‘Slowing Dragons, Roaring Tigers’: Indian Economy Has Track Record Of Strong Growth: S&P – News18

S&P Global Ratings on Wednesday stated India’s economic system has a monitor document of robust progress and retained its 6 per cent progress forecast for present fiscal yr. In Asia-Pacific Credit Outlook 2024 titled ‘Slowing Dragons, Roaring Tigers’, S&P stated gradual capital deepening, beneficial demographics, and bettering productiveness are important progress components.

“India’s economy has a track record of strong growth. We expect this momentum to continue and forecast growth of 6 per cent for FY 2024, then 6.9 per cent for FY 2025 and FY 2026,” S&P stated. It stated India’s financial progress shines brightly. However, its yields stay increased, as they’ve been traditionally, which places further strain on the price of funding India’s giant debt inventory.

While progress helps market confidence and income technology, charges dynamics will probably be an extra determinant of India’s debt trajectory over the following few years, the US-based mostly ranking company stated. Gradual capital deepening, beneficial demographics, and bettering productiveness are important progress components.

“Challenges for unlocking the next phase of growth include labour force participation, climate resilience, and further improvements in business environment,” S&P stated.

It stated the Indian economic system is reliant on robust progress efficiency in providers industries.

The affect of providers within the economic system has grown over time, whereas agriculture and different major industries have diminished financial shares. ”We count on share of providers within the economic system to rise additional as comparative benefits are nonetheless in that house,” it added.

(This story has not been edited by News18 workers and is printed from a syndicated information company feed – PTI)