Recent Current Affairs related to GDP

According to a report by the Asian Development Bank (ADB), the GDP growth forecast of India for FY27 is revised to 7% from the earlier estimate of 6.6% in July.

The RBI has released the June 2026 edition of the biannual “Financial Stability Report” (FSR), which presents an assessment by the Sub-Committee of the Financial Stability and Development Council (FSDC) on risks to the financial system of India.

According to the report, the economy of India grew at 7.7% in FY26. The Monetary Policy Committee (MPC) has revised the inflation projection for the 2026-27 period to 5.1%. The foreign exchange reserves of India were recorded at $672.6 billion as of June 19, 2026.

According to the “National Accounts Statistics (NAS) - 2026” publication released by the Ministry of Statistics and Programme Implementation (MoSPI), FY23 has been adopted as the base year for national account estimates.

The publication consists of 60 statements derived from the updated Final estimates for FY23 and FY24, and the First Revised Estimate for FY25. The revised estimates incorporate new series for the Producer Price Index (PPI), Index of Industrial Production (IIP), and Banking Services Price Index (BkSPI), all of which use the 2022-23 base year.

According to the Quarterly Estimates of the Gross Domestic Product (GDP) released by the National Statistical Office (NSO), the Real GDP of India grew by 7.8% in Q1 FY27 (April-June 2026), compared to 6.9% in Q1 FY26.

This is the first release to use the revised base year of 2022-23 for the National Accounts Statistics (NAS). The GDP at Constant Prices (2022-23) for Q1 FY27 is estimated at ₹81.36 lakh crore, while it stood at ₹75.46 lakh crore in Q1 FY26. The GDP at Current Prices is estimated at ₹88.27 lakh crore (against ₹80 lakh crore in Q1 FY26), reflecting a growth rate of 10.3%.

According to a report by the Japan Credit Rating Agency (JCRA), the Foreign Currency and Local Currency Long-term Issuer Ratings of India were upgraded to “A-” from “BBB+” with a stable outlook. This upgrade comes after a gap of 35 years.

JCRA also upgraded the country ceiling for India to “A”. The report projected the fiscal deficit of the Central Government to decrease from 4.7% in FY25 to 4.4% in FY26.

The Ministry of Statistics and Programme Implementation (MoSPI) has released the trial Index of Services Production (ISP) of India, which provides a monthly measure of short-term activity in the formal services sector for the first time.

The ISP covers 19 sub-sectors and uses 2024-25 as the base year for its calculations. It is to be noted that Real Estate has emerged as the fastest-growing services sub-sector, recording a Year-on-Year growth of 24.7%.

According to a report by ICRA Ltd, the real Gross Domestic Product (GDP) growth of India for Q1 FY27 is estimated at 7%, marking a four-quarter low compared to the 7.8% growth in Q4 FY26.

The agency maintained the real GDP growth forecast for the full FY27 at 6.7%, while the nominal GDP growth is expected to reach 13%.

According to the “Ecowrap” report released by the Economic Research Department (ERD) of the State Bank of India (SBI), the Gross Domestic Product (GDP) growth of India is projected to rebound to 8% in the first quarter (Q1: April to June) of the FY27.

According to a report by India Ratings and Research (Ind-Ra), the real Gross Domestic Product (GDP) growth forecast of India for FY27 is upgraded to 6.8%, from the 6.7% estimated in May 2026.

The Wholesale Price Index (WPI) inflation is projected at 8.5% in FY27 from 0.4% in FY26. The Consumer Price Index (CPI) inflation is estimated to average 4.9% in FY27, with retail inflation expected to peak at 5.9% in Q3FY27 before moderating to 5% in Q4FY27.

According to the 101st Survey of Professional Forecasters (SPF) released by the RBI, the real Gross Domestic Product (GDP) growth of India is projected at 6.6% for FY27 (up from 6.5% estimated in the 100th SPF) and 7.0% for FY28.

The panellists placed the overall real GDP growth forecasts in the range of 6.0-7.2% for FY27 and 6.5-7.8% for FY28. The quarterly real GDP growth is projected at 6.8% (year-on-year) during Q1 FY27, and is expected to remain within the range of 6.4-7.0% over the subsequent four quarters.

The Ministry of Statistics and Programme Implementation (MoSPI) has announced plans to adopt the Producer Price Index (PPI) as a deflator for quarterly and annual GDP estimates, replacing the Wholesale Price Index (WPI) where applicable.

It is to be noted that in June 2026, WPI inflation rose to 9.87% from 9.68% in May 2026, while output PPI inflation increased to 9.57% from 9.38% during the same period.

According to a report by ICRA Ltd, India's real GDP growth for the first quarter (Q1) of FY27 is projected at 6.4-6.6%.

According to the 'World Economic Outlook (WEO) Update - July 2026' report titled 'Global Economy in Crosscurrents of War and Technology' released by the International Monetary Fund (IMF), India's GDP growth is revised to 6.4% for FY27 from the 6.5%.

For FY28, the report has revised India's growth projection to 6.7% from the earlier estimate of 6.5%. The report also noted that India's GDP recorded a growth of 7.7% during FY26.

According to a report by the Asian Development Bank (ADB), India's GDP growth forecast for FY27 has been revised to 6.6% from the earlier 6.9%. The growth projection for FY28 is maintained at 7.3%.

The ADB has also raised the inflation forecast for FY27 to 5.2% from 4.5%, while the projection for FY28 is maintained at 4%.

According to the report titled " India: Improved Macro Outlook after the United States of America (USA)-Iran Deal" released by Goldman Sachs, India's real Gross Domestic Product (GDP) growth forecast for Calendar Year 2026 (CY26) has been raised to 6.8%. The growth forecast for FY27 is increased to 6.5%.

The report also lowered India's retail inflation projection for the current year to 4.4% and reduced the Current Account Deficit (CAD) projection by 20 basis points (bps) to 1.1% of GDP.

According to the "Economic Outlook Asia-Pacific Q3 2026" report released by S&P Global Ratings (S&P), the real Gross Domestic Product (GDP) growth forecast of India for FY27 is revised to 6.6%. The Consumer Price Index (CPI) inflation of India is projected to rise to 5.1%.

According to the “Global Economic Prospects” (GEP) report released by the World Bank (WB) in June 2026, the economic growth projection of India for FY27 has been raised to 6.6%, a 10 basis points (bps) increase from the previous forecast of 6.5%.

The GDP of India is projected to grow by 6.6% in FY27, moderating from an estimated 7.7% in FY26, and is expected to accelerate to 7.2% in FY28.

According to the ‘Second Advance Estimates of Horticulture Crops for 2025-26’ released by the Department of Agriculture & Farmers Welfare (DA&FW), the total horticulture production is projected at 3,777.76 lakh tonnes (LT) across an area of 301.51 lakh hectares (ha). This indicates a 1.90% rise in production and a 0.05% increase in area compared to 2024–25.

Fruit production is estimated at 1,214.75 LT, reflecting an increase of 3.25%. Vegetable production is projected at 2,210 LT (a 1.47% growth) across an area of 118.79 lakh ha, which is an increase of 0.75%. Onion production is estimated to remain stable at 307.37 LT, while the area under cultivation is expected to rise by 2.31% to 20.14 lakh ha.

The Monetary Policy Committee (MPC) of the RBI, chaired by Governor Sanjay Malhotra, held its second bi-monthly meeting for FY27. The committee unanimously voted to maintain the policy repo rate at 5.25% and retained a ‘neutral’ stance.

The RBI has maintained other key policy rates: Standing Deposit Facility (SDF) rate at 5%, Marginal Standing Facility (MSF) rate at 5.5%, Bank Rate at 5.5%, Cash Reserve Ratio (CRR) at 3%, and Statutory Liquidity Ratio (SLR) at 18%. The real GDP growth projection for India for FY27 is revised to 6.6% from 6.9%.

The quarterly real GDP growth is projected at 6.6% for Q1, 6.3% for Q2, 6.5% for Q3, and 6.8% for Q4. The Consumer Price Index (CPI) inflation projection is increased to 5.1% from 4.6%, and core inflation to 4.7% from 4.4%. Additionally, the baseline crude oil price projection is revised to $95 per barrel, up from $85 per barrel.

According to the “OECD Economic Outlook Under Pressure: June 2026” report released by the Organisation for Economic Cooperation and Development (OECD), India’s GDP growth is projected at 7.6% for FY26, 6.3% for FY27 (revised from 6.1%), and 6.4% for FY28. The report also projects India’s inflation to rise from 2.1% in FY26 to 4.8% in FY27.