Moody’s lifts GDP forecast to six.8% from 6.1% for 2024 – Instances of India

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NEW DELHI: World scores company Moody’s Buyers have raised India’s GDP development forecast for 2024, citing robust demand momentum and fading international headwinds.
“India’s economic system has carried out properly and stronger-than-expected information in 2023 has prompted us to lift our 2024 development estimate to six.8% from 6.1%. India is prone to stay the quickest rising amongst G20 economies over our forecast horizon,” Moody’s mentioned. in a report. The company mentioned India’s actual GDP expanded 8.4% year-over-year within the fourth quarter of 2023, leading to 7.7% development for full-year 2023.
“We imagine that with international headwinds fading, the Indian economic system ought to be capable to comfortably register 6%-7% actual GDP development and we due to this fact forecast round 6.8% development in 2024, adopted by 6.4% in 2025,” mentioned Moody’s. It mentioned capital spending by govt and powerful manufacturing exercise have meaningfully contributed to the sturdy development outcomes in 2023, including that it expects coverage continuity after the final election and continued concentrate on infrastructure growth.
Moody’s mentioned high-frequency indicators confirmed that the economic system’s robust third and fourth quarter momentum carried into the primary quarter of this 12 months. Strong GST collections and credit score development counsel city consumption demand stays resilient.