India GDP: The Indian economy will grow at a rate of 6.5 to 6.8 percent in the current financial year, while in the next financial year (2025-26) the GDP growth rate will be slightly higher i.e. between 6.7 to 7.3 percent. Deloitte India has made this estimate. Deloitte said that the government's continuous infrastructure development, focus on digitalization and measures to attract foreign direct investment (FDI) will improve overall efficiency, which will boost growth.

Earlier this month, the Reserve Bank of India (RBI) lowered its growth forecast for the current financial year to 6.6 percent. In June, the RBI had estimated the growth rate to be 7.2 percent.

What does Deloitte India have to say?

Deloitte India economist Rumki Majumdar said that the growth rate in the first half of FY 2024-25 has been lower than expected as heavy rains and geo-political developments followed by uncertainties over elections had an impact on domestic demand and exports. Rumki Majumdar said that we remain cautiously optimistic and expect the growth rate to be between 6.5 to 6.8 percent in the current financial year. In the next financial year it will be between 6.7 to 7.3 percent.

India's strong position is clear

Deloitte said that manufacturing exports in high value segments such as electronics, semiconductors and chemicals reflect India's growing strong position in the global value chain. He said, however, there are some areas in which India is showing great potential. These include consumption trends or growth in services, increasing share of high value manufacturing in exports and capital markets.

Meanwhile, due to the increasing participation of retail and domestic institutional investors, stability has been seen in the local markets. However, in the last two and a half months, foreign institutional investors (FIIs) have sold heavily in the Indian stock markets.