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<h1>Economic growth forecast: expected above 6.8% for FY26, boosted by GST cuts and income tax relief.</h1> Projection of FY26 GDP growth is revised to be north of 6.8 per cent, driven by domestic demand effects of a GST rate cut and income tax relief, and supported by a 7.8 per cent Q1 expansion led by agriculture and services. The outlook remains sensitive to trade policy: a concluded US India Bilateral Trade Agreement would raise the forecast, while steep US tariffs on Indian goods act as a downside risk to exports and external demand.