India’s GDP likely to grow 8% in FY23, says CII chief

New Delhi: India’s economy is expected to grow 7.5-8 per cent this fiscal year with exports playing a key role in the country’s success story, CII President TV Narendran said on Monday. However, he said the country needs to remain prepared for any fallout of next wave of Covid-19 pandemic, and the impact of the ongoing Russia-Ukraine war.

“We are confident that the economy can retain a high growth trajectory this year. So, we are very optimistic on the export front. Exports will be a key component of India’s success story going forward,” Narendran said. In an interview to PTI, the President of the industry body said the resurgence of Covid globally will have an impact on the global supply chain and CII’s India economic growth estimate of 7.5-8% in the current fiscal factors these developments.

“The experience with Covid shows that every time there is a fresh wave globally, it does hit India as well. Therefore, we must be prepared for the future waves,” he said.

According to him, the industry has in place well defined safety protocols and has really moved up the learning curve in managing Covid and in its ability to continue to operate safely even as infections rise. Observing that the rise in oil and other commodity prices has impacted margins of industries and purchasing power of consumers, the CII President, however, said there is no call for using a term like stagflation in the Indian context.

“Growth for the current fiscal remains within the 7.5-8 per cent range. The IMF is looking at 8.2 per cent growth for India and expects it to continue to remain the fastest growing major economy,” Narendran said. He opined that consumption demand has been recovering as the pandemic-related restrictions have been lifted, especially in contactintensive sectors. (PTI)