Q3 GDP data today: India's FY24 GDP pegged at 7.3%, H2FY24 growth to ease on lower capex, says NSE Report

livemint.com:

repo rate steady at 6.5 per cent for the sixth straight meeting this month and decided to focus on the withdrawal of accommodation. RBI Governor Shaktikanta Das has reiterated that the policy imperative at the current juncture is to remain focused on achieving the four per cent inflation target on a durable basis, keeping in mind the objective of growth.

Also Read: RBI MPC Minutes: Job on inflation front not over, ‘last mile’ of disinflation can be sticky; 5 key highlights Meanwhile, leading investment banks and analytics agencies have released their respective forecasts for India's FY24 GDP growth. According to the first advance estimate released by Centre for Statistical Office (CSO), India’s real GDP growth for FY24 has been pegged at 7.3 per cent—higher than market expectations and RBI’s estimate of seven per cent.

Real GDP growth pegged at 7.3 per cent for FY24: The gross fixed capital formation—proxy for investments in the economy, is expected to grow at a robust 10.3 per cent which will drive the GDP growth in the current fiscal. On the other hand, the private consumption -constituting nearly 57 per cent of the real GDP, is expected to grow at a modest 4.4 per cent, lower than 7.5 per cent growth in the previous year, reflecting an uneven recovery and the impact of high inflation and El-Nino on rural demand.

The nominal GDP growth is estimated at 8.9 per cent, lower than 10.5 per cent assumed in the FY24 budget calculations. This was on account of deflation in wholesale prices for most part of the current fiscal, pulling the deflator down to 1.6 per cent for FY24.