India's Economic Outlook: Industry Leaders Optimistic - 6-6.9% Growth Forecast

New Delhi, Jan 29 (PTI) Majority of industry leaders expect the country's economy to grow between 6-6.9 per cent in the financial year 2025-26, supported by technological advancements and reforms to improve the ease of doing business, says a survey.

According to the Grant Thornton pre-budget survey, which included responses from over 155 industry stakeholders across sectors, respondents are optimistic about India's economic outlook.

"... With the majority expecting growth between 6-6.9 per cent in FY 2025-26. About 22 per cent of respondents anticipate a stronger growth rate in the range of 7-7.9 per cent," it said.

The survey gathered responses from industry stakeholders, assessing expectations, growth factors, and priority reforms to provide a comprehensive outlook on industry demands for the upcoming budget.

The survey respondents believe that technological advancements and reforms to improve the ease of doing business will be pivotal to driving India's growth in the upcoming fiscal year.

"By aligning fiscal policies with these priorities, Budget 2025 can act as a catalyst for growth, while ensuring equity and efficiency in the economy," it said.

The Union Budget for 2025-26, is scheduled to be presented by Finance Minister Nirmala Sitharaman on February 1. The Budget will be presented amidst global economic uncertainties and moderating domestic growth.

IMF has maintained India's real GDP growth forecast at 6.5 per cent for FY 2024-25. The United Nations (UN) has retained its projection at 6.6 per cent for the calendar year 2025.

However, the World Bank and Moody's have revised their growth estimates downward to 6.5 per cent and 7 per cent for FY2024-25, respectively.

The consultancy firm said, according to the survey, 84 per cent of respondents support reducing GST on health insurance, while 68 per cent expect an expansion of financial inclusion via SME lending and digital public infrastructure. Around 13 per cent respondents pitched for introduction of new tax incentives for research and development.

Grant Thornton said the survey respondent called for regulatory coordination among banking, securities, and insurance bodies, while the fintech sector sought easier access to capital and tax incentives for blockchain and AI innovation.