The World Bank has maintained India’s GDP forecast for FY2024-25 at 6.6%. Earlier in April, the World Bank had also estimated India’s GDP for FY25 at 6.6%.
The World Bank said that India will remain the fastest growing country among the world’s largest economies. However, India’s expansion is expected to slow down.
The World Bank said that after high growth in FY 2023-24, stable growth of an average 6.7% per annum is projected for the three financial years starting from FY 2024-25.
India’s economy will expected to grow at 6.7% in FY 26
The World Bank has projected India’s economy to grow at 6.7% in FY 26 and 6.8% in FY 27. At the same time, the National Statistical Office (NSO) has projected GDP to grow at 8.2% in FY 24.
RBI raised GDP forecast, maintained inflation forecast
- RBI raised GDP growth forecast for FY25 to 7.2%
- RBI maintained inflation forecast for FY2024-25 at 4.5%
What is GDP?
GDP is one of the most common indicators used to track the health of the economy. GDP represents the value of all goods and services produced within the country in a specific time period. It also includes foreign companies that produce within the country’s borders.
There are two types of GDP
GDP is of two types. Real GDP and nominal GDP. In real GDP, the value of goods and services is calculated on the base year’s value or stable price. Currently, the base year for calculating GDP is 2011-12. At the same time, nominal GDP is calculated on the current price.
How is GDP calculated?
A formula is used to calculate GDP. GDP=C+G+I+NX, where C stands for private consumption, G stands for government spending, I stands for investment and NX stands for net exports.
