FY24 India growth projection
S&P Global Ratings retained India’s GDP growth forecast at 6% saying India will be the fastest-growing economy among Asia-Pacific nations.
The GDP growth forecast for the current and the next fiscal has been kept unchanged from the forecast made in March partly on account of domestic resilience.
India's economy is expected to grow at about 6% along with Vietnam and the Philippines on account of domestic resilience.
The medium-term growth outlook remains relatively solid. The Asian emerging market economies remain among the fastest growing ones in global growth outlook through 2026.
S&P said retail inflation is likely to soften to 5% this fiscal from 6.7%, and the RBI is expected to cut interest rates only early next year.
The inflation and rate hike cycles have peaked.
RBI is expected to cut rates only in early 2024, as it wants to see inflation moving to 4%.
S&P has lowered the growth forecast for China to 5.2% from 5.5% for 2023.
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