West Asia conflict may take pace off India's growth; CEA Nageswaran flags impact on inflation, fiscal deficit

India's economic growth forecast of 7-7.4% for 2026-27 faces considerable downside risk due to the West Asia conflict, according to Chief Economic Advisor V Anantha Nageswaran. The ongoing war threatens inflation, fiscal deficit, and external balances, necessitating reprioritized spending and enhanced preparedness.