IMF raises India’s GDP growth projection to 6.1% in 2023-24

The International Monetary Fund (IMF) on Tuesday slightly raised India’s GDP projection for the current fiscal to 6.1 per cent from 5.9 per cent. However this projection by IMF is still lesser than the 6.5 per cent growth projected by RBI for 2023-24. The IMF has also cautioned that persistent challenges could impact the medium term outlook. “Growth in India is projected at 6.1 per cent in 2023, a 0.2 percentage point upward revision compared with the April projection, reflecting momentum from stronger-than-expected growth in the fourth quarter of 2022 (financial year 2022-23) as a result of stronger domestic investment,” the IMF said in an update to its World Economic Outlook (WEO) report. The revision is mainly driven by fourth quarter growth of 2022-23, which was led by higher domestic investments.