Reserve Bank of India Governor Shaktikanta Das projected that India's GDP will grow by 7.2% in FY25, despite a slowdown to 6.7% in the first quarter due to reduced government spending during elections.
He emphasized that the fundamental growth drivers are gaining momentum, particularly in agriculture, supported by favorable monsoon conditions and rising rural demand. Das noted that both consumption and investment are increasing, reinforcing the sustainability of India's growth trajectory. He acknowledged the current balance between inflation and growth but stressed the importance of maintaining price stability for long-term growth, while also highlighting challenges posed by volatile food inflation.