The Reserve Bank of India (RBI) and the State Bank of India (SBI) have given estimates about the country’s GDP growth. There is a difference in the estimates of these two banks. While the RBI says that the GDP growth can be 7.2 percent in the current financial year. At the same time, SBI has estimated the GDP growth to be 7 percent. Read the full news here…
The world is keeping an eye on India’s GDP growth. Regarding the country’s GDP growth, the country’s largest public sector bank, State Bank of India (SBI), said that it estimated GDP growth to be 7 percent in the current financial year. At the same time, the Reserve Bank of India (RBI) had estimated it to be 7.2 percent.
Due to global concerns and adversities, GDP growth has declined marginally by 20 basis points.
Growth may remain 7 percent
SBI said in its report that GDP growth for the current financial year may be 7 percent. SBI’s estimate is 20 bps lower than RBI’s estimate which is largely based on global adversities. However, the report clearly stated that despite the rating downgrade, the Indian economy is continuously performing strongly. This year India is expected to be one of the fastest growing economies in the world.
The SBI report said that its GDP estimate for FY25 is based on several positive factors. This includes an increase in fiscal buffers, improvement in agricultural activity due to better monsoon conditions and an increase in private capital expenditure amid strong manufacturing activity.
RBI MPC meeting
The RBI MPC meeting started from 6 August 2024. The decisions of this meeting were announced by RBI Governor Shaktikanta Das on 8 August. Announcing the decisions of the MPC meeting, Shaktikanta Das said that GDP growth is expected to be 7.2 percent for the current financial year.
However, RBI has reduced GDP growth to 7.1 percent for the first quarter. At the same time, it was maintained at 7.2 percent for Q2 and 7.3 percent for Q3. Similarly, the economy growth was estimated to be 7.2 percent for the fourth quarter.
Das said that the inflation rate is expected to be 5.1 percent in the financial year 2024-25. Let us tell you that this time also in the MPC meeting, it has been decided to keep the repo rate stable at 6.5 percent.
