India’s economy forecast at 6.6% for 2025-26 despite US tariffs

The International Monetary Fund (IMF) projects India’s economy to grow by approximately 6.6% in the 2025-26 fiscal year, outpacing China’s expected growth of around 4.8%. The forecast comes even as Indian exports face headwinds from U.S. tariffs and global uncertainty. Domestic demand, strong investment and resilient services are cited as key growth drivers. Analysts emphasise monitoring inflation, commodity prices and export momentum for sustainability of this growth path.