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ADB Cuts India’s FY24 Growth Forecast to 6.4%

The Asian Development Bank reduced its forecast for India’s GDP in FY24 to 6.4% from its earlier estimate of 7.2% as global headwinds pose hurdles, according to its Asian Development Outlook report released on Tuesday.

“The causes are an expected global economic slowdown, tight monetary conditions, and persistently elevated oil prices,” said the bank.

The ADB has pegged India’s economic growth to be 6.8% in the fiscal year ended March 31, from the 7% estimated earlier, while it expects India’s GDP to grow by 6.7% in FY25 on healthy domestic demand.

“The growth rate in India is stronger than in many peer economies, reflecting relatively robust domestic consumption and lesser dependence on global demand. Growth is expected to strengthen to 6.7% in FY25 as private investment improves and growth accelerates in industry,” ADB said.

The country’s inflation is expected to ease to 5% in FY24, assuming moderation in oil and food prices, and is likely to reduce further to 4.5% in FY25.

source: https://www.tradingview.com/news/mtnewswires.com:20230405:G2232629:0-adb-cuts-india-s-fy24-growth-forecast-to-6-4/

Shaz

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