India's GDP Growth Forecast at 6.5% with Inflation Projection Revised Down to 3.2%

S&P Global Ratings reaffirmed India’s FY26 GDP growth forecast at 6.5%, citing resilient domestic demand, ongoing tax reforms, and higher government capital expenditure as primary growth drivers. A normal monsoon is expected to further boost rural consumption and agriculture output. The agency also lowered inflation estimates to 3.2% following a sharper-than-expected fall in food prices, reinforcing confidence in India’s macroeconomic stability and the potential for sustained medium-term growth momentum.