India's growth rate was anticipated by the IMF on Tuesday to be 6.1% in 2023, which represents an increase of 0.2 percentage points from the April forecast.
The International Monetary Fund (IMF) stated that this reflects the "momentum" from greater-than-expected growth in the fourth quarter of 2022 as a result of stronger domestic investment.
"Growth in India is projected at 6.1 percent in 2023, a 0.2 percentage point upward revision compared with the April projection," it stated in its most recent report of the World Economic Outlook.
Global growth is anticipated to slow from an estimated 3.5% in 2022 to 3% in both 2023 and 2024, according to the research.
Even while the projection for 2023 is slightly better than what was projected in the World Economic Outlook (WEO) for April 2023, it is still low by historical standards.
The increase in policy rates by central banks to combat inflation continues to have a negative impact on economic growth. According to the report, global headline inflation is predicted to decrease from 8.7% in 2022 to 6.8% in 2023 and 5.2% in 2024.
It added that projections for inflation in 2024 have been upgraded and that underlying (core) inflation is expected to drop more gradually.
According to the IMF, the recent resolution of the US debt ceiling crisis and earlier this year's aggressive government response to US and Swiss banking instability decreased the immediate chances of financial sector unrest.
