S&P Global Ratings projected India to clock a “steroid-free” growth of 8 per cent over the next few years.
In its ‘APAC Economic Snapshots–September 2016’ report, S&P said India’s structural reform agenda has maintained strong momentum and should propel growth higher.
The latest gross domestic production (GDP) figures showed that India’s growth slowed to 7.1 per cent in the April-June quarter, from 7.9 per cent in January-March period.
Reserve Bank has also said the near-term growth outlook for India seems brighter than last fiscal and the economy is likely to expand at 7.6 per cent in 2016-17.
Highlights of S&P Global Ratings Report:
1. Country’s structural reform agenda has maintained strong momentum, most recently with the GST passage, and should propel growth higher.
2. Inflation remains a risk, given the large weights on food, fuel, and other volatile items in the Reserve Bank of India’s target basket.