New Delhi: Indian economy is expected to grow at healthy average rate of close to 7% going forward from here for next 2-3 financial years as estimated by major global financial institutions. On Tuesday, September 24, 2024, the S&P Global Ratings retained India’s growth forecast at 6.8% for FY25. Few days ago, the Reserve Bank of India (RBI) expects India to grow at 7.2%. International Monetary Fund (IMF) too had revised upwards the country’s growth forecast to 7% from its earlier projection. Such growth forcasts are quite impressive especially when the other countries currrently face slowdown worries. The US is looking down towards recession. China on the hand is already struggling with slowing GDP rate. Most developed economies have got caugt up with economic uncertainties. Indian economy on the other hand has been resilient in the face of global slowdown.
Recently, world’s largest bank, JPMorgan Chase, CEO Jamie Dimon said in an interview with CNBC TV-18 regarding India’s impressive growth trajectory that the country has been ‘growing quite well.’ He further said that he is ‘optimistic about the future’ of the country.
India’s GDP growth in past three years:
In recent past, India’s economy has grown faster than any other major economy in the world. In FY24, India had grown at impressive rate of 8.2%. While, the country had recorded GDP growth rate of 7% in the preceding fiscal. In FY22, the GDP growth was astonising 9.1%.
Inflationary trend in India:
India has been able to get hold of high inflation threat lately. When, Covid-19 had struck, the entire world faced increased inflationary pressure. Many countries saw their respective cost of living indicators scale new highs. Due to actions of their rsepective governments and central banks, they have been able to reduce inflationary pressures of various, but here also, India has led from the front.
As compared to central banks of other major economies, the RBI is one of the first banks to have brought the country’s inflation under limit. In July 2024, India’s retail inflation came down below 4%, the lower band of inflation band set by the Monetary Policy Committee (MPC).
