Whereas infrastructure funding and home demand proceed to drive India's progress, the non-public sector stays cautious about capital spending, the scores company stated in its World Macro Outlook 2026-27.
“We count on Brazil and India-the fastest-growing G-20 economy-will develop at 2.0% and 6.5%, respectively, via 2027, supported by home and export diversification,” it added.
The company stored India's gross home product (GDP) progress unchanged at 7% for 2025 and projected 6.4% for 2026 and 6.5% for 2027.
The economic system expanded 7.8% within the April-June interval and 6.5% in FY25.
Globally, Moody's Scores forecast financial progress to vary between 2.5% and a couple of.6% in 2026 and 2027, in contrast with 2.6% in 2025 and a couple of.9% in 2024. “World progress will doubtless stay regular however subdued with superior economies rising modestly and rising markets largely sustaining stronger momentum,” it stated.
Moody's Scores pegs nation's 2026 GDP outlook at 6.4% whereas world economic system is predicted to develop 2.5-2.6%
Amongst main economies, the US is forecast to develop 1.8% in 2026 and 1.9% in 2027, whereas China's GDP will develop by 4.5% and 4.2% over the identical interval.The US imposed a 50% tariff on Indian items, which features a 25% penalty for importing Russian oil.
Regardless of the headwinds, Indian exporters have succeeded in redirecting exports, with shipments rising 6.8% in September, whereas they fell 11.9% to the US, the report famous.
It additionally highlighted the rising momentum in commerce partnerships outdoors US-China. India and the UK have finalised a commerce settlement and the nation is in talks with the EU.
Inflation in India is predicted to common round 3.5% in 2026 and 4% in 2027. It averaged at 2.5% between January and October this 12 months.
