In its latest report, the Asian Development Bank (ADB) on Wednesday retained India’s economic growth forecast of 6.4 per cent for the current fiscal and 6.7 per cent for the next fiscal, saying that strong domestic demand will support the sector. Will continue to support. recovery.
In an update to its Asian Growth Outlook, the ADB said inflation is expected to continue to decline due to a decline in fuel and food prices, returning to near pre-pandemic levels. It forecast inflation for developing economies in Asia to be 3.6 percent this year and 3.4 percent in 2024.
The Indian economy will grow by 7.2 percent in the fiscal year 2022-23 ending March 2023. “Asia and the Pacific continue to recover from the pandemic,” said Albert Park, ADB’s chief economist.
“Domestic demand and services activity are driving growth, while many economies are also benefiting from a strong recovery in tourism,” Park said. However, industrial activity and exports remain weak, and global growth and demand next year will be weak. The outlook has deteriorated.”
ADB’s April forecast for India
In April, the ADB projected that India’s economic growth is expected to slow down to 6.4 per cent in the current fiscal due to tighter monetary conditions and higher oil prices.
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Know about Asian Development Bank
Established on December 19, 1966, the Asian Development Bank (ADB) is a regional development bank headquartered at the Ortigas Center in Mandaluyong City, Philippines. To promote social and economic development in Asia, the bank also maintains 31 regional offices around the world. From 31 members at its inception, ADB now has 68 members. The bank accepts members of the United Nations Economic and Social Commission for Asia and the Pacific (UNESCAP) and non-regional developed countries.
ADB also issues an annual report summarizing its operations, budget, and other materials for review by the public. Modeled on the World Bank, the ADB is also an official United Nations observer. The current president of the organization is Masatsugu Asakawa.
(With inputs from PTI)