India’s GDP forecast for 2024–2025 is raised to 6.8% by the IMF

India’s growth estimate for 2024–2025 has been upgraded by the International Monetary Fund (IMF) from 6.5% to 6.8% due to robust domestic demand and an increasing number of people in working age.

The nation’s central bank, the Reserve Bank of India, projects that the GDP will expand by 7% in the current fiscal year, which began on April 1.

According to the IMF’s World Economic Outlook, which was issued on Tuesday, the gross domestic product of Asia’s third-largest economy will expand at a rate of 6.5% in the next fiscal year.

Additionally, the agency increased its growth estimate for 2023–2024 from 6.7% in January to 7.8%. Growth was projected by India’s own official projections to be 7.6%.

As inflation returns to goal, the global economy is expected to remain impressively robust, according to the IMF, which also projected that global real GDP growth would be 3.2% in 2024 and 2025, unchanged from 2023.