Fitch said, “Economy has improved with 13.5 per cent year-on-year growth in the first quarter of the fiscal, but it is below our 18.5 per cent growth forecast.
Fitch Ratings on India GDP: Expectations of rapid growth of India’s economic growth rate have suffered a setback. Rating agency Fitch Ratings today reduced India’s economic growth forecast for the current financial year to 7 per cent from the previous estimate of 7.8 per cent. Fitch said it now expects the Indian economy to grow at 7 per cent in 2022-23 compared to the 7.8 per cent growth forecast in June. This means that the growth rate of the Indian economy will grow by 0.8 percent less.
GDP forecast for the next financial year also reduced
Fitch Ratings also said that in the next financial year i.e. 2023-2024, the growth rate is now likely to be 6.7 percent as compared to the earlier estimate of 7.4 percent. Last time too, Fitch Ratings had reduced the forecast of India’s economic growth rate in its report. This report was released in June 2022.
Fitch Ratings downgraded India’s GDP outlook in June too
In its report in June 2022, Fitch had lowered India’s economic growth forecast for the year 2022-23 from 8.5 per cent to 7.8 per cent. However, in the same report, Fitch Ratings upgraded India’s outlook from negative to stable and gave a rating of BBB-. For information, let us tell you that in June 2020, Fitch Ratings had turned India’s outlook negative due to the lockdown.