.jpeg)
India’s GDP Growth Likely Around 7% This Fiscal, Says Gita Gopinath
Gita Gopinath on Indian Economy: Former IMF chief economist Gita Gopinath said that the Indian economy could grow at a rate of around 7% in the current financial year, which is better than the IMF's estimate. The 8.2% growth in the July-September quarter and the RBI's revised estimate indicate strength.
Despite global uncertainties, as well as some internal issues, it is expected that the Indian economy would retain a strong pace during the current fiscal year. The Indian GDP is also expected to grow at a pace of 7% during the current year. This is even better than the IMF's projection, which is 6.6% growth.
The former chief economist at IMF, Gita Gopinath, stated that the growth rate of India was estimated even before the publication of the July to September quarter statistics from the National Statistical Office. The rate of growth of India during this period was 8.2%. After this, the Reserve Bank of India also changed its GDP growth forecast in the current fiscal year from 6.8% to 7.3%.
According to Gita Gopinath, if India maintains a growth rate of around 8% for the next 20 years, it could come very close to achieving the goal of becoming a developed country by 2047. However, she also noted that maintaining high growth rates for such a long period is not easy. This will require sustained economic reforms, increased investment, and improved productivity.
Gopinath stated that India is performing better than predictions made before the trade crisis with the US. Tariff rates have certainly increased, but from the US perspective, the era of extreme tariffs is over. The US is due for midterm elections in 2026, and the likelihood of further uncertainty before the elections is considered low.
Want to get your story featured as above? click here!
Want to get your story featured as above? click here!
She stated that the tariff increases have increased inflationary pressures and increased the cost of living, posing a new challenge. Gopinath believes that India and the US should work together to find a mutually beneficial solution. With oil prices hovering around $60 per barrel, India also has the opportunity to expand energy partnerships with countries other than Russia.
Despite the economic potential, Gopinath cited regulatory complexities as a major challenge. He said doing business in India is still not easy. If regulations are simplified and the pace of reforms is accelerated, India can not only maintain high growth rates but also further strengthen its position in the global economy.
