WASHINGTON: India's enlargement remains "quite robust" into the long run, the IMF has stated despite moderately downgrading the country's enlargement projection for 2018-19 due to prime oil costs and a decent financial policy regime.
The International Monetary Fund (IMF) on Monday forecast a enlargement fee of 7.three in keeping with cent in 2018 and 7.five in keeping with cent in 2019 for India, which used to be down via zero.1 in keeping with cent and nil.three in keeping with cent, respectively, than its April projections.
"India's growth remains quite robust into the future. It is down but it is growing very strongly," Maurice Obstfeld, Economic Counsellor and Director of the Research Department of the International Monetary Fund (IMF), advised journalists at a news conference.
"For India, the main factor is the rise in oil prices, and India is an oil importer. But also, the general tightening in global financial conditions is playing a role in affecting India's growth. Those are the main factors behind the downgrade," Obstfeld stated.
According to Gian Maria Milesi-Ferretti, Deputy Director, IMF Research Department, with tighter global financial prerequisites and higher oil costs bringing emerging inflationary pressures, the financial policy has tightened.
"It is a bit tighter than under our forecast in April. That adds to oil and tighter global financial conditions in taking a little bit off growth for next year," he stated.
The International Monetary Fund (IMF) on Monday forecast a enlargement fee of 7.three in keeping with cent in 2018 and 7.five in keeping with cent in 2019 for India, which used to be down via zero.1 in keeping with cent and nil.three in keeping with cent, respectively, than its April projections.
"India's growth remains quite robust into the future. It is down but it is growing very strongly," Maurice Obstfeld, Economic Counsellor and Director of the Research Department of the International Monetary Fund (IMF), advised journalists at a news conference.
"For India, the main factor is the rise in oil prices, and India is an oil importer. But also, the general tightening in global financial conditions is playing a role in affecting India's growth. Those are the main factors behind the downgrade," Obstfeld stated.
According to Gian Maria Milesi-Ferretti, Deputy Director, IMF Research Department, with tighter global financial prerequisites and higher oil costs bringing emerging inflationary pressures, the financial policy has tightened.
"It is a bit tighter than under our forecast in April. That adds to oil and tighter global financial conditions in taking a little bit off growth for next year," he stated.
India's growth remains quite robust into future: IMF
![India's growth remains quite robust into future: IMF]()
Reviewed by Kailash
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July 18, 2018
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