The World Bank has issued a fresh report on economic growth. According to which it has retained its forecast regarding India’s economic growth at 8.3% in the current financial year (FY 22).
The World Bank’s projections come after India’s government advance estimates projected India’s GDP to grow at 9.2% in the current financial year ending March 2022.
In its report, the global lender said that Indian economy’s growth rate in the current as well as the next fiscal will be stronger compared to its immediate geographic neighbours. The economy should benefit from the resumption of contact-intensive services and ongoing but narrowing monetary and fiscal policy support. Sectors particularly sensitive to the pandemic remain below pre pandemic levels though.
However, earlier in its October report, the World Bank had projected India’s growth forecast at the same at 8.3% as of now, keeping unchanged its June forecast, which was slashed down to 8.3% from earlier projection of 10.1%.
Further, the global lender has upgraded its forecast at 8.7% for FY23 and 6.8% for FY24.