Key Takeaways
- The World Bank raises India’s GDP growth forecast to 7% in FY25 from 6.6% estimated earlier.
- India’s robust growth prospects along with declining inflation will help to reduce extreme poverty.
- India can boost its growth further by harnessing its global trade potential and diversifying its export basket.
New Delhi: Despite challenging external conditions, the World Bank on Tuesday raised India’s gross domestic product (GDP) growth forecast to 7% for fiscal 2024-25 from 6.6% projected earlier.
In its India Development Update, the World Bank said that India’s medium-term outlook remain positive and GDP growth would be averaging at 6.7% over fiscal years in FY25/26 and FY26/27.
“India’s robust growth prospects along with declining inflation will help to reduce extreme poverty,” said Auguste Tano Kouame, World Bank’s Country Director in India.
Kouame further said that India can boost its growth further by harnessing its global trade potential.
“In addition to IT, business services and Pharma where it excels, India can diversify its export basket with increased exports in textiles, apparel, and footwear sectors, as well as electronics and green technology products,” he said.
