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World Bank Ups India’s Growth Forecast to 7% for FY25
The World Bank has revised its growth forecast for the Indian economy, increasing it to 7% for the fiscal year 2024-25, up from the earlier estimate of 6.6%.
Dr.G.R.Balakrishnan Sep 04 2024 Exim & Trade News

World Bank Ups India’s Growth Forecast to 7% for FY25

This adjustment comes despite a slowdown to 6.7% in the April-June quarter, attributed to reduced government spending during national elections.

Agricultural Recovery & Rural Demand: The upward revision is largely driven by a recovery in the agricultural sector and an increase in rural demand.

Government Spending on Infrastructure: Increased investment in infrastructure by the government has also bolstered growth prospects.

 Despite the positive outlook, the World Bank highlights the challenge of job creation, noting that the urban unemployment rate remains high at an average of 17%.

The World Bank projects that India’s medium-term economic growth will average 6.7% over the next two fiscal years, with a gradual increase in private investment expected to aid in consumption recovery.