India’s economy has shown strength in FY23, and it is estimated to grow at 7%, higher than the trend rate and the growth of other major economies. The growth is supported by improving macroeconomic stability, such as an improved current account deficit, easing inflation pressure, and a strong banking system that can withstand policy rate increases. The April 2023 update of the WEO predicts India to be the fastest-growing economy in FY24, with even more robust stability in macroeconomic variables.
