JCR said in its note that India's economic growth rate remains at a high level of 7 percent and is being supported by private consumption and government investment.
Indian government policies are also supporting continued economic growth, including the development of digital public infrastructure and the implementation of the Goods and Services Tax (GST). Due to this, the economic base of the country has become stronger than before.
JCR further said that India's economy grew at 7.7 per cent in FY26 and is projected to grow faster by more than 6 per cent in FY27. This is being supported by reduction in income tax and GST. However, due to increasing tensions in the Middle East, prices of food products have increased and hence inflation is increasing, but it still remains within the RBI target.
Praising the country's banking sector in the note, JCR further said that India's banking sector is in a strong position and the non-performing loan ratio has come down to 2 percent. The reason for this is the strict monitoring by the Reserve Bank of India (RBI) and the implementation of the new Insolvency and Bankruptcy Code.
The growth rate in the first quarter (April-June) of FY 27 was 7.8 percent. This is 0.9 percent more than the growth rate of 6.9 percent for the same period last year.
This is more than RBI's estimate. During the announcement of the Monetary Policy Committee (MPC) decisions in early August, RBI Governor Sanjay Malhotra had estimated GDP growth for the first quarter of FY 2027 at 7 percent.