Page 31 - Policy Economic Report_Mar'25

POLICY AND ECONOMIC REPORT
OIL & GAS MARKET

o Productivity and resilience in Agriculture
o Employment & Skilling
o Inclusive Human Resource Development and Social Justice
o Manufacturing & Services
o Urban Development
o Energy Security
o Infrastructure
o Innovation, Research & Development and
o Next Generation Reforms

June
India remains world's fastest growing major economy globally: World Bank

The World Bank predicted that India is set to remain the fastest-growing major economy globally,
though its growth rate is expected to slow. The June ‘Global Economic Prospects’ report maintained the
GDP growth forecast for India at 6.6 per cent for FY25. After a robust performance in FY24, the World
Bank projected an average growth rate of 6.7 per cent (6.7 per cent in FY26 and 6.8 per cent in FY27)
annually over the three fiscal years starting from FY25, as outlined in its Global Economic Prospects for
June 2024. According to World Bank, India, the largest economy in South Asia, has significantly
contributed to regional growth, particularly through its manufacturing and services sectors. The
country’s growth rate for FY24 is estimated at 8.2 per cent, a notable increase of 1.9 percentage points
from earlier projections, the report said.

May
Unemployment in India saw a significant drop in May; lowest recorded since September 2022

According to the data available from the Centre for Monitoring Indian Economy (CMIE), unemployment
rate in India saw a significant drop in May 2024 to 7 per cent, which was its lowest recorded since
September 2022. In April 2024, the unemployment rate was at a much higher 8.1 per cent.

April
India's outward FDI rises to $3.91 billion in March, shows RBI data

According to Reserve Bank of India (RBI) data, India’s outward foreign direct investment (FDI)
commitments rose significantly to $3.91 billion in March 2024, compared to $2.63 billion in March 2023.
Sequentially, they were also higher than $3.67 billion in February 2024. Outbound FDI, expressed as a
financial commitment, comprises three components: equity, loans, and guarantees. The equity
commitments grew more than twofold to $2.03 billion in March 2024 from $758.22 million in March
2023. It was also higher than the $616.46 million recorded in February 2024. Debt commitments almost
doubled to $1.04 billion in March 2024, from $517.98 million a year ago. However, it was much higher
than $254.24 million in February 2024. Guarantees for overseas units declined to $839.16 million in
March 2024 from $1.36 billion in March 2023. They were down substantially compared to $2.80 billion
in February 2024, RBI data showed.

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