WEF Outlook: India has strongest growth forecast among major economies

India emerges with the strongest growth outlook in the World Economic Forum's latest report. 74% of chief economists expect strong growth, up from 52%, with the 2026-27 forecast raised to 6.7% due to resilient domestic demand.

India's Strong Growth Outlook

India has emerged with the strongest growth outlook among economies covered in the World Economic Forum’s September 2026 Chief Economists’ Outlook, with 74 per cent of surveyed chief economists expecting strong or very strong growth over the next 12 months, up sharply from 52 per cent in May. Overall, 98 per cent of respondents expect India to record moderate or stronger growth over the coming year, while the growth forecast for 2026-27 was raised to 6.7 per cent in August, the report said. It attributed the outlook to continued resilience in domestic demand, although higher energy prices remain a drag.

“Of chief economists surveyed, 98% expect moderate or stronger growth over the next 12 months, including 74% who anticipate strong or very strong growth, compared with 52% in May,” the report noted.

Regional Economic Comparisons

The assessment places India ahead of other major economies in the survey. South-East Asia followed, with 73 per cent of respondents expecting strong or very strong growth, while 31 per cent of economists expect weak growth in China. Europe remained the weakest-performing region, with 61 per cent anticipating weak or very weak growth.

Global Outlook and Inflation Eases

The report also points to a more stable global economic outlook. Only 45 per cent of surveyed chief economists now expect global economic conditions to weaken over the next 12 months, sharply lower than 89 per cent in May. A majority, 56 per cent, expect the outlook to remain unchanged or strengthen. Inflation expectations have also eased, with 50 per cent expecting global inflation to rise, compared with 94 per cent in May.

Future Risks and Economic Resilience

However, risks remain significant. Geopolitical conflicts were identified by 97 per cent of respondents as a major source of global economic uncertainty over the next year, followed by asset price corrections at 58 per cent. Only 25 per cent expect the global economy to become more resilient over the next 12 months.

Chief economists expect economic resilience to depend increasingly on economic diversification and flexible supply chains, cited by 78 per cent, followed by technological acceleration and innovation at 67 per cent and energy-market adaptation at 61 per cent. Fiscal support, which was the leading source of resilience since 2020 at 69 per cent, falls to 28 per cent in the forward-looking assessment as governments face tighter fiscal constraints.

The report also described the global economy as having been “remarkably resilient” through successive shocks, while warning that future resilience will require greater adaptation as geopolitical, energy and technological pressures persist. (ANI)

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