India’s GDP growth will steadily rise from 7.4% to 7.5% in 2018-19 and to 7.6% in 2019-20, according to Fitch Ratings, which said growth would be boosted by the goods and services tax, increased public spending on infrastructure, and a supportive monetary policy over the last two years.
The ratings agency added that the recovery in global growth was strengthening, with world GDP growth expected to pick up to 3.1% in 2018 from 2.5% in 2016. Fitch noted this would be the highest rate seen since 2010. “We do, however, expect investment to gradually pick up from current lows, on the back of the transmission of supportive monetary policy of the past two years and stepped-up structural reforms,” Fitch Ratings said in a report.