India's GDP growth to expand about 8% in next two years: S&P

New Delhi: International credit rating agency Standard & Poor's (S&P) has struck a buoyant note, penciling in a 8% growth for India in the next two years.

"Growth quality in India continues to improve and we forecast its GDP expanding by about 8% in fiscal year 2017 and 2018," S&P said in "APAC Economic Snapshots--July 2016" released on Thursday.

This is much higher than forecast of other international agencies. IMF has forecast 7.4% growth in the next two years.

The rating agency has, however, put some condition before India can climb to this growth, including a good selection of Reserve Bank of India governor. Indian economy expanded 7.6% in FY16.

"That view is predicated on the steady, ongoing structural reform push, including GST passage, a good monsoon season this year, and a wise choice to head the Reserve Bank," S&P said.

Along with India, the rating agency also had a more positive view of the Asia-Pacific reason. "China's growth should continue to ease throughout the rest of this year, but we have raised our GDP forecasts to 6.6% this year and 6.3% next year," it said.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.