IMF on Indian Economy | The year 2023 will be full of recession for the world, despite the decline, India will be the country with the fastest growth rate.

The International Monetary Fund has released a report on how the coming year is going to be for the world economically. The IMF released a report stating that the world could face recession. Along with other countries of the world, the Indian economy may also face a mild recession in the year 2023. However, India’s economy will still be in the best condition according to other countries. The International Monetary Fund (IMF) on Tuesday released its January update of the World Economic Outlook and said that it was expecting some slowdown in the Indian economy in the next financial year and during the current fiscal the growth rate would be 6.8 per cent to 6.1 per cent. had guessed. According to the latest World Economic Outlook, global growth is projected to decline from an estimated 3.4 percent in 2022 to 2.9 percent in 2023, then increase to 3.1 percent in 2024. For 2024 the IMF said global growth would accelerate slightly to 3.1%, but that is a tenth of a percentage point below its October forecast as the full effect of central bank interest rate hikes slows demand.

IMF gave these indications regarding the Indian economy

IMF chief economist Pierre-Olivier Gaurinchas said recession risks had waned and central banks were making progress in controlling inflation, but more work needed to be done to curb prices and new disruptions in Ukraine. May come from further escalation of the war and China’s fight against COVID-19. ,

Gouryinches told Reuters that “We have to be prepared to expect the unexpected, but this may well represent a turning point, with growth bottoming out and then inflation falling again.

The director of the IMF’s research department told reporters “In fact our growth projections for India are unchanged from our October outlook. We have a growth of 6.8 per cent for this current financial year, which runs till March, and then we are expecting some deceleration to 6.1 per cent in FY2023.

“Growth in India will slow from 6.8 per cent in 2022 to 6.1 per cent in 2023, before recovering to 6.8 per cent in 2024,” said the IMF’s World Economic Outlook update.

According to the report, growth in emerging and developing Asia is expected to pick up to 5.3 percent and 5.2 percent, respectively, in 2023 and 2024, following an expected 4.3 percent slowdown in 2022 due to China’s economy.

strong demand

In its 2023 GDP forecasts, the IMF said it now expects US GDP growth to be 1.4%, up from the 1.0% estimated in October and a 2.0% increase in 2022. It cited higher-than-expected consumption and investment in the third quarter of 2022. , a strong labor market and strong consumer balance sheet.