- India continues to remain a relative “bright spot” in the world economy, and will alone contribute 15% of the global growth in 2023, International Monetary Fund (IMF) Managing Director Kristalina Georgieva said.
- While digitisation pulled out the world’s fifth-largest economy from pandemic lows, prudent fiscal policy and significant financing for capital investments provided in the next year’s Budget will help sustain the growth momentum.
- “India’s performance has been quite impressive. For this year, we expect India to retain a high growth rate, 6.8% for the year that ends in March.
- For FY 2023/24, (April 2023 to March 2024) we project 6.1%, a bit of slowdown like the rest of the world economy, but way above the global average.
- And in that way, India is providing about 15% of global growth in 2023,” Ms. Georgieva said in an interview.
- That is the fastest growth rate among major economies.
- India remains a bright spot at a time when the IMF is projecting 2023 to be difficult with global growth slowing down from 3.4% last year to 2.9% in 2023, she observed.
- Because one, it has done really well to turn the digitalisation that has been already moving quite well into a major driver of overcoming the impact of the pandemic and creating opportunities for growth and jobs.
SOURCE: THE HINDU, THE ECONOMIC TIMES, PIB