RBI Emphasizes Structural Reforms Amid Global Slowdown and Geopolitical Tensions; India Set to Achieve 7% Real GDP Growth in 2022-23
Image Courtesy: The Economic Times
RBI Foresees Sustained Growth Momentum for India in 2023-24 Amid Easing Inflationary Pressures, as stated in its Annual Report 2022-23. The central bank highlighted that the country's economy would benefit from favorable macroeconomic policies, declining commodity prices, a robust financial sector, and new growth opportunities arising from the global realignment of supply chains.
Image Courtesy: The Hindu
However, the report also cautioned that potential challenges such as sluggish global growth, prolonged geopolitical tensions, and increased volatility in financial markets following stress events in the global financial system could impede growth. To enhance India's medium-term growth potential, the RBI stressed the importance of maintaining structural reforms. Despite global headwinds, the Indian economy is projected to have expanded by 7% in real GDP during the fiscal year 2022-23. The agricultural and allied sectors demonstrated resilience, with a growth of 3.3% in sectoral gross value added (GVA) during FY23, according to the RBI.
Comments