New Delhi: Expressing confidence in the country’s economic outlook, the Reserve Bank of India (RBI) has raised its real GDP growth projection for FY27 to 6.7 per cent, up from its earlier estimate of 6.6 per cent. The revised forecast reflects the resilience of the Indian economy, which continues to outperform many of its global peers despite an uncertain international environment.
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Announcing the Monetary Policy Committee’s (MPC) decision, RBI Governor Sanjay Malhotra said the economy remains on a steady growth path, supported by strong domestic demand, expanding manufacturing and services activity, and healthy export performance.
According to the RBI’s latest estimates, the economy is expected to grow by 7.0 per cent in the first quarter, 6.4 per cent in the second quarter, 6.5 per cent in the third quarter, and 6.8 per cent in the fourth quarter of FY27, indicating sustained momentum throughout the year.
The Governor acknowledged that global risks continue to persist, particularly due to geopolitical tensions in West Asia, volatility in energy prices, evolving global trade policies, and weather-related uncertainties such as the Southwest monsoon and El Niño. However, he noted that India’s economic fundamentals remain strong enough to support stable growth.
On inflation, the RBI expects prices to edge higher in the near term because of food and fuel-related supply pressures. At the same time, core inflation has remained under control and is projected to moderate as the financial year progresses. The central bank said it will continue to assess incoming data before making any future changes to monetary policy.
The RBI also pointed to encouraging high-frequency economic indicators and healthy first-quarter corporate earnings, particularly in the manufacturing sector, as signs that economic activity remains robust. With consumer demand holding firm, industries expanding, and exports remaining resilient, the central bank believes India is well placed to maintain its position as one of the world’s fastest-growing major economies.