The Reserve Bank of India (RBI) has retained its GDP growth projection for the current fiscal year at 6.5% and slightly raised the inflation projection to 5.4% due to a spike in vegetable prices, especially tomatoes. RBI Governor Shaktikanta Das stated that the domestic economic activity remains resilient, supported by factors such as the recovery in kharif sowing, rural incomes, services sector buoyancy, and consumer optimism. However, he highlighted potential risks from weak global demand, financial market volatility, geopolitical tensions, and geoeconomic fragmentation. The GDP growth for 2023-24 is projected at 6.5%, with Q1 at 8%.
RBI Maintains 6.5% GDP Growth Projection, Raises Inflation to 5.4%
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