New Delhi, April 7 -- Amid the ongoing West East crisis, Morgan Stanley has cut India's real GDP (gross domestic product) forecast by 30 basis points (bps) to 6.2pc in fiscal 2026-27.
Earlier, the projection was at 6.5pc. Morgan Stanley also expected the crude oil prices to average USD 95 per barrel (bbl) in FY27 with gas availability as an additional constraint.
The report said the elevated prices and curtailed industrial supply are raising input costs forcing selective production cuts and adding to imported inflation amid rupee weakness.
Morgan Stanley further said the higher production costs, currency weakness and firmer food/core goods should lift average CPI inflation to 5.1 per cent YoY in FY27. Higher oil prices could widen the cu...