India’s economy grew 7.5% in the three months ending in March, higher than the previous quarter and above expectations. It means the country has outpaced China’s economic expansion for two quarters out of the last three.
Forecasts were for growth of about 7.3% for the period compared with a year earlier. However, the country adopted a new way of calculating growth, which some experts say distorts the real picture. The country’s annual growth for the year 2014-15 was 7.3%.
Despite the robust growth numbers, India’s government and its businesses are hoping the country’s central bank will move to cut lending rates again soon to give the economy a further boost. The Reserve Bank of India (RBI) has already cut its benchmark lending rates twice this year, but left its rates unchanged in April. Click here to read more.
- India’s Economy Has Improved, but a Wrong Step Could Spoil Things (First Post)
- New Method to Calculate GDP May Spill [sic] Bad News for India (Business Insider)