IMF report: India to have fastest growth rate, China lags behind.

After the Corona epidemic and the Russia-Ukraine war, many countries of the world including America, and Europe are in the grip of recession. Meanwhile, India has emerged as a new ray of hope. According to the International Monetary Fund (IMF), India will remain the world’s fastest-growing economy amid the global recession. Along with this, the IMF has retained its estimate of India’s growth rate to be 6.1 percent in the financial year 2023-24. Whereas, in 2024 it will be 6.8 percent. The IMF has also said that in this period of recession, China and India will contribute about half of the global growth. At the same time, America and Europe countries will contribute about 10 percent, which is very less. 

No one even close to GDP growth 

According to the IMF report, this year again India’s growth rate will be the fastest in the world. China will also be far behind India. According to the report, India’s growth rate will be 6.1 percent in the financial year 2023-24 and 6.8 percent in 2024. During this period China’s growth rate will be 5.2 percent and 4.5 percent respectively. At the same time, the growth rate of America will be 1.4 percent and 1 percent during this period. According to the IMF report, Britain’s growth rate could be -0.6 percent in 2023. Whereas, the growth rate of other European countries will also be between 0.7 to 1 percent. The IMF has estimated Japan’s growth rate to be 1.8 percent in 2023. Whereas, Russia’s growth rate is said to be 0.3 percent.

Rapid improvement in the global situation 

There has also been good news for the global economy. According to Pierre-Olivier Gaurinchas, Chief Economist at the IMF, economic growth is back on track in the third quarter of 2022 on a stronger labor market, rising demand, increased business investment, and a smaller-than-expected energy crisis in Europe. Apart from this, economic activities have also improved rapidly due to the sudden opening of its markets by China after getting relief from Corona. Due to this, inflation has also come down. Along with this, emerging and developing countries have also got some relief after the US dollar softened from November highs. Although the situation still remains grim, the situation has improved better than expected.