India's economy grows at fastest pace in a year
India's economy grew at its fastest rate in a year in the April-June quarter, driven by strong services activity and demand, but the dry monsoon season could limit future growth.
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Posted 8/31/2023, 3:07:00 PM
cnn.com
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India's GDP grew at a rate of 7.8% in the April-June period, fueled by a strong services sector and government infrastructure spending.
Economists at Nomura and Morgan Stanley raise their growth forecast for India's fiscal 2024 after the economy grew at its fastest pace in a year in the April-June quarter, while BofA Global Research cuts their estimates as quarterly growth falls below their forecast.
India's GDP growth reached a four-quarter high of 7.8% in Q1FY24, with private consumption and services picking up pace, but challenges lie ahead with the sustainability of services growth and concerns over the monsoon and agriculture sector.
India's services industry experienced a slight slowdown in August, but overall conditions remained strong with record-high exports, indicating that the country will continue to be the fastest-growing major economy.
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India's economic growth is estimated to be closer to 7.5%, with the country's first quarter growth at 7.8%, reflecting India's increasing stature in the world.