WB forecasts 2024 Global Growth to slow for 3rd Consecutive Year to 2.4%; India to Grow at 6.4% in FY25?
Economy Business
The WB has kept India's GDP growth forecast unchanged at 6.3% for FY 2023-24 and 6.4% for FY 2024-25 driven by robust investment and services. It will edge up to 6.5% in FY26. India is expected to maintain the fastest growth rate among the world's largest economies, but its post-pandemic recovery is expected to slow.The World Bank on Tuesday kept its FY25 economic growth projection for India unchanged at 6.4 per cent, mainly on account of strong domestic demand, rising public infrastructure spending and strong private-sector credit growth. However, it projected that the private consumption growth might taper off due to high food inflation and diminishing pent-up demand.
Notably, the growth in 2020-2024 period is weaker than the years around 2008-2009 global financial crisis, the late 1990s Asian financial crisis and downturns in the early 2000s.
The report forecasts 2025 global growth slightly higher at 2.7%, but this was marked down from a June forecast of 3% due to anticipated slowdowns among advanced economies.
It will diminish to 1.2% in 2024 from 1.5% in 2023.
President (WB Group)– Ajay Banga, Establishment– 1944
Headquarters– Washington D.C, United States (US), Members– 189 member states
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