The real gross domestic product (GDP) is expected to recover to 7.6% in the current fiscal, on the back of an expected good monsoon and easing of supply constraints, economic think-tank CMIE forecast in its latest report.
The GDP is estimated to have slowed to 6.8% in the previous fiscal (FY 12), the Centre for Monitoring Indian Economy (CMIE) said.
CMIE said the inflation is expected to ease to 6.7% in FY13 from 8.8% in FY12. Interest rates have also eased after RBI’s 50 basis points policy rate cut.
The industrial sector growth is projected to accelerate to 6.8% in FY13 from 4.1% in the preceding year. Services sector growth is also expected to maintain its trend growth of over nine percent, it said.
CMIE said that assuming normal rainfall, farm sector output is projected to rise by 2.4% in 2012-13.