April 09, New Delhi – The World Bank has revised India's growth forecast from 6.3 percent to 6.6 percent for the current fiscal year, citing strong domestic demand and free trade agreements.
In its latest report, the World Bank expects India to remain the primary engine of growth in South Asia.
The report also noted that, although the reduction in GST rates should continue to support consumer demand in the first half of FY27, rising global energy prices are expected to put upward pressure on prices and constrain household income.
The World Bank Group, in its twice-yearly regional outlook report, stated that the growth outlook is primarily driven by India's performance, underpinned by robust domestic demand, as well as tariff cuts and recent trade agreements.