April 10, New Delhi: The Asian Development Bank projected on Friday that India's GDP growth would remain "robust" at 6.9% in the current fiscal year, and rise to 7.3% in the next fiscal year, driven by strong domestic demand and supported by easing financing conditions and lower US tariffs on Indian goods.
In its Asian Development Outlook report, the ADB said that a prolonged conflict in West Asia could undermine India's macroeconomic performance through multiple channels.
These include higher energy prices, disruptions to trade flows, and weaker remittance inflows given the region's continued importance for India's external sector.
The Indian economy grew by 7.6% in the previous fiscal year, faster than the 7.1% recorded in FY2024-25, supported by resilient household consumption due to cuts in income tax, GST, and falling food prices, besides steady public investment.
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