S&P Global Ratings forecasts 6.5-7% GDP growth for India through FY 2026-2027.

Economy Business

According to S&P Global Ratings' Global Bank Outlook Report, India's Gross Domestic Product (GDP) is projected to grow between 6.5% to 7% annually in the next 3 Fiscal Years (FY), up to FY 2026-2027 (FY27).


      - If the forecasted annual growth of 6.7% materializes, India is set to become the 3rd-largest economy and transition to the upper-middle-income category by fiscal 2030-31.

     

     

Main Points:-   (i) The report highlighted that structural improvements and positive economic prospects will bolster the resilience of India's financial institutions.

      (ii) Higher demand, along with stronger bank capitalization, is expected to drive bank loan growth, while the Reserve Bank of India (RBI)'s regulatory actions will strengthen the financial system in the medium term.


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