Stable prices and a robust economy should bolster India’s economic growth: FinMin

In spite of the unpredictable global environment, robust growth, price stability, and a stable outlook for the external sector continue to underpin India’s positive economic performance, according to a report released on Thursday by the Finance Ministry.

According to the Monthly Economic Review for March, foreign organizations and the RBI have given India’s current fiscal year favorable growth outlooks, meaning that overall, the country remains the fastest-growing major economy.

The real GDP growth projection for India in FY24 was revised higher by the IMF in its April 2024 World Economic Outlook (WEO), from 6.7% in the January 2024 update and 6.3% in the October 2023 WEO, to 7.8%. According to the research, there is a slow but steady recovery in the global economic growth panorama, which is characterized by dwindling recessionary worries and growing economies in key regions. Although recent events have made geopolitical tensions less of a worry, risk perceptions have shifted, providing an opportunity for growth, the report said.

The research said that major economies are now seeing a comeback in global economic growth. Even though the leading signs point to higher economic activity and a minor reduction in geopolitical tensions, there is still danger associated with previous events. India’s robust economic performance stands out in the face of global difficulties, demonstrating broad-based development across all sectors and reaffirming its crucial role in sustaining the trajectory of global growth, the statement said. — PTI

There will be less severe inflation.

According to RBI Monetary Policy Committee member Ashima Goyal, the issue of excessive food inflation would become “less severe” in the future since contemporary supply networks with a variety of sources may assist in promptly addressing abrupt price increases for certain food products.