New Delhi: The Confederation of Indian Industry (CII), India’s apex industry association, has forecasted a robust 8 per cent economic growth rate for the country in the fiscal year 2024-25. This projection is notably higher than the Reserve Bank of India’s growth estimate of 7.2 per cent for the current fiscal year.
CII’s optimism stems from expectations that the newly re-elected Modi government will implement second-generation reforms on a mission mode, coupled with anticipated improvements in global trade growth rates over the next couple of years.
Sanjiv Puri, the newly appointed CII President, expressed confidence in India’s economic prospects during his inaugural media interaction. “The government has placed the economy on a much stronger foundation through its policy interventions on ease of doing business,” Puri stated, citing robust high-frequency economic indicators at the start of the current year.
The industry body anticipates positive developments across various fronts, including favorable monsoon conditions leading to better agricultural production, and an improved performance in the IT sector due to an expected uptick in global trade later this year.
CII envisions all three sectors – agriculture, industry, and services – firing on all cylinders, contributing to the projected 8 per cent growth rate.
For 2024-25, CII forecasts agricultural growth at 3.7 per cent, industrial growth at 8.4 per cent, and services sector growth at 9 per cent. Additionally, the industry body expects inflation to remain closer to the Reserve Bank of India’s target of 4 per cent, hovering around 4.5 per cent.
Puri highlighted India’s remarkable economic progress, with the country’s GDP doubling from USD 1.7 trillion in 2010-11 to USD 3.4 trillion in 2022-23 over a decade. He expressed optimism that the next doubling of GDP to USD 7 trillion will occur in a shorter span of seven years, by 2029-30, reflecting India’s economic ascent.
To drive the next phase of economic transformation, CII has outlined a 14-point agenda for the new government. The agenda focuses on fostering a globally competitive India through partnerships for sustainable and inclusive growth.
