India's Economic Prospects for FY 2026-27 Remain Positive

India's economic outlook for FY 2026-27 remains optimistic as the nation is projected to experience substantial GDP growth. Real GDP is expected to grow by 7.4% in FY 2025-26, with a further increase to a 10% nominal GDP growth estimated for the FY 2026-27 budget. The service sector is highlighted as the primary driver of this growth, complemented by strong domestic demand and robust private-sector investment. Fiscal measures are set with a targeted fiscal deficit and continued capital expenditure focus, supporting ongoing economic resilience and expansion.

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