With an estimated growth rate of 6.8 per cent and inflation “much under control,” India is performing considerably well. Majorly in terms of demand, India is an inward-looking economy. This happened because a significant component of the GDP is essentially addressed to the domestic economy
State Bank of India Chairman Dinesh Khara said that the global recession impact, is unlikely to be as pronounced in India as compared to other countries. The continuously increasing recession has left the International Monetary Fund and the World Bank in fear.
With an estimated growth rate of 6.8 per cent and inflation “much under control,” India is performing considerably well. He said this on the side-lines of the annual meeting of the International Monetary Fund and the World Bank on 14 October.
He believes that, majorly in terms of demand, India is an inward-looking economy. This happened because a significant component of the GDP is essentially addressed to the domestic economy.
Khara said that if considering the present situation of the global economy, India is performing reasonably well given its estimated growth rate of 6.8 per cent and inflation “much under control” despite the global headwinds. The primary reason inflation is not demand-led however, it is essentially supply-side inflation.
If talking about all economies across the globe, all are going through a rough patch Khara added. Also, he stated that the government is focused on dealing with all such factors and expectedly India’s growth prospects are on the lines on improvement.