Experts Predict India’s GDP Growth to Drop Below 7% in Q4 2023-24
Analysts anticipate India’s economic growth to fall below 7% in the fourth quarter of 2023-24, with constraints on government investments and underperformance in the agriculture and services sectors being contributing factors. Rating agency ICRA forecasts a GDP slip to 6.7% for January-March, while a Reuters poll of economists also aligns with this projection.
With a slowdown in both manufacturing and services, along with subdued agricultural contributions, the Q4 2023-24 growth is expected to be the lowest in a year. However, despite this, the full fiscal year growth is projected to exceed the government’s initial estimate of 7.6%, with varying outlooks from different sources; SBI’s research department believes in a more optimistic 7.4% Q4 growth, while the RBI estimates 7.3%.
The NSO will release official Q4 and full-year numbers soon, shedding more light on the economic landscape. Despite global economic challenges, an IMF report indicates a positive outlook, with increased global growth projections for 2024, signaling some relief amidst uncertainties.
Published: 29 May 2024, 22:23 IST