INDIA TO GROW AT 7.2% IN FY201718, SAYS WORLD BANK

World Bank expects India, the fastest growing major economy in the world, to grow at 7.2% in the current fiscal and further up to 7.7% by 2019-20 on strong fundamentals, reform momentum and improving investment scenario.

“Economic activity ought to accelerate in 2017-18. The GDP is projected to grow at 7.2% from 6.8% in 2016-17. Growth increases gradually to 7.7% by 2019-20, underpinned by recovery in private investments,” World Bank said at the launch of ‘India Development Report’.

The report says that the government’s demonetisation exercise in November 2016 had caused a slight disruption to India’s growth recovery, following a favourable monsoon last fiscal year, but things seems to be improving.

“India remains the fastest growing economy in the world and it will get a boost from its approach to the GST, which will reduce the cost of doing business for firms, reduce logistics cost of moving goods across states, while ensuring no loss in equity,” said Junaid Ahmad, World Bank Country Director in India. The World Bank report also says that the overall impact of GST on equity and poverty is likely to be positive.

WORLD BANK SAYS INDIA REMAINS THE FASTEST GROWING ECONOMY

AND WILL GET A BOOST FROM THE GST REGIME