Growth firming up in India, will accelerate further, says World Bank

The Indian economy seems to have recovered from the disruptions caused by demonetisation and the roll out of the Goods and Services Tax (GST), observed the bank.

The World Bank has said growth in India is firming up and has projected it will accelerate to 7.3 per cent in the 2018­19 fiscal and 7.5 per cent in the next two years. 
 
The Indian economy seems to have recovered from the  disruptions caused by demonetisation and the roll out of the Goods and Services Tax (GST), observed  the bank. 
 
It, however, expressed apprehension that domestic risks and a less conducive external environment may impact the macro­economic outlook. 
 
The bank noted that growth reached 6.7 per cent in fiscal year 2017-18, and there was a notable acceleration in recent months.  
 
"Prompted by the adoption of the 'Goods and Services Tax' (GST) and the recapitalisation of banks, growth in India is firming up and it is projected to accelerate further," media reports quoted the World Bank latest report on South Asia.  
 
The bank expects growth in India  to rise to 7.3 per cent in fiscal year 2018-19, and to 7.5 per cent in the following two years. Stronger private spending and export growth will be the key drivers of this growth.
 
Source: ET

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