India’s economy set for weakest growth since pandemic
New Delhi: The Modi-led Indian government has lowered its economic growth projection for the fiscal year, forecasting the weakest growth since the pandemic. Economists have warned that even this revised forecast might be overly optimistic.
According to Kashmir Media Service, the Indian Ministry of Statistics stated that the country’s gross domestic product (GDP) is expected to expand by 6.4% in the year through March, down from 8.2% in the previous financial year. The new estimate is in line with the median forecast in a Bloomberg survey of economists but slightly below the government’s earlier projection of 6.5% from last month.
The revised figures confirm concerns that India’s so-called world-leading growth is slowing, posing challenges for Narendra Modi in achieving his ambitious ultra-nationalist goals of transforming the country into a self-styled developed economy and providing jobs for the millions of young people entering the workforce every year.
Economists caution that reaching even the revised growth estimate may prove difficult. “A 6.4% GDP growth for fiscal year 2025 implies a robust 6.8% growth in the second half, which, in our view, is ambitious,” said Anubhuti Sahay, an economist at Standard Chartered Plc.
