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Fitch raises India’s GDP growth forecast for FY25 to 7.2 pc

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New Delhi, June 18: Global rating agency Fitch on Tuesday raised India’s GDP growth forecast for FY25 to 7.2 per cent, from 7 per cent.

The rating agency said in its report that recovery in consumer spending and increasing investment trends are the main factors for this update.

Fitch said in its global outlook report, “We expect the Indian economy to grow by a strong 7.2 per cent in FY25.”

The estimate released by Fitch states that the Indian economy may grow at 6.5 per cent and 6.2 per cent in FY26 and FY27 respectively.

The rating agency said in its outlook, “Investments will continue to rise but it will be slow in comparison to recent quarters while consumer spending will recover with elevated consumer confidence.”

The rating agency says that the retail inflation rate may come down to 4.5 per cent at the end of this year. It is estimated to be 4.3 per cent in 2025 and 2026.

Earlier, the World Bank raised India’s GDP growth forecast to 6.6 per cent from 6.4 per cent.

–IANS

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