RBI raises India’s GDP forecast for FY26

The Reserve Bank of India has revised its FY26 real GDP growth forecast upward to 6.8%, up from the earlier projection of 6.5%, while keeping the repo rate steady at 5.5%. This adjustment reflects strong domestic investment, resilient consumer demand, and a stable external sector supporting economic expansion. India’s Q1 growth reached 7.8%, marking the fastest pace in seven quarters. The RBI’s outlook underscores sustained economic momentum, balanced monetary policy, and continued optimism for India’s growth trajectory.