India Ratings pegs FY23 GDP growth at 7.6%

Agency expects fiscal deficit at 5.8-6%

India Ratings and Research on Thursday said the country’s economy is likely to grow by 7.6% in 2022-23.

The agency said the economy will show a meaningful expansion, after a gap of two years, as the real GDP in 2022-23 is expected to be 9.1% higher than that in 2019-20 (pre-COVID level).

“However, the size of the Indian economy in FY23 will be 10.2% lower than the FY23 GDP trend value,” India Ratings said. “A continued weakness in private consumption and investment demand is estimated to contribute 43.4% and 21%, respectively, to this shortfall,” it added.