Economic Survey 2022-23 Tabled in Parliament; India’s GDP to Grow at 6.5 Per Cent in FY24

New Delhi: Finance Minister Nirmala Sitharaman tabled the Economic Survey 2022-23 in Parliament today. According to it, India’s GDP growth rate in Financial Year 24 (FY24) will be 6.5 per cent. The growth for the continuing financial year was projected at 7 per cent and in FY22 it was 8.7 per cent.

But the survey claimed that Indian economy will continue to be the fastest-growing economy in the world. The economy has nearly recouped what was lost, renewed what had paused; re-energised what had slowed during the pandemic,” said the Economic Survey 2022-23 document.

The survey projected GDP in nominal terms to be 11 per cent in the next financial year, while the real GDP growth is likely to be in the range of 6-6.8 per cent, depending on the global economic and political developments.

It also said that the Reserve Bank of India’s inflation projection of 6.8 per cent is not enough to deter private consumption, even though it is higher than the central bank’s upper limit of 6 per cent. The inflation for FY23 is also unlikely to have dampened the investment sentiment, noted the Economic Survey.

The survey, however, highlighted that borrowing costs may remain “higher for longer” and entrenched inflation may prolong the tightening cycle.