IMF’s Confidence Soars: India’s GDP Growth Triumph at 7% Ignites Optimism This Fiscal Year
The International Monetary Fund (IMF) has maintained India’s GDP growth projection at 7% for the current fiscal year ending March 31, 2025. According to the IMF’s latest World Economic Outlook, India’s growth is expected to slow to 6.5% in the 2025-26 fiscal year. This forecast aligns closely with Deloitte India’s Economic Outlook, which predicts India’s growth to land between 7% and 7.2% for the same period. Dr. Rumki Majumdar, an economist at Deloitte, attributes this growth to several factors, including moderating inflation, record Kharif crop output, increased government expenditure, and rising manufacturing investments.
Simultaneously, the IMF has revised upward its growth estimate for the U.S. in 2024, elevating it from a previous 2.6% to 2.8%. Meanwhile, global growth rates are steady at 3.2% for this year and the next. However, China’s growth forecast has been lowered slightly from 5% to 4.8%.
The IMF provides a mixed outlook for the global economy, expressing optimism regarding inflation yet cautioning about high debt levels and growing geopolitical instability. Notably, the IMF warns that sustained tensions in West Asia could disrupt commodity prices and trade flows across the region.
Overall, the IMF’s assessment of 190 countries reflects a complex economic landscape where opportunities for growth are intertwined with challenges such as geopolitical strains and trade volatility. In particular, the persistence of geopolitical tensions in West Asia poses significant risks to both regional and global economic stability. The overall tone from the IMF suggests cautious optimism tempered by awareness of potential threats that could impede global growth.
Original Story https://www.newsonair.gov.in/imf-retains-indias-gdp-growth-rate-at-7-during-current-fiscal-year/
Category : International
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Publish Date: 2024-10-23 10:38:00
