Goldman Sachs slashes India growth forecast, warns currency strain will force rate hike

Goldman Sachs has lowered its growth estimate for India in 2026. The firm projects a 50 basis points increase in policy rates. This comes as the Indian currency experiences sharp depreciation. The forecast reflects adjustments in light of current economic conditions. Details about the revised growth figure have not been provided. The report highlights concerns over India’s currency movement. Policy rate changes are expected in response to this trend. The firm’s outlook addresses economic factors influencing future growth.