look news india
India GDP Growth Outlook by Moody's: It is emerging as the fastest growing economy in the world. After several global agencies including the International Monetary Fund and the World Bank expressed confidence in the country's rapid GDP growth rate, another rating agency has also expressed a positive attitude.
GDP growth forecast raised
Moody's has projected India's GDP growth to be 7.1 percent in the calendar year 2024. Earlier, Moody's had estimated 6.8 percent. In the Asia-Pacific Outlook, the global credit rating agency has kept the GDP growth forecast for 2024-25 stable at 6.5 percent. While India's economy is expected to grow at the rate of 6.6 percent in 2025-26.
What about inflation?
A report by Moody's Analytics has mentioned the inflation in the country. In which the inflation estimate was earlier fixed at 5 percent. Which has been reduced to 4.7 percent. In July and August, the retail inflation rate will remain below the RBI's target rate of 4 percent. While in 2025-26, inflation is likely to remain between 4.5 percent and 4.1 percent.
World Bank and IMF expressed confidence
Most global rating agencies, including the World Bank, IMF and now Moody's, have expressed confidence in India's economy. Due to focus on infrastructure, increased domestic investment in real estate and good monsoon, the World Bank has raised its GDP growth forecast for FY 2024-25 from 6.6 per cent to 7 per cent. The IMF revised its GDP growth forecast by 20 basis points to 7 per cent. S&P Global has also said that interest rates are likely to be cut in October, with an optimistic GDP growth forecast of 7 per cent.