Shock: IMF reduced India’s GDP growth rate estimate, know what was the reason

New Delhi, April 20. The recent war between Russia and Ukraine has started showing its effect. Even though the ongoing war between Russia and Ukraine has not yielded any result so far. But it has shaken the global economy. It so happened that the growth rate of all the countries including India and America has started falling due to this. The war has raised fuel and food prices, slowing growth.

GDP growth forecast to be reduced to 8.2 percent
After the Central Reserve Bank and the World Bank, now the International Monetary Fund (IMF) has also reduced India’s GDP growth estimate. For the current financial year 2022-23, the IMF has reduced the GDP growth forecast to 8.2 percent. However, India will still remain the fastest growing country. But this estimate is 0.8 per cent lower than the growth forecast last year. According to the report, India’s economic growth rate was 8.9 percent in 2021. Whereas in 2023 it is likely to be 6.9 percent. The IMF had forecast a growth rate of 9 per cent in January. This was the time when there was no war between Ukraine and Russia. Now the war is going to be about two months, during which the International Monetary Fund has given a big blow by issuing a new estimate.

India’s GDP growth highest
MF estimates that India’s GDP growth will be the highest. India will overtake countries like America, Germany, France, Italy, Spain, Japan, Britain, Canada, China in this matter. At the same time, Russia’s GDP growth estimate has been kept in negative. Let us inform that the World Bank has also reduced the GDP growth estimate for the current financial year from 8.7 percent to 8 percent. At the same time, the Central Reserve Bank estimates that the country’s economy will grow at the rate of 7.2 percent. Earlier it was estimated to be 7.8 percent.

rust effect
The International Monetary Fund (IMF) has also mentioned the war between Russia and Ukraine. According to the IMF, high oil prices due to the Ukraine crisis have affected the economy. Because of this, domestic consumption and private investment are also expected to be impacted. Along with this, the IMF has recommended monetary tightening by central banks around the world, including India, to keep inflation under control.