Government support and benign inflation drove Q1 growth: Nomura economist

Sonal Varma, Chief Economist for India and Asia at Nomura, attributed first-quarter economic performance to government support measures and controlled inflation. The economist projected GDP growth will ease from approximately 7.3% in the first half of FY27 to 6.7% in the second half. Despite the expected moderation, Nomura forecasts India will deliver solid overall growth of 7% for the full fiscal year 2026-27.