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Stronger growth outlook emerges as inflation trends remain supportive
India’s FY26 growth outlook improved to 7.4% as inflation moderated, potentially giving policymakers room to support growth if global risks intensify.
India’s economic outlook for FY26 has improved, with GDP growth projected at 7.4%, up from an earlier estimate of 6.5%, supported by domestic demand and easing price pressures. Consumer price inflation remained moderate in November, aided by a sharp decline in food prices. Nominal GDP growth is estimated at around 8%.