January 31, 2023
Growth is expected to remain strong in FY24 beginning April 1 led by a pick-up in lending by banks and improved capital spending by corporations
India's current account deficit (CAD) can be expected to remain elevated
India's economy has rebounded since the pandemic
The economy has grown at 8.7% in the previous year mainly due to pandemic-related distortions
India’s annual pre-budget Economic Survey is likely to peg GDP growth at 6-6.8% for FY24, according to media reports. The Economic Survey, which will be presented by the Finance Minister before the budget, is the government’s review of how the economy performed in the past year.
The growth, as per the government, is expected to be at 6.5% for FY24 on the back of the baseline scenario, as per the reports. They further added that the economy’s nominal growth is likely to be forecast at 11% for the same fiscal.
On top of that, growth is expected to remain strong in FY24 beginning April 1 led by a pick-up in lending by banks and improved capital spending by corporations.
The media reports also mentioned that India’s current account deficit (CAD) can be expected to remain elevated as imports could remain high due to a strong local economy while exports decrease due to global economic challenges. However, they also said that India’s economy has rebounded since the pandemic.
As per the reports, a growth of 6.5% could keep India among the fastest-growing economies in the world. They concluded by mentioning that the economy has grown at 8.7% in the previous year mainly due to pandemic-related distortions.
Source: Business Standard