The State Bank of India (SBI) Research has revised upward India’s GDP growth projection for FY22 to the range of 9.3%-9.6% from its earlier estimates of 8.5%-9%.
The revised GDP estimate of SBI Research is in-line with RBI’s projection of 9.5% GDP growth for the current fiscal year.
Soumya Kanti Ghosh, group chief economic adviser at SBI, mentioned in a note, “As per our Nowcasting Model, the forecasted GDP growth for Q2 FY22 would be 8.1%, with an upward bias. The full year (FY22) GDP growth is now revised upwards to 9.3%-9.6% from our earlier estimate of 8.5-9.0%. With this the real GDP will be around Rs 2.4 lakh crore more than the FY20 Real GDP of Rs 145.69 lakh crore.”
It further added that at 9.3%-9.6%, India’s real GDP growth in FY22 would be 1.5%-1.7% higher than the pre-pandemic level of FY20.
Mentioning reasons behind its revised estimates, SBI Research clarified that India remained unscathed in Q3 from the global situation, which is marred by supply disruptions, stubborn inflation and surges of infections during Q3 2021.