S&P raises India’s FY27 GDP growth forecast to 7pc, sees 25 bps RBI rate hike

NEW DELHI: (Sep 23) S&P Global Ratings on Wednesday raised India’s GDP growth projections for the current fiscal to 7 per cent, citing robust economic activity and forecasting that the RBI could hike interest rates by 25 basis points in FY27.

In its Economic Activity for Asia Pacific report, S&P estimates consumer inflation to average 5.1 per cent in FY27.

The Indian economy grew higher than expected at 7.8 per cent in the June quarter. S&P said factors like robust industrial activity, healthy consumption, strong goods exports, and accelerating government investment have driven the growth.