Reaching to the position of fastest growing economy of Asia, India has got recognition in the ADB report 2018. It is expected to be growing as fast as to cover past two years of decline and also hike the GDP by 7.3 percent in this year, according to ADB 2018 report.
Due to demonetisation and the implementation of goods and services tax system in India, the fiscal year 2017 had a downfall of 6.6%. The ADB reports have mentioned the same and are expecting a set of reforms to re-lift the economy. As per the research and estimates carried out by Indian officials, a 7.2 per cent uplift was observed in the Indian economy by the end of official 2017, i.e. in October-December quarter, whereas it was at 6.5 per cent in the July-September period, preceded by a 5.7 per cent estimate in April-June. However, the present fiscal is expected to bring about a total hike of 6.6% in the economy.
Along with ADB, the reserve bank of India has also made certain assumptions regarding the economy hike, i.e. they are expecting a 7.4% hike by 2019 fiscal. India has seen a lot of havoc in recent time due to back to back implementation of demonetisation and GST, but ADB officials suggest that they will bring about a benefit at long term and it’s a part of sustainable management of economy. India’s growth will get support from steps taken to fortify the purchase capacity of farmers through higher procurement prices, reforms in agricultural market, and investments in irrigation and logistics.
The all time competitor China is expected to fall down from 6.9 per cent in previous year to 6.6 per cent this year but India will keep securing the first position among fastest growing countries across Asia, said Kenichi Yokoyama, ADB India country director.