India is poised to maintain its position as the fastest-growing major economy in the world, according to S&P Global Market Intelligence. The country’s economy, which is currently the fifth largest globally, is projected to grow by 6.7% in 2024, 6.3% in 2025, and 6.1% in 2026. In comparison, China is expected to grow by 5.0% in 2024, 4.6% in 2025, and 4.5% in 2026, while the US is forecasted to see growth rates below 2.0% in 2025 and 2026 after growing by 2.5% in 2023.
Additionally, the World Bank has maintained its growth forecast for India at 6.6% for FY25 and expects the country to continue being the fastest-growing among the world’s largest economies. The National Statistical Office estimated India’s GDP growth at 8.2% in FY24, with the RBI raising its growth projection to 7.2% for FY25. Fitch Ratings also revised its growth forecast for India upwards to 7.2% for FY24/25 and predicted growth rates of 6.5% for FY25/26 and 6.2% for FY26/27.
S&P Global Market Intelligence noted that the Middle East and North Africa region’s growth outlook remains stable, with some countries seeing upward revisions in their growth forecasts. However, global economic conditions are expected to remain resilient despite escalating geopolitical uncertainties. Monetary policy easing is expected to become more widespread, and global consumer price inflation is forecasted to gradually decrease from 2024 to 2026.
The Middle East is predicted to experience real GDP growth of 1.7% in 2024 and 2.8% in 2025, with growth risks still prevalent due to ongoing conflicts in the region. The S&P report also anticipates further monetary policy easing across various central banks, including the European Central Bank, the Bank of England, and the Federal Reserve, signaling a potential easing cycle in the second half of the year. Overall, the global economic outlook remains positive, with gradual growth expected across major economies like India, China, and the US.
