The Reserve Bank of India raised its real GDP growth projection for FY27 to 7.1 percent from 6.7 percent, Governor Sanjay Malhotra announced on October 7, alongside higher growth estimates for the second and third quarters.
The central bank increased its growth forecast for Q2FY27 to 7.2 percent from 6.4 percent and for Q3FY27 to 6.9 percent from 6.5 percent. It retained the Q4FY27 projection at 6.8 percent.
For Q1FY28, however, the RBI lowered its growth estimate to 7.1 percent from 7.3 percent.
The revised full-year forecast for the financial year ending March 2027 is 0.4 percentage point higher than the earlier estimate. Malhotra said domestic economic momentum was broad-based and the Monetary Policy Committee expected the economy to remain resilient.
Private consumption drove growth in the first quarter, the governor said. Consumption remained broadly resilient, with continued support from discretionary spending.