India’s growth will pick up at the rate of 7.4 percent in Financial Year 2019, said International Monetary Fund (IMF) in Davos on the eve of Narendra Modi’s keynote address at the World Economic Forum (WEF).
According to January update of the World Economic Outlook: Brighter Prospects, Optimistic Markets, Challenges Ahead the growth in FY18 is 6.7 percent and in FY20 it will gain pace at 7.8 percent.
The Indian prime minister will be addressing the WEF opening plenary session on Tuesday and it is learned the growth rate of global economy may gain pace at 3.9 percent in 2018, which will be faster than earlier forecast of 3.7 percent.
The IMF added, “Some 120 economies, accounting for three quarters of world GDP, have seen a pickup in growth in year-on-year terms in 2017, the broadcast synchronised global growth upsurge since 2010.”
It is also said China may grow by 6.8 percent in 2018 and slip to 6.6 percent in 2019. Simultaneously United States will grow at the pace of 2.7 percent and 2.5 percent respectively, which is more than earlier forecast by 0.4 and 0.6 percent respectively.
Opportunities for the world
Room to implement structural and governance reforms
Boost potential output
Make growth more inclusive
Rich asset valuations
Higher inflation and interest rates
Political uncertainty in some countries