Updated April 26th, 2024 at 19:54 IST

NIPFP forecasts India's FY25 GDP growth at 7.1%

NIPFP highlighted that the Indian government is pursuing fiscal consolidation through increased tax revenues and reduced expenditure.

Reported by: Business Desk
Indian economy | Image:Unsplash
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The National Institute of Public Finance and Policy (NIPFP), an economic think-tank, announced on Friday its projection of India's GDP growth for the current fiscal year at 7.1 per cent. Utilizing high-frequency models, NIPFP derived this estimate.

In a series of tweets, NIPFP highlighted that the Indian government is pursuing fiscal consolidation through increased tax revenues and reduced expenditure.

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NIPFP also noted that in the previous fiscal year, 2023-24, states experienced robust growth in capital expenditure, primarily due to substantial transfers from the central government.

While the Asian Development Bank (ADB) and Fitch Ratings have forecasted India's growth at 7 per cent, other institutions such as the International Monetary Fund (IMF), S&P Global Ratings, and Morgan Stanley have projected a slightly lower growth rate of 6.8 per cent for FY25.

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(With PTI inputs)

 

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Published April 26th, 2024 at 19:54 IST