Indian Economy: The world’s leading analytics rating agency CRISIL has made an important estimate regarding the Indian economy. According to CRISIL, the country’s economy will grow at the rate of 6 percent in the financial year 2023-24. At the same time, the average rate of the country’s economy is expected to be 6.8 percent in the next five years. It is worth noting that Crisil’s GDP estimation is according to the estimates of other companies. According to this, despite the recession and increase in interest rates, the income of companies is likely to remain in double digit.
The effect of increase in interest rates on GDP
According to the analytics company CRISIL, the effect of increase in interest rates can be seen on the domestic front. From May last year till now, the Reserve Bank of India has increased a total of 250 basis points. In such a situation, the rising interest rate can show its effect on the domestic front in the financial year 2023-24. Crisil MD and CEO Amish Mehta said India’s medium-term growth prospects are good. In the current situation, growth is visible in 9 per cent infrastructure and industrial capex. At the same time, further growth can be seen in this sector and it can reach up to 15 percent in the year 2027.
Better rabi crop will help in reducing inflation rate
Along with this, Amish Mehta also said that a good harvest of Rabi crop can help in curbing the inflation rate. Along with this, he said that the Russia-Ukraine war, the events unfolding around the world, the rising interest rates due to the high inflation rate have made the global economy pessimistic.
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