RBI Projects India’s GDP Growth at 6.7% for 2026-27

The Reserve Bank of India (RBI) has projected India’s real gross domestic product (GDP) growth at 6.7% for the current financial year, maintaining a positive outlook on the country’s economic performance despite persistent global uncertainties. The central bank’s latest assessment points to resilient domestic demand and steady economic activity as key factors supporting growth. The projection comes amid concerns over geopolitical tensions, disruptions to global trade and uncertainty in international markets.

The RBI has also kept the repo rate unchanged at 5.25%, while retaining its neutral policy stance. The decision indicates that the central bank is continuing to balance economic growth with the need to maintain price stability.

The RBI’s assessment also offered some relief on the inflation front. The central bank lowered its consumer price inflation forecast to 5% from its earlier estimate of 5.1%, suggesting that price pressures could remain relatively contained.

However, policymakers continue to monitor several external risks that could affect India’s economic outlook. The ongoing conflict in West Asia, possible disruptions to major trade routes and volatility in the global economy remain important concerns.

Any prolonged disruption to international shipping and supply chains could increase transportation and input costs, potentially affecting domestic prices and economic activity. Global uncertainty could also influence trade and investment flows. Despite these challenges, the RBI remains relatively confident about the strength of India’s domestic economy. Robust demand and continued economic activity are expected to provide support to growth during the financial year.