S&P Lowers India's FY26 Growth Forecast to 6.5%

Says services-led exports to US to remain resilient

- SHIVA RAJORA

S&P Global on Tuesday revised downwards its India growth forecast for 2025-26 by 20 basis points (bps) to 6.5 per cent while maintaining that the country's services-led exports to the US will remain resilient despite impending reciprocal tariffs.

"India's gross domestic product (GDP) will grow 6.5 per cent in the financial year ending March 31, 2026, we expect. Our forecast is the same as the outcome for the previous financial year but lower than our earlier estimate of 6.7 per cent," the global credit rating agency said in its latest quarterly economic update for APAC.