April 14, 2022
In the current fiscal year, India is expected to grow at 8% and about 7.1% in the upcoming FY i.e FY 2023-24, as stated by the World Bank.
Due to the Russia-Ukraine conflict, the South Asian region is projected to grow 1% slower than previously estimated i.e at 6.6% in FY22 and 6.3% in FY22-23.
The impact of the war on India has been deteriorating due to inflating prices and constrained household consumption due to bottlenecks in the labour market.
The war has also given rise to feuds between nations regarding inflating fuel and oil prices, as a result of which, the countries are considering moving towards greener fuels.
In the current fiscal year, India is expected to grow at 8% and about 7.1% in the upcoming FY i.e FY 2023-24, as stated by the World Bank in its latest report. In the last fiscal year, the country is estimated to have grown approximately 8.3% following a drop of 6.6% in the previous year owing to the pandemic.
Due to the Russia-Ukraine conflict, the South Asian region is projected to grow 1% slower than previously estimated i.e at 6.6% in FY22 and 6.3% in FY22-23 since the region had been facing a backlash because of the rising commodity prices, financial and supply sector vulnerabilities.
The impact of the war on India has led to rising inflation prices, deteriorating current account balances and growing fiscal deficits, according to the report.
Additionally, household consumption has been constrained due to bottlenecks in the labour market and inflationary pressures.
The war has also given rise to feuds between nations regarding fuel and oil prices, as a result of which several countries are considering moving towards greener fuels and commodities.