The International Monetary Fund (IMF) has in its latest report noted that India’s GDP growth rate has doubled over the past decade, and the country is likely to reach ₹3.6 lakh crore ($4.27 trillion) by 2025-end.
IMF data showed that India’s GDP was ₹1.8 lakh crore ($2.1 trillion) in 2015 (at current prices) and is expected to reach ₹3.6 lakh crore ($4.27 trillion) by 2025-end — a 100 per cent growth over the past 10 years!
The fund also praised India’s “strong economic resilience”. We take a look at what the IMF report states about the Indian economy, GDP, growth, inflation and other factors.
IMF Says ₹3.6 lakh crore GDP by 2025-end
- According to IMF data, India’s real GDP growth rate for 2025 is at 6.5 per cent, indicating a strong and stable expansion of the economy.
- Real GDP growth is the increase in value of goods and services produced in the country after adjusting for inflation.
- On Inflation, the report noted that it remains “a crucial factor influencing economic conditions”. The Reserve Bank of India (RBI) has targetted a inflation range of 4-6 per cent.
- IMF data showed India’s inflation is expected to remain at 4.1 per cent.
- For, GDP per capita, the IMF report estimated this to be at ₹10,23,709 ($11,940). GDP per capital measures the average income of a citizen based on the total economic output and indicates individual prosperity and living standards.
- IMF data also noted that central government debt is 82.6 per cent of GDP at present — quite high compared to India’s economic output and could pose challenges for fiscal policies.
- The report highlighted India’s “strong economic resilience, with a sharp rise in GDP, steady real growth, and improving income levels”.
- It, however, said that factors such as inflation and high public debt remain key areas to track over the next years.