Synopsis
India is projected to maintain a growth rate of 6.7% over the next two years, outpacing global competitors. The World Bank and IMF reports highlight India's resilience and economic stability, driven by strong services and manufacturing sectors.Key Takeaways
- India's economy projected to grow at 6.7%.
- Outpacing global growth rates significantly.
- Strong services and manufacturing sectors driving growth.
- Government initiatives support economic stability.
- Private consumption expected to rise.
New Delhi, Jan 18 (NationPress) As the fastest-growing large economy, with consistent growth anticipated at 6.7 percent over the upcoming two fiscal years, India continues to outstrip its global counterparts and solidify its role as a leader in economic resilience and advancement, the government announced on Saturday.
The January 2025 edition of the World Bank’s Global Economic Prospects (GEP) report forecasts India’s economy to expand at a steady rate of 6.7 percent in both FY26 and FY27, significantly surpassing global and regional competitors.
Amidst a backdrop of global growth projected at 2.7 percent for 2025-26, this impressive performance highlights India’s resilience and its increasing role in shaping the world’s economic landscape, stated the Ministry of Information and Broadcasting.
The GEP report attributes this remarkable momentum to a flourishing services sector and a rejuvenated manufacturing base, propelled by transformative government initiatives.
From upgrading infrastructure to simplifying taxation, these strategies are promoting domestic growth and positioning India as a pillar of global economic stability.
“With its nearest competitor, China, slowing to 4 percent growth next year, India’s ascent is more than mere numbers. It represents a compelling narrative of ambition, innovation, and unparalleled potential,” highlighted the ministry.
In addition to the World Bank report, the most recent update from the International Monetary Fund’s (IMF) World Economic Outlook (WEO) further reinforces India’s robust economic path.
The IMF predicts that India’s growth will remain strong at 6.5 percent for both 2025 and 2026, consistent with earlier projections from October.
This persistent growth outlook reflects India’s solid economic fundamentals and its capacity to sustain momentum despite global uncertainties.
“The ongoing strength of India’s economic performance, as indicated by both the World Bank and IMF, emphasizes the country’s resilience and showcases the consistent strength of its economic fundamentals, making India a vital player in the global economic arena,” the government stressed.
Growth in India’s services sector is projected to remain strong, while manufacturing activity is expected to enhance, supported by government initiatives aimed at improving logistics infrastructure and refining tax systems.
Private consumption in India is likely to accelerate, driven by a robust labor market, greater access to credit, and declining inflation.
