CEA sees 8% GDP growth in FY24

A lot would depend on how the monsoon shapes up. Although the expectations are that there will be an above-normal monsoon, spatial and temporal distribution will matter -- V Anantha Nageswaran, CEA

New Delhi: Chief Economic Adviser V Anantha Nageswaran on Wednesday said there was a high possibility of GDP growth touching 8 per cent in FY24 on the back of robust growth registered during the three quarters of the financial year ended March 2024.

India’s gross domestic product (GDP) grew 8.4 per cent in the third quarter ended December 2023. In the second quarter, the GDP growth was 7.6 per cent, while 7.8 per cent in the first quarter.

“The IMF has projected a growth rate of 7.8 per cent for FY24. But if you look at the trajectory of growth in the first three quarters, obviously, the possibility that the growth rate touches 8 per cent is quite high,” he said at an event organised by NCAER here.

This is higher than RBI’s estimate of 7.5 per cent growth for the Indian economy in 2023-24. For the ongoing financial year, he said, the International Monetary Fund has an estimate of 6.8 per cent but the Reserve Bank of India expects a 7 per cent GDP growth for FY25.