New Delhi, May 13 -- Morgan Stanley has revised India's growth forecast upwards to 6.7 per cent from its April 2026 projection of 6.2 per cent, despite geopolitical concerns in West Asia.
It had earlier predicted crude oil prices would average $95 per barrel (bbl) in FY27, with gas availability posing an additional constraint. The forecast has now been revised downward to $87.5/bbl.
"In our base case, we expect global oil prices to peak in the quarter ending June 2026 (QE Jun-26) and average $87.5/bbl in FY27. We forecast GDP growth of 6.7 per cent YoY in FY27 and 7 per cent in FY28, with the energy shock most pronounced in QE Jun-26, when growth is expected to trough at 6.5 per cent YoY amid elevated commodity prices and lingering supply...