Amidst a global recession and pressure created by rising inflation, India has remained resilient in comparison to other major economies. But the headwinds have caught up to the emerging economy, with India's GDP growth being dragged back to 4.4 per cent for October-December quarter, from 6.3 per cent in July-September.
This is the second straight fall for GDP growth, which fell by more than 50 per cent from 13.2 per cent in April-June. It had clocked that growth because of a low base early on in the year, following the impact of the pandemic. The figure is in line with the Reserve Bank of India's prediction of a 4.4 per cent GDP growth for the last quarter of FY23.
As for FY24, the Economic Survey of India is expecting 6.4 per cent GDP growth, while Morgan Stanley is looking at 6.2 per cent. On the other hand India Ratings has set it lower at 5.9 per cent, with further interest rate hikes to buckle rising inflation, expected to affect economic growth.
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