New Delhi, May 10: India is constantly growing above the pre-pandemic level in terms of GDP growth, showing its strong resilience during the post-pandemic and geo-political developments, according to an analysis done by industry body PHD Chamber of Commerce and Industry (PHDCCI).
The analysis conducted by PHDCCI's Research Bureau said India has not only recovered from the pandemic years but also consistently grown more than 6 per cent on average in the post-pandemic years. Citing International Monetary Fund (IMF) data, PHDCCI noted India recovered significantly from (-) 5.8 per cent GDP growth in 2020 to 9.1 per cent in 2021 and 6.8 per cent in 2022 with a projected growth rate of 5.9 per cent in 2023.
The growth projections for 2023 to 2028 are also at the highest as compared with the top 10 leading economies, said Saket Dalmia, President, PHD Chamber of Commerce and Industry.
The recovery process of many of the economies has been impacted by post - pandemic geopolitical conflict between Russia and Ukraine, skyrocketed commodity prices, high inflation trajectory and synchronized moves by the central banks in increasing the interest rates, said Dalmia.
In 2023, among the Top 10 leading economies, 8 economies including the United States, China, Germany, the United Kingdom, France, Canada, Italy and Brazil, will perform below their GDP growth rates of the pre-pandemic level of 2019, PHDCCI said citing various estimates.
Going ahead, continued economic reforms in India would further strengthen the economic fundamentals of the country to maintain a steady economic growth trajectory in the coming months, added Dalmia.
However, industry, it said, needs a great hand-holding in such a difficult environment caused by global economic uncertainties.
"We need to focus more on the manufacturing sector as the high cost of borrowings, and high prices of raw materials have impacted the price-cost margins of the producers. Reduced cost of doing business such as easier compliances and a robust Single Window System will enhance ease of doing business in the country and help growth to become more strong and resilient, going forward."