In a big boost for India, The International Monetary India (IMF) has once again showered heap of praises on India. In a biannual survey- World Economic Outlook published by IMF, IMF has mentioned India as the fastest growing large economy in the world in 2018. The report stated that in the upcoming years too, India will remain the fastest-growing emerging economy, ahead of China. India is expected to grow at 7.3 and 7.5 percent for 2020 and 2021 respectively. On the other hand, Chinese economic growth will moderate to 6.3 and 6.1 percent in 2020 and 2021.
This is the first report under the newly appointed Indian American IMF chief economist- Gita Gopinath. The report indicates that Inflation is at an all-time low in India and economic growth is very high. India’s economic condition is expected to improve further in the upcoming years while Pakistan will deteriorate due to poor policies. India is ahead of hostile neighbors (China and Pakistan) in terms policy decisions and macroeconomic fundamentals. The growth in China and Pakistan is forecasted to decrease for next few years while the Indian economy continues northward trajectory.
Earlier IMF communications director Gerry Rice said, “India has of course been one of the world’s fastest-growing large economies of late, with growth averaging about seven percent over the past five years,” on India’s economic development under Modi government. “Important reforms have been implemented and we feel more reforms are needed to sustain this high growth, including harnessing the demographic dividend opportunity, which India has,” he said.
He added amongst the policy priorities, we would include accelerate the cleanup of banks and corporate balance sheets, continue fiscal consolidation, both at centre and state levels, and broadly maintain the reform momentum in terms of structural reforms in factor markets, labour, land reforms and further enhancing the business climate to achieve faster and more inclusive growth,”
This all has become possible only due to the good governance of PM Modi. During Congress Regime for 70 years, India was an underdeveloped country begging food and money from western countries. But today western countries praise India and want to deal with India.