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Iran war risk could cut India GDP growth to 6.5 percent this fiscal, CII warns
Economy
Published on 5 May 2026
Forecast stays near 7 percent only if the conflict ends soon
India’s growth outlook is hovering around 7% this fiscal, but CII president Rajiv Memani says the figure depends heavily on a quick end to the Iran war. If fighting drags on, growth could slow to 6.5%. Companies are already preparing for shocks, while private investment and confidence are expected to rebound once West Asia stabilizes, supported by steady consumption demand.
- CII pegs growth near 7% if the Iran war ends soon
- Prolonged conflict could pull India’s growth to 6.5%
- Firms are building buffers for future disruptions
- Private investment may rebound after West Asia stabilizes
Read the full story at The Economic Times
This summarization was done by Beige for a story published on 
The Economic Times