing major economy for the fourth consecutive year. The survey's growth estimate for the year ahead is higher than the 6.3-6.8 per cent range projected a year earlier, even as it factors in risks arising from heightened trade friction with the United States.