Business

IMF forecasts India’s growth at 7% in 2026 and 2027 as global resilience weakens

Global growth projected at 3.1% this year, with higher energy and food prices driving inflation.

NEW DELHI: The International Monetary Fund projects India’s economy will grow 7% in both 2026 and 2027, according to a report by news agency ANI, as the fund warns that global economic resilience is becoming increasingly fragile and uneven.

The World Economic Outlook projections shared by ANI put India’s growth below the 7.8% recorded for 2025, but above China’s projected expansion of 4.5% in 2026 and 4% in 2027.

Global growth is forecast to slow to 3.1% in 2026 from 3.5% in 2025, before recovering to 3.4% in 2027.

The global economy remains resilient, but that resilience is becoming more fragile and uneven, the IMF said, according to ANI. Inflation is expected to reach 4.7%, driven largely by higher energy and food prices.

Emerging market and developing economies are projected to expand 3.7% in 2026 and 4.4% in 2027. Advanced economies are forecast to grow 2.1% and 1.8%, respectively.

The projections put U.S. growth at 2.3% in both years, while the euro area is expected to expand 1.1% in 2026 and 1.2% in 2027.

The IMF predicts India’s economy will grow at 7% in 2026 and 2027, highlighting its resilience amid slowing global growth and uneven recovery. India’s growth surpasses China’s projections but falls below its 2025 rate of 7.8%.

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