New Delhi: Global rating agencies Fitch Ratings and S&P Global Ratings have revised upwards their economic growth projections for India for the financial year 2026-27, citing stronger economic activity, resilient domestic demand and improved industrial performance.

Fitch Ratings raised India’s GDP growth forecast to 6.9 per cent from its earlier estimate of 6.4 per cent. The agency attributed the revision to better-than-expected economic activity during the June quarter and continued strength in domestic consumption.

S&P Global Ratings also upgraded its FY27 growth projection for India to 7 per cent from 6.6 per cent, citing industrial expansion, consumption trends, goods exports and government investment.

The rating agencies’ projections come amid expectations of steady economic momentum despite global uncertainties. S&P expects consumer inflation to average around 5.1 per cent during FY27.

Fitch has indicated that the Reserve Bank of India may increase the policy rate by 25 basis points to 5.5 per cent in its October review, citing demand conditions, inflation trends and supply-side pressures.

S&P has also projected a possible 25-basis-point rate hike during the financial year.

Economic analysts said the revised forecasts reflect confidence in India’s growth prospects, supported by domestic consumption, infrastructure spending and industrial activity. However, global factors such as commodity prices, geopolitical developments and international trade conditions will continue to influence economic performance.

The upgraded projections place India among the faster-growing major economies, with international agencies closely monitoring reforms and policy measures supporting long-term growth.