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India Nears 8% Growth: Reforms Build Economic Resilience, Says Shaktikanta Das
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Firstpost•05-10-2026, 05:39
India Nears 8% Growth: Reforms Build Economic Resilience, Says Shaktikanta Das
- •Shaktikanta Das states India is nearing an 8% growth rate due to structural reforms enhancing economic resilience against global shocks.
- •India's economy demonstrated strong buffers against external disruptions, with real GDP growing 7.8% in Q1 2026-27 and averaging above 8% over the last four quarters.
- •Key reforms include flexible inflation targeting, GST, fiscal consolidation, digital payments, and banking sector improvements, leading to reduced non-performing assets and improved bank profitability.
- •Despite current momentum, sustaining 8% growth remains challenging, with Allianz Research forecasting a moderation to 7.5% in 2026 due to inflationary pressures and monetary tightening.
- •Future growth requires continued reforms and investment in AI, deeper financial markets, strategic self-reliance, sustainability, and human capital to boost productivity and expand economic capacity.
Key Questions Answered
India's real GDP grew 7.8 per cent in the first quarter of 2026-27, bringing the country close to an 8 per cent growth rate after a decade of structural reforms.
Key reforms include flexible inflation targeting, the Goods and Services Tax, fiscal consolidation, digital payments, and major improvements and balance sheet repairs in the banking sector.
Das identified artificial intelligence, deeper financial markets like corporate bonds and municipal finance, strategic self-reliance in energy and manufacturing, sustainability, and human capital as vital areas.
