look news india
Mumbai: After Moody's, Fitch Ratings has also increased India's economic growth rate (GDP) forecast for the next financial year i.e. 2024-25 to 7 percent from the earlier 6.50 percent, expecting that the Indian economy will continue to grow strongly. On the other hand, China's GDP estimate has been reduced.
It is also expected that the Reserve Bank will cut the interest rate by half per cent in the period from July to December of the next financial year. Retail inflation is expected to decline to 4 percent in a phased manner by the end of 2024.
The report prepared by Fitch says that except China, the future of emerging markets, especially India, is bright. India's economic growth rate is estimated to be 7.80 percent in the current financial year and 7 percent in the next financial year. The estimates for both years have been increased significantly.
India's economic growth rate has been above eight percent for three consecutive quarters.
Meanwhile, China's economic growth rate has decreased from 4.60 percent to 4.50 percent in 2024. Gloomy outlook for China's property sector and rising inflation pressures.
The rating agency also said in the report that Chinese authorities are continuing to provide fiscal support which has resulted in the adverse impact on the outlook being mitigated.
Earlier, Moody's had also recently increased the estimate of India's GDP from 6.10 percent to 6.80 percent.
India's economic growth rate in the last quarter of 2023 was better than expected at 8.40 percent, which was the highest level in one and a half years.