Accelerating growth, India on upward trajectory: RBI

MUMBAI: Growth has accelerated in recent years and the Indian economy is assured of a continuously improving economic trajectory, deputy governor Poonam Gupta said.

Delivering the 14th Foundation Day Lecture at the Centre for Development Studies, Gupta said India's expansion has become more durable and predictable. "High, stable and accelerating growth, and more predictable economic outcomes have become the hallmarks of the Indian economy." She added, "The Indian economy has slowly but surely accelerated at the pace of 0.03 percentage points a year," and that "the acceleration in per capita income growth has been even faster."

Meanwhile, a report from State Bank of India's economic department said that the economy is likely to have grown around 8.1% in the third quarter under the revised FY23 base on the back of a 8% growth in the first half.

Gupta outlined forward-looking drivers of expansion anchored in demographics and policy continuity. "Going by international experience, these trends are likely to continue in the years to come, aiding a rapid increase in per capita incomes." She said demographic support would endure, further noting that "the working age population is likely to increase for several more decades."

"It is expected that the recently announced India-USA trade deal, India-EU free trade agreement and the newly-signed or prospective new trade agreements will further strengthen the current account." she added.