New Delhi, Jan 15 (KNN)  A report by United Nations Economic and Social Commission for Asia and the Pacific (ESCAP) has downgraded GDP growth forecast for India from 8.2 per cent to 7.5 per cent for 2016.
 
Although India is expected to experience higher growth than China in 2015, this situation is due more to a change in the methodology of computing GDP in recent years rather than an increase in the growth rate, the ESCAP report said.
 
“…instead of any significant acceleration, India is forecast to record growth that is largely unchanged from that recorded in 2014. The main reason is related to delays in implementation of reform policies proposed by the new administration,” the year-end update of the flagship report of the United Nations added.
 
While the Government eased restrictions on foreign direct investment and introduced online government services to enhance the business environment, there have been delays in instituting some major reforms which had been expected. These include reform of land acquisition and labour laws and establishment of a nationwide goods and services tax, measures which were not enacted due to legislative hurdles and opposition from sections of the public.
 
Implementation of such reforms can lead to significant growth acceleration in India, it said.  (KNN Bureau)