MC-Deloitte CEO survey shows 55.6% CEOs optimistic GDP will grow at 6.5-7% in FY25–26

IMF forecasts India’s growth at 6.5 percent for 2025

In a positive outlook for the Indian economy, a majority of business leaders are optimistic about India’s GDP growth prospects for the next fiscal year 2025–26, with over 55 percent of CEOs believing that the country’s GDP will grow in the range of 6.5-7 percent, a MC-Deloitte survey of 45 CEOs showed.

An exclusive Moneycontrol-Deloitte survey of 45 CEOs was conducted between January 10 and 22 across financial services, consumer goods, technology, and energy sectors.

A notable 55.6 percent of CEOs attributed their optimism about India achieving a 6.5–7 percent growth rate to favourable global scenarios. However, a small percentage of CEOs were extremely optimistic, expecting GDP growth above 7 percent. These respondents believe that achieving over 7 percent growth is possible if Indian businesses capitalise on the ‘China Plus One’ strategy.

Approximately 22 percent of the respondents anticipated growth in the range of 6-6.5 percent, citing factors such as the ongoing geopolitical tensions, the importance of political stability, and the increasing challenge of driving higher GDP rates as the economy grows in size. They also emphasised the need for improved ease of doing business, rationalised GST rates, and long-awaited tax reforms to support higher growth rates.

As many as 15.6 percent respondents, were pessimistic, projecting GDP growth below 6 percent. They expressed concerns about high taxes, an anti-industry policy focus, and an emphasis on tax collection, which they believe could hinder growth. These CEOs also pointed to global economic slowdowns, the lack of significant reforms in GST and taxation, and insufficient progress on improving the business environment as potential obstacles to higher growth.

The optimism shared by over 55 percent CEOs for FY2025–26 aligns with projections by the International Monetary Fund (IMF), which forecasts India’s growth at 6.5 percent for both 2025 and 2026. This consistency highlights India’s stable economic fundamentals and its capacity to maintain momentum despite global uncertainties. Similarly, the World Bank’s latest estimates project India’s economic growth to remain steady at 6.7 percent per annum over the next fiscal starting April 2025.

The World Bank expects the services sector to enjoy sustained expansion, while manufacturing activity is likely to strengthen, bolstered by government initiatives aimed at improving the business environment. Investment growth is anticipated to remain steady, with rising private investment offsetting moderating public investment. Private consumption growth, driven by improved rural incomes and a recovery in agricultural output, is also expected to remain robust, according to the World Bank’s report.