ADB Boosts India's FY26 Growth to 7.2%, Sees Lower Inflation

• Asian Development Bank (ADB) raised India's FY26 growth forecast to 7.2% from 6.5%.
• The revision is due to increased consumption after tax cuts and strong Q2FY26 GDP growth of 8.2%.
• ADB also lowered India's FY26 inflation forecast from 3.1% to 2.6%.
• Lower inflation is attributed to GST cuts, falling food prices, and favorable agricultural production.
• Other institutions like IMF and RBI have also expressed increased confidence in India's economic strength.

Why It Matters: India's economy shows strong growth and lower inflation, boosting global confidence.