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India’s growth prospects continue to stand out: WEF survey
May-29-2026

The World Economic Forum (WEF) in its latest May 2026 edition of the Chief Economists’ Outlook has showed that the global economic outlook has darkened, with 89% of the chief economists surveyed expect global growth to weaken over the next 12 months, and more than one in five expect it to weaken significantly, on the back of the conflict in the Middle East and closure of the Strait of Hormuz which have disrupted vital energy, food and fertilizer flows, threatening access and growth. Besides, global inflation is expected to rise as volatility increases.

However, India’s growth prospects continue to stand out. Of the chief economists surveyed, 52% expect strong or very strong growth in the year ahead, making India the geography with the strongest growth expectations in the survey. While the economy still remains resilient and growth for 2026-27 is projected at 6.5%, it faces rising risks from the conflict in the Middle East. The survey report further noted that depreciation pressures have forced the central bank to shed $40 billion in foreign-exchange reserves in March to stabilize the currency.

Besides, the survey report said that regional outlooks remain divergent. The US and India are expected to maintain moderate to strong growth, supported by investment and consumption, but face inflationary pressures. China’s outlook has improved, while Europe’s growth prospects have weakened amid energy shocks and stagflation risks. South-East Asia shows resilience but is exposed to energy and food import vulnerabilities. The Middle East and North Africa face sharp deterioration in growth and employment, while the outlook for Sub-Saharan Africa and Latin America holds steady.

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