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IMF forecast UPSC NOTE


  • The International Monetary Fund (IMF) on Tuesday raised its growth projection for India’s GDP in the current fiscal year 2024/25 to 6.8%, and forecast a 6.5% expansion next year

  • The projected moderation in India’s growth rate from 7.8% last fiscal year was due to a tightening in monetary and fiscal policy, necessary to bring inflation down

  • Inflation was projected to be 4.6% this year and 4.2% next year

  • Growth could end up higher than expected due to strengthening private demand

  • Also, an upside comes from the potential for reforms that would liberalise foreign investment and really boost exports and boost jobs and labour force participation

  • The global economy had remained “remarkably resilient” with steady growth and inflation returning to target and had “defied expectations of stagflation and global recession” in the wake of the post-pandemic supply disruptions, Russia’s invasion of Ukraine and subsequent global energy and food crises as well as the monetary tightening across economies



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Learnerz IAS | Concept oriented UPSC Classes in Malayalam: IMF forecast UPSC NOTE
IMF forecast UPSC NOTE
Learnerz IAS | Concept oriented UPSC Classes in Malayalam
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