AI-summarised economy news and updates for India
India's economy grew at 6.2% in the fourth quarter of FY26, missing analyst expectations of 6.5%, as manufacturing slowed. Full-year GDP growth came in at 6.5%, meeting the RBI's forecast. Economists predict a rebound in FY27 supported by rural demand recovery and infrastructure spending. Source: Livemint.
India's retail inflation dropped to a five-year low of 4.3% in April 2026, down from 5.1% in March, driven by a 12% decline in vegetable prices and softer fuel costs. This reading brings inflation within the RBI's medium-term target of 4% ± 2%, strengthening the case for a rate cut in the August MPC meeting. Source: Livemint.
India's manufacturing sector expanded at its fastest pace in three months with the S&P Global PMI rising to 57.4 in May 2026, driven by record new order volumes and robust export demand. The employment sub-index climbed to a 14-month high. Manufacturers reported the highest input cost inflation since January, suggesting potential pricing power. Source: S&P Global.
The PFRDA increased the minimum assured annuity rate for NPS subscribers retiring from June 2026 onwards to 9.5%, up from 8.5% in the previous quarter. This revision applies to the select annuity option available under the National Pension System. The rate hike reflects improved yields on government securities and corporate bonds in the current market. Source: PFRDA.
