Indian Economy Likely To Register A 6.3% Growth In 2016: UN Report

Ever since Narendra Modi government has come to power, Indian economy is back on the road to growth trajectory. As per the UN World Economic Situation and Prospects 2015 (WESP) report, the country’s growth is expected to improve to 6.3% in 2016, as it is expected to lead the economic recoveries in the South Asian region.

It’ll be the highest growth rate since the 2008-2011 period, when the Indian economy had registered a 7.3% growth rate, the UN report revealed, adding that the economic growth had slowed to 4.7% in 2012.

The UN report also revealed that India is likely to make progress in implementing economic policy reforms and help provide support to business and consumer confidence.

However, we cannot overlook the significant downside risks looming over the region due to the continuing fragility of the global economy and considerable country-specific weaknesses, which covers the issues of political instability and the agricultural dependency on the monsoon.
According to the report, global economic growth is forecast to witness an upward trend in the next two years despite the emergence of new challenges such as Ebola outbreak, political instability, terrorism and weather-related shocks.

In 2015, the global economy is expected to grow 3.1% and it will register a growth of 3.3% in 2016, as against an estimated growth of 2.6% this year, as the speed at which expansion is being done is moderate and uneven.