Good news for Indian economy, UN report roars, country will run at this pace in 2026-27

News India Live, Digital Desk: On the economic front, great news has emerged for the countrymen. A recent report by the United Nations (UN) has confirmed India’s economic strength. Amidst the positive signs and strong data, it has become clear that despite the fears of global recession, it is impossible to stop India’s momentum. According to the new report of the United Nations, India’s economy is expected to grow at a strong rate of 6.4 percent in the year 2026 and 6.6 percent in the year 2027. India’s dominance in South Asia, UN ESCAP appreciated. The report of the United Nations Economic and Social Commission (ESCAP) states that India’s performance has been the best among the economies of South and South-West Asia. According to the report, the growth of this sector in 2025 was 5.4 percent, which is better than 5.2 percent in 2024. Strong rural consumption, reduction in Goods and Services Tax (GST) and increasing demand for Indian products in the international market have been cited as the main reasons behind India’s rapid growth. Impact of US tariffs, yet service sector took command. An important aspect in the report was trade relations with America. However, the second half of 2025 saw a slight slowdown in economic activity, as exports to the US declined by 25 percent due to the 50 percent tariff imposed by the US in August 2025. But despite this, India’s service sector remained the strongest pillar of growth. Along with this, it is a matter of relief that inflation is also going to be controlled. UN estimates that the inflation rate in India may come down to 4.4 percent in 2026 and 4.3 percent in 2027. India remains the world’s first choice for investment in the Asia Pacific region due to the climate of foreign investment (FDI) and PLI scheme. According to the report, India topped the list of countries attracting greenfield FDI along with Australia and South Korea. India alone has made its mark with investment announcements worth $50 billion. The United Nations has also praised the Production-Linked Incentive (PLI) scheme of the Indian government, which has breathed new life into the manufacturing sector. India is the ‘world champion’ in terms of remittances, but the tax challenge remains. India remains the world’s largest remittance (sending money from abroad) recipient country. In the year 2024, Indians sent home $137 billion from abroad. However, the report also raised a small concern. America has imposed a 1 percent tax on all remittances from January 2026, which may have some impact on the huge amount of money that India receives. Still, this money is boosting the Indian market through medical and household spending.