The International Monetary Fund (IMF) has praised the Indian economy, describing India as a global engine of growth. The international agency noted that India has maintained a rapid growth rate despite the energy crisis and other global challenges. The country’s real GDP growth stood at 7.8% in the first quarter (April-June) of the current fiscal year. Commending this performance, the IMF stated that the growth exceeded expectations, driven by a robust services sector and strong exports. IMF spokesperson Julie Kozack stated at a press conference that India’s GDP growth of 7.8% in the April-June quarter exceeded both IMF projections and the expectations of market experts. She noted that strong performance in the services and export sectors fueled this growth.
According to Kozack, this performance demonstrates that the Indian economy remains robust despite the shock of energy prices, and India continues to be a key engine of global growth. Notably, India’s 7.8% growth in the first quarter of the current fiscal year surpassed the Reserve Bank of India’s (RBI) projection of 7%. According to data from the Ministry of Statistics and Programme Implementation, the country’s real GDP for this quarter stands at ₹81.36 lakh crore, compared to ₹75.46 lakh crore during the same period in the previous fiscal year. The IMF has welcomed the changes made to India’s GDP estimation methodology and its modernization. Julie Kozack stated that the new data incorporates updated series for the Index of Industrial Production (IIP) and the Producer Price Index (PPI). According to the IMF, these changes will further enhance the accuracy and quality of GDP data. It is worth noting that the IIP is an indicator used to measure the pace of production across key sectors such as manufacturing, mining, and electricity. On the other hand, the PPI is an index that reflects the average change in the prices of goods and services sold by domestic producers. It enables an accurate assessment of inflation.
