India Ratings and Research (Ind-Ra) has increased India’s GDP growth forecast for Financial Year FY24 to 6.9% from 6.7% projected in January 2024.

Economy Business

India Ratings and Research (Ind-Ra) has increased India’s GDP growth forecast for Financial Year FY24 to 6.9% from 6.7% projected in January 2024. India’s economy is expected to grow at 6.5% in FY25. The projection, however, is sharply lower than the Reserve Bank of India’s (RBI) forecast of 7% GDP growth next year. In FY24, the National Statistical Office has projected India’s economy to grow at 7.3%. According to Ind-Ra, the private sector raised Rs3.56 trillion to fund 982 projects in FY23 – which is substantially higher than Rs1.98 trillion raised to fund 791 projects in FY22. The RBI in its latest bulletin had mentioned that the total cost of projects, for which loans were sanctioned by major banks stood at Rs2.4 trillion during April-December 2023, 23% higher on year.


      The gross value added (GVA) growth in FY25 is expected to moderate to 6.4% from 6.9% this year.

      Within GVA, the agriculture sector’s growth is seen rising to 3% from 1.8% in FY24, while industry’s growth is expected to ebb to 6.5% from 7.9%.

      Service sector’s growth is also seen slowing to 7.3% in FY25 from 7.7% in FY24.

 

     


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