Watch video to understand India’s path to becoming the world’s 3rd largest economy through GDP growth.

India’s GDP growth stood at 7.8% for the first quarter of the current fiscal year, which is the fastest pace of growth for the Indian economy in a year. India is the fastest growing major economy in the world and is expected to maintain this title for the coming few years.

India’s robust growth can be attributed to various factors. In a video interview with Dharmakirti Joshi, Chief Economist at CRISIL Ltd, he provides detailed insights into India’s GDP growth story.

Key points from the interview include:

★Sectors driving growth: Joshi discusses the sectors that have been growth drivers, as well as the sectors that have been growth drags. This provides a comprehensive understanding of the factors contributing to India’s strong economic performance.

★Headwinds to GDP growth: Joshi highlights the three biggest headwinds to India’s GDP growth in the coming months. He mentions the intensifying global slowdown and the sobering effect of the 250 basis point rate hike administered since 2022 on demand.

★Impact of monsoon on inflation: Joshi cautions that the biggest worry for the economy right now is the monsoon and its impact on inflation. He notes that the deficiency in rainfall has been significant, particularly affecting the prices of cereals, pulses, and milk. Despite these challenges, the overall growth forecast is still maintained at 6%.

★Road to sustained growth: India recently became the world’s third-largest economy and is projected to become the third-largest in the next few years. Joshi details the road to sustained growth and the reforms needed to ensure growth for all.

★Manufacturing and services sectors: Joshi explains how the manufacturing sector will increase its share in India’s GDP in the coming years. However, he also emphasizes that the services sector will continue to be a big growth driver as India transitions to a middle-income economy.

This video interview provides valuable insights into India’s “world-beating” growth story, especially at a time when the global economy is facing challenges. It sheds light on the factors behind India’s strong economic performance and the future prospects for sustained growth.