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IMF reduces India’s FY2023 GDP growth forecast to 6.8%, lowered by 60 bps

IMF – International Monetary Fund in its latest round of forecast lowered the expected GDP growth for the Indian Economy for FY2023 to 6.8%, lower by 60 bps earlier.

This change was emulated from the lower than expected Q1 GDP growth numbers which were announced in the August showing Indian economy grew 13.5% in April-June quarter, lower than the general economists’ consensus forecast of 15% and the RBI’s 16.2%.

Keeping in view the Q1 numbers even RBI lowered it FY2023 projections for GDP Growth to 7% in its latest monetary policy meeting conducted on 30th September, 2022, from earlier 7.2%.

Markedly, IMF kept the FY2024 growth projections for Indian economy unchanged at 6.1%.

IMF also kept the global economy growth forecasts unchanged at 3.2%.