LIVE TV
ZEE Business
ZEE BUSINESS
हिंदी में पढ़ें  हिंदी में पढ़ें
Live TV
Live TV
  • Home
  • Budget 2021
  • Personal Finance
    • PPF
    • Mutual Funds
    • Income tax
    • EPFO
    • Income Tax Calculator
    • Personal Loan Calculator
    • Car Loan Calculator
    • Home Loan Calculator
    • SIP calculator
    • SWP Calculator
    • MF Returns Calculator
    • Lumpsum Calculator
  • India
    • Companies
    • Property
    • Startups
    • Uidai
  • Economy
    • Aviation
  • Tech
    • Mobiles
    • Apps
  • Auto
    • Cars
    • Bikes
  • Markets
    • Commodities
    • Currency
  • Jobs
  • Indian Railways
  • World
    • Economy
    • Politics
    • Markets
  • videos
  • photos
  • Authors
  • More ...
    • VIDEOS
    • PHOTOS
Business News » India News

IMF downgrades India's growth, but says a blip in much positive long-term

"The downgrade for this year's looks like a blip in a much positive longer-term picture," Maurice Obstfeld, Economic Counsellor and Director of Research Department at IMF.

  • Twitter
  • Facebook
  • Linkedin
  • whatapp
IMF downgrades India's growth, but says a blip in much positive long-term
Maurice Obstfeld, chief economist at the International Monetary Fund (IMF), attends a press briefing at the IMF headquarters in Washington D.C., the United States, on Oct. 10, 2017. Photo: IANS
Written By: PTI
Updated: Wed, Oct 11, 2017
08:55 am
Mumbai, PTI
RELATED NEWS
IMF lowers India's growth forecast over demonetisation, GST IMF lowers India's growth forecast over demonetisation, GST
India loses fastest growing economy rank; IMF slashes 2017 growth rate by 0.5 % to 6.7% India loses fastest growing economy rank; IMF slashes 2017 growth rate by 0.5 % to 6.7%
IMF upgrades its global growth projection 3.6 pc for 2017 IMF upgrades its global growth projection 3.6 pc for 2017
Jaitley headed for US for IMF-World Bank meets Jaitley headed for US for IMF-World Bank meets
IMF chief asks world to seize opportunity of global recovery IMF chief asks world to seize opportunity of global recovery
Key highlights:
  • The downgrade in India's growth for the current fiscal by 0.5% to 6.7% is a "blip" in a much positive long-term picture of its economy, says IMF
  • IMF report lowered India's growth projection to 6.7 % in 2017
  • Obstfeld however appeared to be confident about the future of Indian economy

The downgrade in India's growth for the current fiscal by 0.5% to 6.7% is a "blip" in a much positive long-term picture of its economy, a top official of the International Monetary Fund has said.

The latest IMF report lowered India's growth projection to 6.7 % in 2017, 0.5%  points less than its previous two forecasts and attributed it to demonetisation and introduction of the GST.

"The downgrade for this year's looks like a blip in a much positive longer-term picture," Maurice Obstfeld, Economic Counsellor and Director of Research Department at the International Monetary Fund (IMF) told reporters after the release of its flagship World Economic report.

Responding to a question during a news conference here, Obstfeld however appeared to be confident about the future of Indian economy. "In general, the state of India's economy is quite good. The government has energetically perused structural reforms, including the GST which will have a payoff longer term," he said.

The country has benefited from the improved terms of trade. It has also benefited from return of normal monsoonal rain season given the large share of agriculture, he said.

However, for this year there were two headwinds, the IMF official said. Number one, the implementation of the GST itself particularly in July and August had some disruptive effects which IMF believes is passing, he said. "You can see our forecast for next year is quite high, I think 7.4 %," he added.

"The other headwind came from demonetisation, which led to temporarily cash shortages, which now has been overcome," said the IMF official.

In its report, the IMF said India's growth momentum slowed, reflecting the lingering impact of the authorities' currency exchange initiative as well as uncertainty related to the midyear introduction of the country-wide Goods and Services Tax.

GST, which promises the unification of India's vast domestic market, is among several key structural reforms under implementation that are expected to help push growth above 8 % in the medium term, IMF said.

The Goods and Services Tax (GST) was implemented in India from July 1 this year. It brings the economy under a uniform tax regime.

The Indian government scrapped Rs 500 and Rs 1,000 currency notes on November 8 last year, claiming that the move would eradicate black money, fake currency and corruption.

 

(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)

Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.

TAGS:
India GrowthIMFInternational Monetary FundIndia EconomyGSTeconomic reformsEconomy
RELATED NEWS
IMF lowers India's growth forecast over demonetisation, GST IMF lowers India's growth forecast over demonetisation, GST
India loses fastest growing economy rank; IMF slashes 2017 growth rate by 0.5 % to 6.7% India loses fastest growing economy rank; IMF slashes 2017 growth rate by 0.5 % to 6.7%
IMF upgrades its global growth projection 3.6 pc for 2017 IMF upgrades its global growth projection 3.6 pc for 2017
Jaitley headed for US for IMF-World Bank meets Jaitley headed for US for IMF-World Bank meets
IMF chief asks world to seize opportunity of global recovery IMF chief asks world to seize opportunity of global recovery

LATEST NEWS

Skoda launches refreshed version of Superb in India tagged Rs 31.99 lakh onwards

Anil Singhvi’s Strategy January 15: Day support zone on Nifty is 14,425-14,475 & Bank Nifty is 32,300-32,350

In chat with Anil Singhvi, Sandeep Jain recommends Gujarat Alkalies shares, says PSU and semi-government companies likely to do well

Ind vs Aus: Unruly group of fans call Siraj, Sundar ''grubs''

Mid-cap Stock Picks With Anil Singhvi: Buy IRCTC, Trident and Speciality Restaurants shares for good returns

Mutual Fund NFO: PGIM India Balanced Advantage Fund launched; minimum investment Rs 5000; know last date of offer

ICICI Bank credit card, debit card holders delight! Get discount up to 50% on essential and luxury items | check details

Indian Logistics and Supply Chain Trends 2021 II Details Explained

Budget 2021 Expectations: This budget should focus on boosting manufacturing and creating jobs, says Deepak Jasani

PUBG Mobile India launch date: Rumours rage with this announcement; will the Battle Royale Game make comeback? Check latest report

  • India News
  • World News
  • Companies News
  • Market News
  • Personal Finance News
  • Technology News
  • Automobile News
  • Small Business News
  • Income Tax Calculator
  • Live TV
  • Videos
  • Photos
  • Author
  • Rss Feed
  • Advertise with us
  • Privacy Policy
  • Legal Disclaimer

Latest Trending Updates

  • EPFO
  • Budget 2020
  • Income Tax Return
  • Auto Expo 2020
  • Home Loan
  • Business News

Trending Topics

  • Income Tax
  • income Tax Calculator
  • 7th Pay Commission
  • Reserve Bank of India
  • GST
  • Latest Business News

Follow us on

zeebiz
zeebiz

Partner Sites

  • Zee News
  • Hindi News
  • Marathi News
  • Bengali News
  • Tamil News
  • Malayalam News
  • Gujarati News
  • Telugu News
  • Kannada News
  • DNA
  • WION
Copyright © Zee Media Corporation Ltd. All rights reserved