Chief Economic Adviser Bullish on GDP Growth, Eyes 8% Growth in FY24

CEA on growth: Chief Economic Adviser V Anantha Nageswaran is optimistic about India's economic trajectory, foreseeing a potential GDP growth of 8 per cent in the fiscal year 2023-24. This confidence stems from the country's robust performance across the first three quarters, surpassing IMF projections of 7.8 per cent. Nageswaran's forecast exceeds the Reserve Bank of India's estimate of 7.5 per cent, signalling a bullish stance on India's economic resilience. 

India's gross domestic product (GDP) showcased a robust expansion of 8.4 per cent in the third quarter concluded in December 2023, following impressive growth rates of 7.6 per cent and 7.8 per cent in the preceding quarters. 

He emphasises the significance of monsoon patterns and ongoing investments in infrastructure for sustained growth. Regarding the recent RBI proposal on infrastructure project financing, Nageswaran refrains from direct commentary, highlighting the evolving nature of the draft guidelines and their potential impact on lending practices.

Addressing recent regulatory developments in the financial sector, particularly the Reserve Bank of India's proposal on infrastructure project financing, Nageswaran refrains from offering explicit commentary, citing the evolving nature of draft guidelines and their potential implications for lending practices. The proposed measures entail higher provisions for under-construction infrastructure projects, with lenders urged to exercise strict vigilance amid emerging stress indicators.

With PTI Inputs