New Delhi: Moody’s Ratings on Thursday projected India’s economy to grow at 7 per cent in 2025 and 6.5 per cent in the next year, supported by domestic and export diversification, amid a neutral-to-easy monetary policy stance.
Moody’s, in its Global Macro Outlook, said India’s economic growth is supported by robust infrastructure spending and solid consumption, although the private sector remains cautious about business capital spending.
Moody’s said it expects India – the fastest-growing G-20 economy – will grow at 6.5 per cent through 2027, supported by domestic and export diversification. Real GDP growth for the 2025 calendar year is pegged at 7 per cent, higher than 6.7 per cent in 2024.
India’s economic growth is supported by robust infrastructure spending and solid consumption, although the private sector remains cautious about business capital spending. Indian exporters, facing 50% US tariffs on some products, have succeeded in redirecting exports – its overall exports climbed 6.75% in September even as shipments to the US dropped 11.9%. We expect its economy to continue to grow around 6.5% in 2026 and 2027, supported by a neutral-to-easy monetary policy stance amid low inflation. International capital flows, because of positive international investor sentiment, have buffered external shocks. India’s economy is projected to grow at 7 per cent in 2025, Moody’s Ratings noted.
