IMF projects India's GDP growth at 11.5% in 2021

PIYUSH GOYAL CALLS PROJECTION AS BRIGHT STAR IN GLOBAL ECONOMY

NEW DELHI: With International Monetary Fund (IMF) projecting that India will reclaim the status of world's fastest-growing economy and projected its growth at 11.5% in 2021, experts said that India is rebounding to achieve the target of a USD 5 trillion economy.

Commerce and Industry Minister Piyush Goyal termed the IMF projections for India as "Bright star in the global economy."

"Bright Star in Global Economy: India to continue its growth story at rapid pace under PM @NarendraModi ji, with @IMFNews projecting an impressive 11.5% growth rate for India in 2021. It makes India only major economy to register double-digit growth in 2021," Goyal tweeted.

Charan Singh, CEO, EGROW Foundation and former RBI Chair Professor said, "As was expected, and I had been arguing that India's fundamentals are strong, IMF, in its latest release has projected India's growth at 11.5% in 2021 and 6.8% in 2022. This is the highest growth rate to be recorded by any country."

Singh said that IMF observed that the substantial revision in India's growth projection is because of stronger than expected recovery after lockdown.

"Hence, India has saved the lives of people in lockdown, and now galloping to recoup growth trajectory. This has been due to the wellcalibrated, adequately sequenced policies of the Government.

Thus, a V-shaped recovery is on the way, and India is rebounding, to achieve a USD 5 Trillion Economy, despite the Covid set-back," he added.

In its latest World Economic Outlook update released on Tuesday, the IMF predicted that India's gross domestic product (GDP) will grow at the pace of 11.5% in 2021. IMF projections show that India's economy will grow much better than China which is predicted to grow at 8.1%, followed by Spain (5.9%), France (5.5%) and United States (5.1%).