Usman Salis
● Global financial institutions have reaffirmed India's position as the fastest-growing major economy, even as the world faces economic headwinds. The Reserve Bank of India recently bumped up its FY 2025–26 GDP growth forecast to 6.8%, up from 6.5%, citing stronger domestic demand, steady investment, and better manufacturing performance.
● India's growth story is built on ongoing reforms and solid macroeconomic management. Still, risks remain—volatile commodity prices, geopolitical tensions, and weaker export demand could throw a wrench in the works. That said, India's diversified economy and heavy infrastructure spending offer a solid buffer against global shocks.
● The RBI's upward revision has boosted confidence among investors and policymakers. The IMF's October 2025 outlook pegged India's growth at 6.6%, while Fitch Ratings went even higher at 6.9%. These numbers suggest that India's domestic policies and structural reforms are delivering real results—keeping fiscal stability intact and ramping up capital formation.
● The UN expects India to grow by 6.3%, meaning all major international bodies are on the same page about India's momentum. The government's push on industrial policy, digitalization, and green transition is driving long-term productivity and job creation. With inflation cooling and credit conditions improving, India's economic fundamentals look strong for sustained growth.
Usman Salis
