According to Moody’s, weaker private consumption, slower investment, and reduced industrial activity are the main reasons for the downgrade. Rising oil and energy prices linked to geopolitical tensions have also increased pressure on the economy.

Moody’s Slashes 2026 India Growth Forecast while noting that India remains vulnerable to fluctuations in global energy prices because the country depends heavily on imported crude oil and natural gas.

The agency also trimmed India’s growth projection for 2027 to around 6%, citing continued global uncertainty and possible supply disruptions. However, Moody’s believes the economy could recover gradually if energy markets stabilize and domestic demand strengthens.

The post Moody’s Slashes 2026 India Growth Forecast to 6% Amid Global Uncertainty appeared first on India Podcast.

The Ministry of External Affairs (MEA) stated that India has aimed to diversify energy procurement for many years, prioritising stable prices and secure supplies. The current US administration has shown interest in strengthening these energy ties.

Despite previous US tariff hikes, India’s exports to the US rose to $45.82 billion in the first half of the current financial year, a 13.3% increase from last year. The government sees potential to import $12–13 billion worth of crude oil and natural gas from the US without changing refinery configurations.

India is also likely to source more renewable energy technologies from the US as part of the trade discussions. Chief Negotiator Rajesh Agrawal is already in the US, working with the negotiating team to finalise bilateral commitments and boost climate-friendly energy cooperation.

The post India, US Deepen Energy Cooperation appeared first on India Podcast.