Growth will continue in the Indian economy
The elections are over and once again the NDA government has taken charge in India under the leadership of Prime Minister Narendra Modi. After the formation of the government, good news for the Indian economy started coming. Recently, the World Bank had said about India’s growth that India’s growth will also continue in the future. Now rating agency Moody’s has also expressed confidence in India’s growth and stated that India will continue to be the fastest growing economy in the Asia-Pacific region.
The world’s largest rating agency, Moody’s, says India will remain the fastest growing economy in the Asia-Pacific region in 2024 and maintain last year’s domestic pace.
Growth will continue
Moody’s says India will continue to be the fastest growing economy in the region, maintaining the same domestic pace as last year. Moody’s believes that policy continuity and encouragement of infrastructure development and private sector investment will continue after the general election. So India’s growth will continue. Moody’s said there is potential for strong portfolio flows into the economies of India and ASEAN countries due to strong scale of corporate lending and attractive valuations. The rating agency estimated last month that India will grow 6.8 percent this year based on continuity of post-election policy and that its growth rate will be 6.5 percent in 2025. Domestic product India’s real gross domestic product (GDP) would increase by 7.7 percent in the year 2023. The economic growth rate in 2022 was 6.5 percent. India has been able to achieve this growth thanks to government capital spending and strong manufacturing activities.
Why does Moody’s trust India?
Moody’s Ratings, in its published report on second-half credit growth for the Asia-Pacific region, said Indonesia, the Philippines and India will be at the forefront of growth in the first half of 2024. These countries will continue to outperform pre-Covid growth figures thanks to increased exports, local demand and government infrastructure spending.
