India’s GDP growth to reach around 6.8% in 2024: The Conference Board

The US think tank’s leading economic index (LEI) for India rose by 0.6 per cent in August this year to 160, more than reversing the revised 0.1-per cent decrease in July.

India’s GDP growth will reach around 6.8 per cent in 2024—softer than last year’s nearly 8 per cent growth, The Conference Board projected.
The think tank’s leading economic index for India rose by 0.6 per cent in August to 160, more than reversing the revised 0.1-per cent July drop.
Its coincident economic index for India rose by 0.8 per cent in August to 152.1, after July’s 0.7-per cent rise.

The LEI growth rate over the six-month period from February to August 2024 slowed to 1.3 per cent—less than half the 3.2-per cent growth from August 2023 to February 2024.

Its coincident economic index (CEI) for the country rose by 0.8 per cent in August to 152.1, after increasing by 0.7 per cent in July. The index also rose marginally by 0.1 per cent from February to August 2024, a slower rate of growth than the 0.8 per cent over the previous six months.

LEI provides an early indication of significant turning points in the business cycle and where the economy is heading in the near term, while CEI offers an indication of the current state of the economy.

“Bank credit to the commercial sector and merchandise exports, which had experienced a slight downturn in previous months, were the main drivers of the increase of the leading indicator,” said Ian Hu, economic research associate at The Conference Board, said in a release.

“Despite the August rebound, both the six-month and annual growth rates of the LEI have been moderating over the course of 2024. This suggests that the otherwise steely upward trend could slow in the quarters ahead,” Ian added.

Fibre2Fashion News Desk (DS)