Earlier six months ago World Bank said that India was well on its way to be on the &% economic growth track but with the current events in the nation, it stands corrected stating that India will have a growth of 6.1% for this fiscal year.
The Bank said that the foreceast reduction can be attributed to the poor agriculture sector demand this year. Though the normal monsoon projection has indicated a 2.7% growth this year, the real growth is only just over 2% during 2013-14.
The multi-lateral funding agency however offered some consolation to India stating that the nation is on its track steadily growing with economic momentum pushing it further and further towards better growth.
India Development Update of the World Bank says Indian economy will grow by 6.1% in 2013-14 on due to strong demands, savings and investment rates. This prediction takes into account all internal and external factors. “Growth is expected to increase further to 6.7% in 2014-2015," said Denis Medvedev, senior country economist, World Bank, India.
"Recent data point to some improvements in economic activity: inflation and trade deficit came down in recent months, while private consumption and investment growth had accelerated in the third quarter of 2012-2013," he added.