Indian Economy On Course To Reach US$ 4 Tn In 2024-25: PHDCCI

New Delhi, Jan 11 (KNN) India's economy is predicted to exceed USD 4 trillion in 2024-25 and reach USD 5 trillion by 2026-27, according to a PHDCCI report released on Wednesday.

The report suggests robust growth in the Indian economy and emphasises the need for cautious and adaptable policies to navigate global economic challenges. The PHDCCI anticipates a 100 basis points reduction in the RBI repo rate by the end of 2024 to support economic expansion.

Despite global challenges, the report underscores India's resilience and its potential to achieve developed economy status by 2047 under the 'Viksit Bharat' initiative. The analysis focuses on key indicators like GDP growth, export growth, gross national savings, total investments, and the debt-to-GDP ratio.

The report outlines a timeline analysis covering pre-pandemic, pandemic, post-pandemic, and futuristic outlook years. It highlights an expected average retail inflation of around 4.5 per cent in 2024.

The PHDCCI recommends a repo rate cut to 5.5 per cent by the end of 2024.

Additionally, the report identifies promising sectors for growth, including agriculture, food processing, infrastructure, textiles, pharmaceuticals, defence manufacturing, electronics, and fintech.

The industry body emphasises the need for reforms at the grassroots level, particularly in the informal sector, and calls for a more robust banking system to support small businesses in meeting demand.

(KNN Bureau)