New Delhi: The International Monetary Fund (IMF) lauded Bharat as one of the star performers in the global economic arena, projecting a significant contribution of more than 16% to overall global growth. In its annual Article IV consultation with Bharat, the IMF highlighted the nation’s robust growth trajectory while acknowledging the challenges posed by prevailing global economic headwinds.
According to the IMF, Bharat’s South Asian economy is positioned to be among the fastest-growing major economies globally, due to prudent macroeconomic policies. Despite grappling with global challenges such as a slowdown in worldwide economic growth, Nada Choueiri, the Mission of Bharat at IMF, emphasized Bharat’s resilience.
Choueiri underscored key factors that propelled Bharat’s economic prowess, including the government’s emphasis on investments in infrastructure and logistics, a very large and dynamic population, and transformative structural reforms such as digitalization.
In its annual report, the IMF recommended a strategic focus on rebuilding fiscal buffers, ensuring price stability, maintaining financial equilibrium, and accelerating inclusive growth for sustained economic development.
Highlighting Bharat’s remarkable rebound from the pandemic, the IMF reported a robust economic recovery, moderated headline inflation, surpassing pre-pandemic employment levels, and a notable shift towards formalisation in the informal sector. While acknowledging the resilience of the financial sector, the IMF cautioned about the elevated public debt and the imperative need to rebuild fiscal buffers.
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