Budget 2023: Indian economy to grow at 6-6.8% in FY24 according to Economic Survey

Sources have indicated that the Gross Domestic Product (GDP) estimate for the fiscal year 2023, which will be announced during the Budget Session starting at 11 am, is expected to be in the range of 6 to 6.8%. Prior to Finance Minister Nirmala Sitharaman presenting the Economic Survey, the President of India, Droupadi Murmu, will address both houses of Parliament in a joint session.

According to sources the Reserve Bank of India’s measured inflation is 6.8% over or below the desired range. According to the baseline scenario the annual government survey that depicts the state of the economy is projected to show that growth willbe 6.5% for the upcoming fiscal year (FY2023-24).

A day before the Union Budget is presented, Chief Economic Adviser V. Anantha Nageswaran typically tables the Economic Survey. According to the sources, India’s GDP is projected to expand by 7% in FY23 as opposed to 8.7% in FY22.

According to further sources, the economic study may forecast growth in MSME credit of 30.5% between January 2022&November 2022. The central government’s capital expenditure may be estimated at 63.4% from April to November.

The poll can draw attention to how Indian economy is doing in comparison to the overall economic situation.It should be emphasized that experts believe India’s development would stall this year due to recession concerns & lower external demand.

The International Monetary Fund-IMF had earlier in the day observed that the present global recession fears may cause the Indian economy to expand by only  6.1% in 2023,as opposed to 6.8% in 2022. It also stated tha in accordance with its World Economic Outlook,growth rate of the Indian economy will increase to 6.8% in 2024.

According to IMF Chief Economist and Research Department Director Pierre-Olivier Gourinchas,external headwinds would have a significant impact on India’s growth rate in 2023.

Gourinchas said, “We have 6.8 percent growth for this current fiscal year, which runs until March, and then we’re expecting some slowdown to 6.1 per cent in [the] fiscal year 2023.And that is largely driven by external factors.”

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