<h1>India's GDP forecast raised to 7.4% as GST reforms and stronger consumer spending boost growth expectations.</h1> Fitch raised India's FY2025-26 GDP forecast to 7.4% due to stronger private consumer spending and recent GST reforms that cut rates on about 375 items, making most consumption goods cheaper. Falling consumer price inflation and lower food prices give scope for an additional policy rate cut to 5.25% and further cash reserve ratio reductions, while growth is expected to slow in the next fiscal year with private investment recovering only in its second half.