RBI Upgrades FY26 GDP Growth Estimate To 7.6% From 7.4% | Governor Sanjay Malhotra

RBI Governor Sanjay Malhotra says India’s economy grew 7.6% last year, citing strong consumption, investment, structural reforms, and supportive financial conditions as key drivers. However, the RBI warns that elevated energy prices, commodity inflation, and possible supply disruptions through the Strait of Hormuz could weigh on growth in the current year. The government is working to secure critical input supplies to reduce disruption risks. Despite external pressures, the RBI expects momentum in the services sector, GST rationalisation benefits, and strong corporate and financial balance sheets to continue supporting economic activity.