Economists Project 10-10.5% Nominal GDP Growth for Budget 2026
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CNBC TV18•30-01-2026, 13:27
Economists Project 10-10.5% Nominal GDP Growth for Budget 2026
- •Economists Vishrut Rana (S&P Global Ratings) and Kanika Pasricha (Union Bank of India) anticipate the government will project 10-10.5% nominal GDP growth in Budget 2026.
- •The Economic Survey 2026 projected India’s real GDP growth for FY27 at 6.8-7.2% and raised the potential growth rate to 7% from 6.5%.
- •Rana suggests a 10.5% nominal GDP growth assumption is reasonable, considering a steady-state inflation of around 4.5% and a GDP deflator of 3-3.5%.
- •Pasricha believes a 10% nominal growth is credible, based on a 7% real growth estimate and about 3% inflation, aligning with RBI's target.
- •S&P Global's estimate for India's potential growth is already in the 6.5-7% range, driven by improved labor skills, demographic dividend, and new free trade agreements.
Why It Matters: Economists expect Budget 2026 to project a credible 10-10.5% nominal GDP growth, driven by stable inflation and strong economic momentum.
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