India, Oct. 23 -- India's growth outlook for 2027 remains one of the most attractive among major economies, though corporate profitability prospects are not as rosy as the GDP forecasts suggest. The RBI, World Bank and IMF all see expansion continuing despite inflation, energy prices and interest rates rising. The key investment question is whether domestic demand will be sufficient to generate higher profits after off-setting the impact of costly imports, financing and fickle global consumption patterns.

Domestic Growth Provides a Strong Revenue Base

The World Bank's October 2026 India Development Update forecasts India's GDP to have grown 7.8% in FY26, compared with 7.2% in FY25, and 7.8% in Q1 FY27. Services output rose 10% in that ...