Moody’s Ratings slashed India’s FY2027 growth forecast to 6% from 6.8% earlier, citing weaker private consumption amid higher energy prices due to the ongoing Middle East conflict. The forecast is lower than the RBI’s projection of 6.9%, with first-quarter growth estimated at 6.8% in figures announced on April 8, amid concerns over oil prices and supply chain disruptions. Rising energy prices are expected to widen India’s trade deficit, as the country depends on imported fuel, according to Moody’s report released on Tuesday. Meanwhile, disruptions in Gulf Cooperation Council economies could hurt remittance inflows from overseas Indian workers, adding pressure on the current account deficit.
Today Markets
