New Delhi: Standard and Poor’s (S&P), one of the largest credit rating agencies, reserved India’s GDP growth forecast at 6 per cent and as per the rating agency, India soon will be standing as the fastest-growing economy among Pacific nations.

GDP growth forecast for the current and the next fiscal remains the same in comparison to the forecast made in March partly due to the domestic adaptability.

“We see the fastest growth at about 6 per cent in India, Vietnam, and the Philippines”, S&P stated in its quarterly economic update for Asia Pacific.

“The medium-term growth outlook remains relatively solid. The Asian emerging market economies remain among the fastest growing ones in our global growth outlook through 2026,” stated Louis Kuijs Asia-Pacifi chief economist at S&P Global Ratings.

The global rating agency also mentioned retail inflation softening to 5 per cent in fiscal 2023 from 6.7 per cent, along with this, RBI is anticipated to slash interest rates at the beginning of the next year.

“The inflation and rate hike cycles have peaked, in our opinion. But we expect the Reserve Bank of India to cut rates only in early 2024, as it wants to see consumer inflation moving to 4 per cent– the centre of its target range,” Kuijs stated.

On the other front, S&P has decreased the growth forecast for China to 5.2 per cent compared to 5.5 per cent for fiscal 2023.