IMF raises India growth forecast to 9.4% in 2010-But warns of increase in downside risks globally


July 08, 2010: The International Monetary Fund (IMF) has raised its India growth forecast for 2010 to 9.4% from 8.8% estimated earlier.

In its July update of the World Economic Outlook (WEO) projections, the Washington-based multilateral agency, however, kept unchanged its 2011 India growth forecast at 8.4 per cent.

In a report released today, the IMF said that India's GDP growth is expected to accelerate to 9.4 per cent in 2010 as robust corporate profits and favourable financing conditions fuel investments.

The Government expects the country's economic growth to be over 8.5 per cent in 2010-11 (April-March). While IMF forecast is for the calendar year 2010, the Government makes its growth projection for fiscal year (April-March).



The IMF forecast said Asia’s strong recovery from the global financial crisis continued in the first half of 2010, despite renewed tension in global financial markets. The GDP growth forecast for Asia has been revised upwards to about 7.5 per cent from about 7 per cent in the April WEO.IMF expects the Chinese economy to grow by 10.5 per cent in 2010.

Balancing the strong growth numbers for the first half of 2010 and the adverse impact of increased financial turbulence, the IMF forecasts world growth to rise to 4 ½ percent this year.Earlier it projected growth at 4 percent.



But despite the stronger than expected first half recovery, the IMF warned that uncertainties surrounding sovereign and financial sector risks in parts of the euro area could spread more widely, posing difficulties for both financial stability and the economic outlook.

At a global level, the IMF said policies should focus on implementing credible plans to lower fiscal deficits over the medium term while maintaining supportive monetary conditions, accelerating financial sector reform, and rebalancing global demand.

IMF Approves Major Expansion of Borrowing Arrangements
IMF signs US$10 billion Agreement with RBI
Managing Financial Innovation in Emerging Markets
Economic Recovery Linked to Global Stability & Peace
IMF's borrowing arrangement up to US$600 billion
Policymakers globally must continue collaboration
Maintain Fiscal Support, but Devise Credible Exit Strategies
Global FIs Sign Agreement to Facilitate Lending Cooperation
Initiatives to clean up financial systems
3 principles to reshape the global economy
IMF welcomes actions by G20 to sustain global recovery
G20 Leaders endorse the FSB’s Charter
IMF Signs Borrowing Agreement with Deutsche Bundesbank
Vast financial services expansion potential in emerging markets
IMF MD remains cautious about global economic recovery
IMF announces increased in financial support to poor countries
IMF implements major lending policy improvements
Medium-term fiscal consolidation a priority for India, says IMF
IMF Welcomes Comprehensive European Response to Financial Crisis
IMF sees heightened risks to global financial stability

CLICK FOR MORE FEATURES & STORIES


Join Banknet Group Connect with Banknet

Follow Banknet Banknet News Feeds









                







 

 




      Banking | Technology | Finance | Advertise | Terms of use | Disclaimer | Contact us
                         © Banknet India | All rights reserved worldwide.