Login With Google
India’s GDP may grow at 7.3% in 2018-19: World Bank
Why is it in the news ?
- The World Bank kept India’s growth projection unchanged at 7.3% for 2018-19 and 7.5% in 2019-20.
- This comes in the wake of the Central Statistics Office projecting the Indian economy to grow at 7.2% in 2018-19 against 6.7% a year ago.
More in the news
- The World Bank attributing its forecast to upswing in consumption and investment. It said India will continue to be the fastest growing major economy in the world.
- Domestic demand has strengthened as the benefits of structural reforms such as the Goods and Services Tax (GST) harmonisation and bank recapitalisation take effect.
- However, the World Bank has also warned that if a trade war between the US and China leads to a global slowdown, the spillover effects on emerging market and developing economies (EMDEs) could be profound.
- China’s economic growth is projected to slow down to 6.2% each in 2019 and 2020 and 6% in 2021.
- In 2018, the Chinese economy is estimated to have grown by 6.5% as against India’s 7.3%.
- In 2017, China with 6.9% growth was marginally ahead of India’s 6.7%, mainly because the slowdown in the Indian economy due to demonetisation and implementation of the Goods and Services Tax (GST), the report said.
Source
The Hindu.