India to grow at 6.3%: World Bank

Economy faces challenges from adverse global factors affecting foreign demand and consumption; service sector to remain strong

- Gulveen Aulakh

The World Bank kept its economic growth projection for India at 6.3% for FY24, the same as its previous April estimate. However, it attributed the moderation from FY23’s 7.2% growth to adverse global factors affecting foreign demand and consumption growth.

“The expected moderation is mainly due to challenging external conditions and waning pent-up demand. However, service sector activity is expected to remain strong with growth of 7.4%, and investment growth is also projected to remain robust at 8.9%," the World Bank’s latest India Development Update stated.