New Delhi, Oct. 13 -- 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 I...