11 october 2024 : The World Bank has upgraded India’s economic growth forecast for FY2024-25 from 6.6% to 7%, attributing the increase to higher-than-expected agricultural output and policies aimed at promoting employment, which are boosting private consumption. In its South Asia Growth Forecast report, released on October 10, the World Bank noted these factors as key contributors to the strong growth projection.
Several global rating agencies and multilateral organizations have also raised their growth estimates for India. In July, the International Monetary Fund (IMF) revised its 2024 forecast for India from 6.8% to 7%, reinforcing India’s position as the fastest-growing economy among emerging markets. Similarly, the Asian Development Bank (ADB) projected a 7% growth for FY2024 and 7.2% for FY2025, citing strong agricultural growth driven by favorable monsoon conditions and the strengthening rural economy.
The ADB’s September report emphasized that India’s robust economic performance is supported by strong domestic demand and a growing working-age population. Additionally, the Reserve Bank of India (RBI), in its October 9 monetary policy review, reaffirmed its projection of 7.2% GDP growth for FY2025, attributing the expected growth to strong quarterly performances.