“We also raise our forecast for 2024-25 GDP growth to 7 per cent from 6.5 per cent earlier,” Barclays added.
Barclays raised India’s GDP growth forecast for 2023-24 to 7.8 percent, and revised their prediction for 2024-25 upward by 50 basis points to 7 percent.
“Considering today’s print and strong momentum put up by growth numbers across Q1-Q3 of 2023-24, we raise our 2023-24 GDP growth forecast to 7.8 per cent with upside risks given Q1-Q3 2023-24 growth is currently averaging 8.2 per cent ,” said Rahul Bajoria, managing director and head of EM Asia (ex-China) Economics at Barclays, reported Money Control.
“We also raise our forecast for 2024-25 GDP growth to 7 per cent from 6.5 per cent earlier,” he added.
Barclays expects the steady domestic growth momentum to continue, supported by continued increases in government capex, much anticipated rising private investment, and monetary easing.
India’s gross domestic product (GDP) grew 8.4 percent during the October-December 2023 quarter (Q3 FY24) against the 4.3 percent growth recorded a year ago, according to the latest official data released on Thursday, February 29. The Q3 FY24 GDP growth is higher than what was expected by analysts.
For the Q3 FY24, analysts had expected a slower GDP growth of between 6 percent and 7 percent. India’s economy had grown 7.6 percent in the preceding July-September 2023 quarter.
The NSO, in its second advance estimate of national accounts, pegged the country’s growth at 7.6 per cent for 2023-24. It had projected a growth of 7.3 per cent for the current fiscal in its first advance estimates released earlier in January 2024. The NSO also revised the GDP growth for 2022-23 to 7 per cent against the earlier estimate of 7.2 per cent.
PM Modi On India’s GDP At 8.4%
PM Modi said that his government will continue its efforts to bring fast economic growth. “Robust 8.4% GDP growth in Q3 2023-24 shows the strength of Indian economy and its potential. Our efforts will continue to bring fast economic growth which shall help 140 crore Indians lead a better life and create a Viksit Bharat!,” PM Modi wrote on X.