NEW DELHI: Amid fears that the world is slipping into recession, India may emerge as the strongest major economy, with a 7% growth rate in FY23. Economic Advisory Board to Prime Minister Member (EAC-PM) Sanjeev Sanyal said on Sunday. He noted that in an externally benign environment like the early 2000s when the world economy was growing, India can grow by 9%.
“We are clearly entering an environment where many countries around the world will face much slower growth or even slide into recession. This is due to a combination of factors ranging from tighter monetary policy to higher energy costs to disruptions from the Ukraine war,” he said.
That World Bank on October 6 forecast a growth rate of 6.5% for the Indian economy for 2022-23, down a percentage point from June forecasts, citing the deteriorating international environment. “Under these circumstances, India will emerge as perhaps the strongest of all the world’s major economies, with a GDP growth rate of around 7% in the current fiscal year,” Sanyal said.
He stressed that the cumulative effect of the Modi government’s supply-side reforms over many years has meant that India’s economy is now much more flexible and resilient than it used to be.
“We are clearly entering an environment where many countries around the world will face much slower growth or even slide into recession. This is due to a combination of factors ranging from tighter monetary policy to higher energy costs to disruptions from the Ukraine war,” he said.
That World Bank on October 6 forecast a growth rate of 6.5% for the Indian economy for 2022-23, down a percentage point from June forecasts, citing the deteriorating international environment. “Under these circumstances, India will emerge as perhaps the strongest of all the world’s major economies, with a GDP growth rate of around 7% in the current fiscal year,” Sanyal said.
He stressed that the cumulative effect of the Modi government’s supply-side reforms over many years has meant that India’s economy is now much more flexible and resilient than it used to be.
