With the support of new growth paradigms such as India's pursuit for Viksit Bharat by 2047, the country has emerged as a potential growth powerhouse in the global economic system, said PHDCCI Economic Monitor for October 2024 prepared by PHD Research Bureau, PHD Chamber of Commerce and Industry.
India has surprised the world with its resilient economic growth trajectory in recent years. The post-COVID years have witnessed a robust GDP growth at 9.7 per cent in 2021–22, 7.0 per cent in 2022–23 and 8.2 per cent in 2023–24 averaging at more than 8 per cent during the last three years, said Sanjeev Agrawal, President, PHD Chamber of Commerce and Industry in a press statement.
He added that we are hopeful that GDP growth will surprise this year too and will be significantly above the forecasts of 7 per cent by many organisations.
The PHDCCI economic monitor analyses the factors that influence India’s macroeconomic fundamentals, trade and investment flows, and global economic scenario along with developments in India’s states. India’s macroeconomic fundamentals remained strong in recent months, supported by the significant deceleration in CPI Inflation and steady growth in IIP, Core Infra, Exports, Bank Credit and financial markets, according to PHDCCI Economic Monitor.
India’s forex reserves have made news highs once again in recent months though global headwinds persist. The economy and business policies remain robust with the strengthening of reforms at the central and state levels, said the PHDCCI Economic Monitor.
Despite the global headwinds, India will be stronger and resilient, going forward. The economy will continue to grow robustly supported by strong consumption demand and the steady resurgence of private investments, said PHDCCI Economic Monitor. The state’s economic environment also witnesses various developments across different socio-economic segments. States are in healthy competition and adopting the best practices of each other to attain higher growth and attract more and more investments in their respective territories.
On the international front, many economies are facing deceleration in GDP growth rates and the inflation trajectory in some economies is also still beyond their tolerance levels. However, apart from this mixed trend the US Fed came out with a major surprising move, reducing the fed rate by 1/2 percentage points to the 4.75 per cent to 5 per cent range, given moderate job gains, slight upward movement of the unemployment rate but low and solid expansion of economic activity, said the Economic Monitor.
