The International Monetary Fund (IMF) has informed it is expecting some setbacks in the Indian economy next fiscal year and projected the growth to 6.1 percent from 6.8 percent during the current fiscal ending March 31. The IMF has released the January update of its World Economic Outlook, according to which the global growth is projected to fall from an estimated 3.4 percent in 2022 to 2.9 percent in 2023, then rise to 3.1 percent in 2024.
Indian Economy to Setback from 6.8 pc in 2022 to 6.1 pc in 2023, says IMF- Key Points
- The growth projections actually for India are unchanged from our October Outlook according to the International Monetary Fund.
- The country has 6.8 percent growth for this current fiscal year, which runs until March, and then it is expected to face some slowdown to 6.1 percent in the fiscal year 2023.
- Pierre-Olivier Gourinchas, Chief Economist and Director, Research Department of the IMF informed that the setback in the economy is largely driven by external factors
- Growth in India is set to decline from 6.8 percent in 2022 to 6.1 percent in 2023 before picking up to 6.8 percent in 2024, with resilient domestic demand despite external headwinds.
- According to the January update, growth in emerging and developing Asia is expected to rise in 2023 and 2024 to 5.3 percent and 5.2 percent, respectively, after the deeper-than-expected slowdown in 2022 to 4.3 percent attributable to China’s economy.