Life Style

S & P lowers India’s growth forecast for 2011 to 7.3% due to inflation and Ukrainian war

The S & P Global Ratings has lowered India’s growth forecast for the current year from 7.8% to 7.3% this year, based on rising inflation and worsening conflict between Russia and Ukraine. In a global macro update of growth forecasts, S & P said inflation remained high over the long term as a concern.

In December last year, S & P fixed India’s gross domestic product (GDP) growth at 7.8% for the 2022-23 fiscal year. The news agency reported that the growth rate for the next fiscal year will be only 6.5%.

The S & P Global Ratings has lowered India’s growth forecast for the current year from 7.8% to 7.3% in the wake of rising inflation and the fierce conflict in Ukraine. S & P said inflation was a concern over the long term, requiring central banks to raise interest rates higher than current prices, risking landing difficulties.

“Risks to our forecasts have picked up since the last forecast round and are steadily declining. The conflict between Russia and Ukraine has been dragged and escalated, then ended early and de-escalated. We believe it is likely to do so, “S & P said.

The Indian economy is estimated to have recorded GDP growth of 8.9% last year (2021-22).

S & P has fixed the consumer price index or retail inflation rate for the current fiscal year at 6.9%.

Fiber2Fashion News Desk (DS)



S & P lowers India’s growth forecast for 2011 to 7.3% due to inflation and Ukrainian war

Source link S & P lowers India’s growth forecast for 2011 to 7.3% due to inflation and Ukrainian war

Back to top button