Indian economy to grow at 6.5-6.8% in FY25 on high consumption: Deloitte
- IBEF
- December 30, 2024
Deloitte forecasts that the Indian economy will grow between 6.5% and 6.8% this fiscal year, with a slight increase to 6.7% to 7.3% in FY2026, driven primarily by domestic consumption. Mrs. Rumki Majumdar Economist noted that growth in the first half of fiscal 2025 was slower than anticipated due to election uncertainties, heavy rainfall, and geopolitical disruptions affecting domestic demand and exports. Despite these challenges, India displays resilience in areas like consumption trends, services growth, and high-value manufacturing exports. The government’s focus on infrastructure development, digitization, and attracting foreign direct investment (FDI) is expected to enhance overall efficiency and support economic growth.
Looking ahead, Majumdar emphasized that India's growth will depend on its ability to navigate global uncertainties, including geopolitical tensions and supply chain disruptions. She highlighted the importance of focusing on domestic strengths, such as harnessing the demographic dividend and developing a self-reliant manufacturing sector. India can capitalize on emerging opportunities by advancing digitally delivered services and integrating them into global value chains. The upcoming budget will be crucial in outlining strategic investments and policy measures to prepare the workforce for the future and strengthen India's position in manufacturing and global trade.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
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