New Delhi: The Asian Development Bank (ADB) on Wednesday raised its FY24 growth forecast for India to 6.7% from 6.3% announced three months ago, joining a host of agencies to revise up projections citing the country’s stronger-than-anticipated growth of 7.6% in the September quarter.
In its latest report on outlook for developing Asia, the multilateral lender, however, retained its India growth forecast for FY25 at 6.7%.
Recognising accelerated growth momentum, the RBI this month raised its FY24 growth projection for India to 7% from 6.5%, while Nomura increased it to 6.7% from 5.9%, Citigroup to 6.7% from 6.2% and DBS to 6.8% from 6.4%. India recorded a 7.7% expansion in the first half of this fiscal.
It also revised its 2023 growth projection for China to 5.2% from 4.9% earlier. For India, ADB said elevated growth in fixed investment-driven by increased public capital expenditure-will more than make up for lower growth in private consumption expenditure and weaker-than-expected exports amid the external turmoil.
