(LiveMint)
India’s economy is projected to grow 7.6% in fiscal year 2018-19, remaining the fastest growing economy in the world, as robust private consumption and benefits from past reforms help the country’s GDP gain momentum but sustained recovery in private investment remains a crucial challenge, according to a UN report.
The UN World Economic Situation and Prospects (WESP) as of mid-2018, launched at United Nations on Thursday, said GDP growth in India is expected to climb to 7.5 and 7.6% in fiscal years 2017-18 and 2018-19 respectively. This is a substantial recovery from the 6.7% growth India registered in fiscal year 2017. “Among the major economies, growth in India is gaining momentum, underpinned by robust private consumption, a slightly more supportive fiscal stance and benefits from past reforms,” the report said.
It added that although capital spending has shown signs of revival, a more widespread and sustained recovery in private investment remains a crucial challenge in India. In China, growth is expected to remain solid, supported by robust consumer spending and supportive fiscal policies.
