India's 2026 Growth Outlook Hinges on Demand Recovery Amidst Reforms and Easing Inflation
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India's 2026 Growth Outlook Hinges on Demand Recovery Amidst Reforms and Easing Inflation

Industry leaders express guarded optimism for India's 2026 growth outlook, anticipating support from reforms, tax relief, and easing inflation. Demand recovery, particularly in the automotive and consumption-facing sectors, is seen as crucial for sustained growth. Early signs suggest a pickup in both rural and urban markets, with expectations of gradual improvement in rural consumption due to normalizing inflation and incomes. A structural shift towards health, wellness, and purpose-led brands is also noted, with consumers favoring premium and nature-based products. Budget expectations focus on measures to boost rural income and agriculture.

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