India's Economy Seen Accelerating to 7.3% Growth Despite Slowing Government Spending
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India's GDP growth rate for 2023-24 is estimated at 7.3%, higher than expected and the fastest in recent years.
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Growth was slower in Modi's second term (4.1% CAGR) than first (7.4% CAGR) due to the pandemic's impact.
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Private consumption growth remains muted at 4.4%, while investment demand has rebounded to 9.3%.
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Government spending growth has slowed to just 3.9%, far below the 7.9% level seen during Modi's first term.
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The drag from net exports has reduced, suggesting India is importing relatively less compared to exports.