The World Bank last week cut India's Gross Domestic Product (GDP) growth forecast for the current fiscal from 7.5 percent to 6.5 percent. Also, previously it had cut our growth forecast from 8.7 percent to 8 percent. The latest projection is made in the background of deteriorating global scenario, although the good news is that it added that India’s economic recovery is faster than the rest of the world.

In a similar tone, Japanese brokerage firm Nomura pointed out that Indian economy will witness a sharp decline in growth to 5.2 percent in FY24. It added that the Centre’s optimism on the country's growth prospects is misplaced, adding that the “spillover effects from the global slowdown are being underestimated”. It added that India, amid global headwinds, should focus on maintaining macro stability.

Meanwhile, exports from the country decreased 3.52% in September. Trade deficit for the month stood at USD 26.72 billion, while for the April -September 2022-23 it amounted to USD 149.47 billion. No doubt, this decline in overseas shipment reflects fall in global demands, but at the same time it is bit encouraging that trade deficit in September decreased to USD 26.72 billion from USD 28.68 Billion in August 2022.