Correct Answer : Option (D) - 6.8%
Moody’s, the global credit rating agency, has raised its GDP forecast for India in 2024 to 6.8%, reflecting a positive economic outlook. This revision is based on India’s position as the fastest-growing economy among G20 nations, supported by robust growth prospects and policy continuity.
Factors Driving India’s Economic Growth :
1. Strong Growth Trajectory : India’s consistent growth trajectory contributes significantly to its economic prospects.
2. Stable Inflation : The country’s stable inflation rate further supports its economic stability and growth potential.
3. Policy Continuity : Moody’s expects policymakers to maintain continuity in their economic policies, providing a conducive environment for sustained growth.
Projections for 2025
1. Continued Momentum : Moody’s projects India’s GDP growth momentum to persist into 2025, with a forecasted growth rate of 6.4%.
Role of Reserve Bank of India (RBI)
1. Policy Stability : The agency anticipates the RBI to maintain its policy rate, offering additional support for economic stability and growth momentum.
Government’s Economic Vision
1. Sustainable Growth : The government aims to foster sustainable economic growth and address critical infrastructure gaps across sectors, aligning with its long-term vision.
Investor Confidence and International Optimism
1. Resilience Amid Uncertainties : Moody’s upward revision underscores growing investor confidence and international optimism about India’s ability to navigate challenges and leverage opportunities for sustained growth.
Published On : March 5, 2024
Category : Indian Economy
