India still fast-growing economy with great potential
India has been relatively hit hard by the recent global slowdown resulting in its projected growth dropping to 6.0 percent in 2019, but it’s still a fast-growing economy with a lot of potentials, a top World Bank economist said on Sunday.
“It’s still a fast-growing economy. So even with the recent slowdown, it has growth numbers that are higher than in most countries of the world. It’s still a fast-growing economy with a lot of potential,” World Bank’s Chief Economist for South Asia Hans Timmer told PTI.
In its latest edition of the South Asia Economic Focus, the World Bank said that India’s growth rate is projected to fall to 6 percent this fiscal. However, it said the country was expected to gradually recover to 6.9 percent in 2021 and 7.2 percent in 2022.
“It has been hit relatively hard by the recent global slowdown in their investments in durable consumption. And so that means that they have to deal with severe problems,” Timmer said in response to a question on India’s economy, whose growth rate in 2016 was 8.2 percent and in the next two years, it dropped by 2.2 percentage points.
“No, it’s not the biggest (drop), but it is comparable to what we saw in 2012 where there was also a slowdown. It’s somewhat less than what we saw in 2009. But it’s a serious slowdown. That is true,” Timmer said.