The World Bank has raised India’s economic growth forecast from 6.6 per cent to 7 per cent for the financial year 2024-25, citing the growth of agricultural output and policies as major factors contributing to employment growth in the economy. This positive outlook on India’s economic growth is also supported by other global rating agencies and multilateral organizations, such as the International Monetary Fund (IMF) and the Asian Development Bank (ADB).
In July, the IMF raised India’s growth projections for 2024 from 6.8 per cent to 7 per cent, highlighting the country’s status as the fastest-growing economy among emerging markets and developing economies. Similarly, the ADB forecasted India’s economic growth at 7 per cent for FY2024 and 7.2 per cent for FY2025, emphasizing that India’s economic growth will remain robust.
The ADB’s Asian Development Outlook (ADO) report in September highlighted that an above-average monsoon in most parts of the country will lead to strong agricultural growth, enhancing the rural economy in FY2024. The World Bank has also stated that the growth in South Asia is expected to increase to 6.4 percent this year, exceeding earlier projections and keeping the region on track to be the fastest-growing in the world.
In its monetary policy on October 9, the Reserve Bank of India (RBI) reiterated and projected India’s GDP growth rate for FY25 at 7.2 per cent. According to RBI Governor Shaktikanta Das, growth for the fiscal year will be supported by robust quarterly performances. This continued positive outlook on India’s economic growth reflects a promising future for the country’s economy and employment opportunities.
Overall, the revised growth forecasts from the World Bank, IMF, ADB, and RBI indicate a strong and resilient Indian economy, driven by factors such as agricultural output, policies fostering employment growth, and robust domestic demand. With a rising working-age population and positive quarterly performances, India is positioned as a key player in the global economy, attracting investments and generating new opportunities for its citizens.
