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IMF raises India’s FY26 growth forecast despite tariff headwinds

India growth outlook raised by IMF amid global trade pressure.
The International Monetary Fund has upgraded India’s growth forecast for fiscal year 2025–26 to 6.6% from 6.4%, citing resilient domestic demand that offset weaker export momentum due to higher U.S. tariffs. The upward revision comes even as global headwinds intensify, with the IMF warning that external demand and trade policies may weaken later. The new outlook reinforces confidence in India’s macro trajectory ahead of upcoming elections.