IMF projects India is going to be world's fastest economy in 2023, global growth to drop to 2.9 pct
New York: The International Monetary Fund (IMF) on Tuesday released its latest projections on world economic growth where India was seen to be growing at the rate of 6.1 per cent in 2023.
The growth will be lower than its 6.8 percent figure of 2022.
China, on the contrary, will grow by 5.2 percent in 2023.
India is expected to grow at 6.8 percent in 2024, IMF projection showed.
Meanwhile, global growth is projected to fall from an estimated 3.4 percent in 2022 to 2.9 percent in 2023, then rise to 3.1 percent in 2024.
The forecast for 2023 is 0.2 percentage point higher than predicted in the October 2022 World Economic Outlook (WEO) but below the historical (2000–19) average of 3.8 percent.
"The rise in central bank rates to fight inflation and Russia’s war in Ukraine continue to weigh on economic activity," read an IMF statement.
The rapid spread of COVID-19 in China dampened growth in 2022, but the recent reopening has paved the way for a faster-than-expected recovery.
Global inflation is expected to fall from 8.8 percent in 2022 to 6.6 percent in 2023 and 4.3 percent in 2024, still above pre-pandemic (2017–19) levels of about 3.5 percent.