EconomyFriday, 29 May 2026·The Hindu - Economy
RBI Annual Report 2025-26 flags resilient Indian economy in FY27 despite West Asia conflict risks
RBI’s Annual Report says India’s economy is expected to remain resilient in FY27, supported by domestic demand and macroeconomic stability.
Key highlights
Direct fact
In May 2026, the Reserve Bank of India (RBI) said in its Annual Report that the Indian economy is likely to remain resilient in FY27, even as the West Asia conflict may affect growth and inflation.
Key specifics
- RBI cited India’s strong macroeconomic fundamentals as the main support for FY27 growth.
- Robust domestic demand was highlighted as a key driver, reducing dependence on exports.
- The report noted a relatively lower dependence on exports as a growth driver for India.
- A stable policy environment was listed by RBI as another factor supporting resilience.
- The West Asia conflict was identified as a risk to growth and inflation in the coming period.
Exam lens
Economy and current affairs, RBI Annual Report 2025-26, FY27 outlook, domestic demand, exports, policy stability; TNPSC may ask which institution released the outlook and what factors support India’s resilience.