FM Sitharaman tables Economic Survey 2025-26; FY27 GDP growth projected at 6.8-7.2% on the back of reforms, stability
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.jpg?w=640&auto=format,compress&q=80 "FM Sitharaman tables Economic Survey 2025-26; FY27 GDP growth projected at 6.8-7.2% on the back of reforms, stability")
The Economic Survey 2025-26, tabled by finance minister Nirmala Sitharaman Thursday, projected a GDP growth between 6.8% and 7.2% for 2026-27, on the back of reforms and strong macro-economic fundamentals.
"Domestic economy remains on a stable footing. Inflation has moderated to historically low levels, although some firming is expected to occur going forward. Balance sheets across households, firms and banks are healthier, and public investment continues to support activity. Consumption demand remains resilient, and private investment intentions are improving," the Economic Survey said.
"These conditions provide resilience against external shocks and support the continuation of growth momentum. The forthcoming rebasing of the CPI series in the coming year will also have implications for inflation assessment and warrant careful interpretation of price dynamics," it added.
"Importantly, the cumulative impact of policy reforms over recent years appears to have lifted the economy’s medium-term growth potential closer to 7%. With domestic drivers playing a dominant role and macroeconomic stability well anchored, the balance of risks around growth remains broadly even. Taking these considerations together, the Economic Survey projects real GDP growth in FY27 in the range of 6.8 to 7.2%. The outlook, therefore, is one of steady growth amid global uncertainty, requiring caution, but not pessimism," it added.
Notably, several agencies projected the FY27 GDP growth in the range of around 7% earlier this month.
India Ratings and Research (Ind-Ra) earlier projected GDP growth at 6.9% YoY in FY27 on the back of domestic reforms, including the income tax cut in the FY26 budget, GST rationalisation, and three foreign trade agreements (Oman, the U.K., and New Zealand). For the next financial year, Crisil has pegged the GDP growth at 6.7%.
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The agency said the reforms undertaken by the government will help the economy withstand global uncertainties caused mainly by the US tariffs. The agency had cautioned that the El Niño pattern from mid-2026, a weak currency, and sluggish global trade growth, along with the high base of FY26, may continue to pose downside risks to the economy.
CareEdge has projected real GDP growth at 7% for 2026-27, with nominal GDP growth estimated at 10.1%. The agency believes India's macroeconomic outlook remains constructive heading into 2026-27.