Mumbai: Rating agency Fitch, retaining its estimate of India’s economic growth rate (GDP) for FY 2026 at 6.50 percent, said that the US tariff war will not have a significant impact on India due to low dependence on external demand. Fitch has estimated that in FY 2027, India’s economic growth rate will be 6.30 percent above six percent.
According to Fitch’s report, an estimate of 6.50 percent for FY 2026 has been maintained, while the estimate for FY 2027 has been increased from 6.20 percent to 6.30 percent.
The Reserve Bank has kept the GDP estimate of 6.70 percent for the next financial year. Not only is consumer and business confidence in India strong, but the expansion of infrastructure is also promoting investment. The report states that capacity utilization remains high and exports are also being seen.
6.40 percent has been expected for the current financial year. Fitch has hoped for cuts in interest rates, as inflation in India is reaching the Reserve Bank’s four percent target.
