IMF cuts India's growth to 6.1%

"With a synchronised slowdown and uncertain recovery, the global outlook remains precarious. With growth down to 3%, there is no room for policy mistakes. There is an urgent need for policy makers to cooperatively de-escalate trade and geopolitical tensions."

THE International Monetary Fund (IMF) on Tuesday slashed India's economic growth forecast for 2019 to 6.1 per cent, which is 1.2 per cent lower than the 7.3 per cent it had projected in April this year.

This is the second time that the IMF has scaled down the GDP growth projection for India after a 0.3 per cent cut in July this year to factor in a slowdown in the economy which had clocked a 6.8 per cent growth in 2018.

The downward revision reflects a weaker-than-expected outlook for domestic demand, the report said.

The IMF’s its latest World Economic Outlook also observed that the Indian economy is expected to pick up momentum and grow at 7 per cent in 2020.