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Signs of growth rebound ahead: Economic review
Mint New Delhi
|December 27, 2024
India's GDP is expected to grow at 6.5% in 2024-25 despite a slowdown in investment growth due to reduced public expenditure, private sector caution, global uncertainties, and concerns over excess capacity and dumping, the Union finance ministry said in its November economic review released on Thursday.
A 6.5% pace is at the low end of the ministry's earlier 6.5-7% growth projection for FY25.
The ministry in its latest review projected a bright growth outlook for the fiscal third quarter, stating that while rural demand remained resilient, urban demand showed signs of rebounding in the first two months of the quarter (October and November).
This comes after India's GDP growth in the second quarter (July-September) came in at a disappointing 5.4%, its slowest in nearly two years, dragged by a slowdown in manufacturing and urban consumption and disappointing corporate earnings.
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