New Delhi, Oct. 14 -- The International Monetary Fund (IMF) has raised India's economic growth forecast for the current fiscal year by 60 basis points to 7%, citing stronger-than-expected economic momentum, resilient domestic demand and robust services activity. The upgrade comes even as geopolitical tensions and elevated energy prices pose risks to the global economy. In its latest World Economic Outlook (WEO), released on Tuesday during the Fund's annual meetings in Bangkok, the IMF raised its projection for India's gross domestic product (GDP) growth in 2026-27 (FY27) to 7% from 6.4% estimated in July. It also raised its FY28 forecast to 7% from 6.7%, signalling expectations of sustained economic momentum. The revision reverses the IMF's July downgrade, when it cut its FY27 projection by 10 basis points to 6.4% from 6.5% in April, citing higher energy prices and their potential pass-through to domestic fuel prices. Stronger-than-expected economic activity and consumption have since helped offset concerns over the West Asia war, crude oil prices and global uncertainty. Other institutions have also turned more optimistic. The Reserve Bank of India (RBI) earlier this month raised its FY27 real GDP growth forecast to 7.1% from 6.7% in August and 6.6% in June. The World Bank last week raised its forecast by 50 basis points to 7.1%, while cautioning that growth could moderate in the second half of the fiscal year. The Paris-based Organisation for Economic Cooperation and Development (OECD) raised its projection by 80 basis points to 7.1% last month. The Asian Development Bank, S&P Global Ratings and Fitch Ratings have also raised their growth expectations to around 7%, citing robust June-quarter activity and resilient domestic demand. The latest projections suggest broad agreement among major institutions that India will remain among the fastest-growing large economies, although the pace of expansion will depend on the durability of domestic demand and the extent to which external shocks affect prices, investment and trade. The IMF marginally raised its global growth forecast for 2026 to 3.1% from 3% in July, while retaining its 2027 projection at 3.4%. Investment in artificial intelligence and technology-related activity is supporting some economies, but energy-importing countries face pressure from higher fuel costs. The Fund warned that a prolonged West Asia war, renewed inflationary pressures and financial market repricing could weaken growth. For India, higher oil prices could push up inflation and transportation and production costs, strain the current account, reduce household purchasing power and complicate monetary policy decisions....