RBI expects FY24 GDP growth to decelerate to 6.5%

India’s real GDP growth may fall from seven per cent in 2022-2023 to 6.5 per cent in 2023-24, the Reserve Bank of India (RBI) stated in its monthly bulletin. At current prices and exchange rates, India’s economy would be worth USD 3.7 trillion in 2023. The economy would be world’s fourth largest in 2025 and world’s third largest in 2027, when it would be worth USD 5.4 trillion. The RBI further stated that with retail inflation falling below the six per cent upper band in recent months, the first milestone of the Monetary Policy Committee (MPC) is passed. The objective during 2023 is to tether inflation therein so that it aligns with the target by 2024. Lead indicators also suggest that the current account deficit is on course to narrow through the rest of 2022 and 2023, it added.