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Indian economic growth represented by infrastructure, financial markets and rising household living costs amid inflation
Oct 16, 2026

India’s 7% Growth Story Meets a Stubborn Rival: Inflation

India’s GDP growth outlook remains strong at around 7%, driven by public spending, consumption, investment and exports. But elevated crude oil prices, a deficient monsoon and persistent inflation continue to pressure household budgets, making sustained growth dependent on easing living costs.