Noted Global Rating Agency Tells Good News To India!

Moody's, a popular global rating agency, told a piece of good news for India. The firm which is famous for surveys and reports on the growth rate told good news on the financial growth of India.

Moody's projected India’s growth rate as 6.2 percent for the financial year of 2023-24. Surprisingly, the previous growth rate was just 5.5 percent. Moody’s said that the growth rate will increase in the financial year. The firm said that the growth in the service sector played a key role in the development of the Indian economy in the April-June trimester this year.

The interesting point is that India is in a better position compared to China in financial growth. Earlier, Moody’s said that China will have a growth of 4.5 percent. But the same was restricted to just 4 percent. The firm said that China is facing growth-related issues. Amid this, the growth rate was reduced.

Moody’s said that in the first half, India and a few other nations excelled better than their expectations. However, India’s growth next year(2024) was reduced to 6.1 percent from 6.5 percent. Having said that, the firm cited the high base rate as the reason.

On the other hand, not just Moody, but also a few other world-class financial organisations released encouraging reports on India’s growth rate. Deutsche Bank also increased India’s growth rate to 6.2 percent by raising 20 base points. Another global agency Morgan Stanley also said that India’s GDP growth rate will be 6.4 percent.

The Reserve Bank Of India(RBI) also projected India’s growth rate in the July-September trimester as 6.5 percent. However, the growth will have a small dip in the October-December trimester as the growth rate will be 6 percent.

India emerged as the fastest-growing economy in the world with Moody’s latest projections. India is ranked the fifth largest economy in the world now. However, many say that India will emerge as the third-biggest in the world very soon. The latest surveys of Moody’s are seen as an example of this.