In its annual report, which was made public on May 30, the Reserve Bank of India (RBI) predicted that the GDP will expand by 7% in the fiscal year 2024–2025.
Despite ongoing challenges, the economy proved resilient in FY24, according to the central bank.
According to the research, the Indian economy grew strongly in 2023–2024 (the April 2023–March 2024 fiscal year), with real GDP growth picking up to 7.6 percent from 7.0 percent the year before.
The RBI’s balance sheet is at Rs 70.48 lakh crore, which is greater than the combined GDPs of Bangladesh and Pakistan.
According to the RBI, this was the third year in a row that growth reached at least 7%. “With risks evenly balanced, the real GDP growth for 2024–25 is projected at 7.0 percent.”
According to the Reserve Bank’s Annual Report for 2023–2024, the unfavorable global macroeconomic and financial environment is causing the Indian economy to struggle.
According to the analysis, given the macroeconomic and financial stability of the environment, the Indian economy is well-positioned to accelerate its development trajectory over the coming ten years.
It stated, “Consumption demand will increase as headline inflation eases towards the target, especially in rural areas.” The RBI also emphasized that frequent climate shocks and the quick deployment of AI/ML (artificial intelligence/machine learning) technology will provide difficulties for the Indian economy.