Speaking at a press conference, Julie Kozack, Director of the IMF’s Communications Department, said India’s growth in the third quarter was stronger than anticipated, underscoring the resilience of the world’s fourth-largest economy at a time of heightened global uncertainty.
“It has been a key driver of global growth, and growth has been quite robust in India,” Kozack said, pointing to sustained demand at home as a key pillar supporting the expansion.
Stronger Q3 performance lifts upgrade prospects
Kozack said that when the IMF conducted its Article IV consultations, it had projected India’s growth at 6.6 percent for the 2025–26 fiscal year, largely on the back of strong domestic consumption.
However, subsequent data has altered that assessment.
“What we have seen since then is that the third-quarter growth in India came out stronger than expected. And that puts some that makes it likely that we will be upgrading our forecast going forward,” she said.
The IMF is set to release updated growth projections in its January World Economic Outlook (WEO) update, due in the coming days. Kozack confirmed that a revised growth number for India will be published as part of that update.
Despite ongoing global uncertainty, the Fund’s assessment of India remains firmly positive.
“The bottom line for us on India is that it has been a key driver of global growth, and growth has been quite robust in India,” Kozack said.
The IMF’s comments come at a time when several major economies are facing slowing momentum, tight financial conditions and geopolitical risks.
Against this backdrop, India’s consumption-led growth and macroeconomic resilience have positioned it as one of the few large economies continuing to provide meaningful support to global growth.
