Reserve Bank(RBI) Governor Shaktikanta Das said on Wednesday that the Indian economy can grow at the rate of 7% in the next financial year 2024-25. Besides, inflation is expected to remain subdued.
In the CII session organized on the topic ‘High Growth, Low Risk: India’s Story’ at the ongoing World Economic Forum Annual Conference in Davos, he said that the structural reforms undertaken by the government in recent years have helped the Indian economy. Long term growth prospects got strengthened.
He said, ‘Amidst the broadly challenging economic environment globally, India is setting an example of growth and stability. On the global economic front, inflation has declined, but the growth rate remains low. He said that India’s GDP growth rate is expected to be 7.2% in the current financial year.
‘Committed to bringing inflation rate to 4%’
Das said, ‘Core inflation has gradually and steadily declined. We expect that the average CPI inflation rate next year will be 4.5% and RBI is committed and confident to bring the inflation rate to the target of 4% as soon as possible. He said, ‘The government has entrusted the Reserve Bank with the task of ensuring that retail inflation remains at 4 percent with a margin of 2% on both sides.’
