OECD raises India’s growth forecast to 6.6% in ’24,’25

India’s economy will bloom by 6.6 per cent in 2024 and 2025, said the Organisation for Economic Cooperation and Development (OECD) in its updated forecast report on Thursday.

This marks an upward revision from OECD’s Interim Economic Outlook issued in February, when it predicted the India’s economy to grow by 6.2 per cent in 2024 and by 6.5 per cent in 2025.

“GDP growth is projected at 7.8 per cent in FY 2023-24 and around 6½ per cent in each of the following two fiscal years. Domestic demand will be driven by gross capital formation, particularly in the public sector, with private consumption growth remaining sluggish. Exports will continue to grow, especially of services such as information technology and consulting where India will continue to increase its global market share, supported by foreign investment. Headline inflation will decline gradually, although uncertainty about food inflation remains elevated.” OECD’s updated forecast report read.