The International Monetary Fund (IMF) stated on Thursday that India is the main engine of global growth, and domestic consumption is acting as a shield for the country's economy. The IMF also noted that India's growth in the third quarter exceeded expectations.
IMF Communications Director Julie Kozack said during a press conference that India remains a key driver of global growth. The IMF's Article IV staff report estimated India’s growth at 6.6% for FY 2025-26, driven primarily by strong domestic consumption. The third-quarter growth exceeded expectations, raising the likelihood of upward revisions in future IMF forecasts.
Kozack emphasized that the IMF's overall assessment of India remains positive, highlighting the country’s role in supporting global economic expansion amid uncertainties. The IMF’s World Economic Outlook Update will be released next week, including revised growth estimates for India and other major economies.
The IMF’s assessment gave the BJP an opportunity to criticize Congress and its leader Rahul Gandhi. BJP spokesperson C.R. Kesavan called Rahul Gandhi a "pessimistic leader" for previously calling India a "dead economy" and accused him of misleading the public. Kesavan highlighted that the IMF report counters Rahul Gandhi’s negative portrayal of India’s economic progress.